Gold collapsing. Bitcoin UP.

[miscreanity]

Diamonds as an investment/store of value? That's an obtuse thought..how things are changing.

carbon atoms are one of the most frequently occurring atoms on earth. Diamonds may be a girls best fried, they are not an investment.

In the current environment they are more insurance than investment. Prices have been elevated for the past six months, rivaling highs made during the 2008 crisis.

To a lesser degree, the same goes for pearls and other gemstones; they are generally lighter and less detectable than metals - only likely to raise suspicion upon thorough search and recognition (if an official is instructed to mainly look for gold, it may be less probable that he will notice gemstones). Real estate is also a form of wealth protection, but it's hardly liquid.

Mobile wealth is in very high demand because of the amount of uncertainty over geopolitical stances. The line determining who is wealthy had been lowering rapidly, threatening to strip life savings away, especially for those choosing to live in western nations.

Any and all forms of protection will be sought. Sadly, awareness of Bitcoin is not enough - most people don't understand and discount it as an option in favor of gold, silver, art, gemstones, etc.

[vokain]

^ aka DFDC

[miscreanity]

^ aka DFDC

You ain't seen nuthin' yet

[Zangelbert Bingledack]

Sadly much of the reason Bitcoin isn't yet recognized as a mobile (teleportable & hide-able) store of wealth for HNWI is due to misunderstanding within the Bitcoin community itself. People advertize Bitcoin as money and as a medium of exchange and discourage "speculation" without making a distinction between short-term trading for fiat profit and safe-haven wealth protection / long-term investing.

In actual fact, given capital controls and unforseeable events that may force anyone to vacate their country of residence in a hurry (or be wrongfully arrested, etc.), a person of sufficient wealth would have to be a fool not to have a few bitcoins stashed away - assuming the person simply understood Bitcoin. In such circumstances, 5% of your wealth in a brainwallet could mean the difference between a ruined life and a temporary return to a lower standard of living.

Here's the narrative I'd like to be the common Bitcoin community wisdom, because it's true:

"Although at least one solid medium-of-exchange use may have been necessary for bitcoins to become valued when no one knew about or trusted them, with probably over a million users that train has left the station. Bitcoin's functionality as a teleportable and secret store of value is currently its most compelling use for wealthy people, since it is a highly sought-after capability (or would be if people knew such science-fiction-level thing is now possible) provided by no other asset. The consistently extraodinary year-on-year growth is just icing on the cake."

Bitcoin is the ultimate offshore account, and it happens to be experiencing incredible growth as a bonus - more than enough to offset volatility on a yearly timescale.

[Adrian-x]

Sadly much of the reason Bitcoin isn't yet recognized as a mobile (teleportable & hide-able) store of wealth for HNWI is due to misunderstanding within the Bitcoin community itself. People advertize Bitcoin as money and as a medium of exchange and discourage "speculation" without making a distinction between short-term trading for fiat profit and safe-haven wealth protection / long-term investing.

In actual fact, given capital controls and unforseeable events that may force anyone to vacate their country of residence in a hurry (or be wrongfully arrested, etc.), a person of sufficient wealth would have to be a fool not to have a few bitcoins stashed away - assuming the person simply understood Bitcoin. In such circumstances, 5% of your wealth in a brainwallet could mean the difference between a ruined life and a temporary return to a lower standard of living.

Here's the narrative I'd like to be the common Bitcoin community wisdom, because it's true:

"Although at least one solid medium-of-exchange use may have been necessary for bitcoins to become valued when no one knew about or trusted them, with probably over a million users that train has left the station. Bitcoin's functionality as a teleportable and secret store of value is currently its most compelling use for wealthy people, since it is a highly sought-after capability (or would be if people knew such science-fiction-level thing is now possible) provided by no other asset. The consistently extraodinary year-on-year growth is just icing on the cake."

Bitcoin is the ultimate offshore account, and it happens to be experiencing incredible growth as a bonus - more than enough to offset volatility on a yearly timescale.

I agree it is a store of wealth first and a medium of exchange second, but I see it differently.

The medium of exchange value is calculated on monetarist's theory based on the velocity of money. It could always be there and it will grow with the economy, facilitating the store of value proposition. 

The store of value is driven initially by speculation, and becomes a distributed P2P web of pooled positive savings. The pooled savings value can be eroded if everyone pulls their savings out at once, the result is ether crashing the exchange value, or spending and growing the economy. Both ways the Bitcoin system is strengthened and saving is reward delayed. 

And while everyone stores wealth in Bitcoin the increased value represent the surplus in the Fiat economies productivity, and when it reverses, it represents inflation in the Bitcoin economy, and a swing to the velocity of money as value and investment and development in the Bitcoin Economy.   

So it is becomes gold 2.0 fundamentally because it is limited in supply, and you have to work to get it. 

[bitcoin_bob]

From the most recent high.

Gold 72% of high.

BTC 41% of high.


 

Bob marley 99% of high.

The beegies voices 102% of high. Inhuman.

[BitcoinAshley]

Bangledert Zingleback hit the nail right on the head. Wealthy people, in the current financial climate, fail to recognize Bitcoin's extraordinary capabilities at their own peril.

Feel great to not be short-sighted, doesn't it?

Gee, gold and silver just do not want to go anywhere. I'm waiting till I can get Andrew Jacksons for $23 then I will load up. 

[cypherdoc]

Bangledert Zingleback hit the nail right on the head. Wealthy people, in the current financial climate, fail to recognize Bitcoin's extraordinary capabilities at their own peril.

Feel great to not be short-sighted, doesn't it?

Gee, gold and silver just do not want to go anywhere. I'm waiting till I can get Andrew Jacksons for $23 then I will load up. 

the bounce from gold and silver have been of extremely poor quality.

get ready for the next plunge.

[bitcoin_bob]

Bangledert Zingleback hit the nail right on the head. Wealthy people, in the current financial climate, fail to recognize Bitcoin's extraordinary capabilities at their own peril.

Feel great to not be short-sighted, doesn't it?

Gee, gold and silver just do not want to go anywhere. I'm waiting till I can get Andrew Jacksons for $23 then I will load up. 

the bounce from gold and silver have been of extremely poor quality.

get ready for the next plunge.

my fiat is ready!

Fiat? Thought you had a lambo?

[bitcoin_bob]

Bangledert Zingleback hit the nail right on the head. Wealthy people, in the current financial climate, fail to recognize Bitcoin's extraordinary capabilities at their own peril.

Feel great to not be short-sighted, doesn't it?

Gee, gold and silver just do not want to go anywhere. I'm waiting till I can get Andrew Jacksons for $23 then I will load up. 

the bounce from gold and silver have been of extremely poor quality.

get ready for the next plunge.

my fiat is ready!

Fiat? Thought you had a lambo?

http://en.wikipedia.org/wiki/Fiat_money  Try reading this.

Also (WTB) means Want To Buy, that implies I do not have one.

And just so you don't think too hard, when I say my fiat is ready it means I will buy silver when the price falls.

That, my friend, is what we used to call in the army a WAH!

I don't know what the civvy equivalent is, sorry. I think you guys call it 'sarcasum' or 'sarcasim' or 'sarcasam' or something......

[cypherdoc]

Gold down. Bitcoin steady.

Time to knife catch Chaang.

[cypherdoc]

Nikkei plunging.

Yen soaring.

Dow futures down over 100.

Gold collapsing.

Interest rates rising.

I love the smell of napalm in the morning.

[BitcoinAshley]

Nikkei plunging.

Yen soaring.

Dow futures down over 100.

Gold collapsing.

Interest rates rising.

I love the smell of napalm in the morning.

This post makes me strangely happy, even though it's all "bad news..."
Charlie don't surf!

[molecular]

Sadly much of the reason Bitcoin isn't yet recognized as a mobile (teleportable & hide-able) store of wealth for HNWI is due to misunderstanding within the Bitcoin community itself. People advertize Bitcoin as money and as a medium of exchange and discourage "speculation" without making a distinction between short-term trading for fiat profit and safe-haven wealth protection / long-term investing.

In actual fact, given capital controls and unforseeable events that may force anyone to vacate their country of residence in a hurry (or be wrongfully arrested, etc.), a person of sufficient wealth would have to be a fool not to have a few bitcoins stashed away - assuming the person simply understood Bitcoin. In such circumstances, 5% of your wealth in a brainwallet could mean the difference between a ruined life and a temporary return to a lower standard of living.

Here's the narrative I'd like to be the common Bitcoin community wisdom, because it's true:

"Although at least one solid medium-of-exchange use may have been necessary for bitcoins to become valued when no one knew about or trusted them, with probably over a million users that train has left the station. Bitcoin's functionality as a teleportable and secret store of value is currently its most compelling use for wealthy people, since it is a highly sought-after capability (or would be if people knew such science-fiction-level thing is now possible) provided by no other asset. The consistently extraodinary year-on-year growth is just icing on the cake."

Bitcoin is the ultimate offshore account, and it happens to be experiencing incredible growth as a bonus - more than enough to offset volatility on a yearly timescale.

Good stuff. I've always been thinking that way, but figured what keeps HNWI to put money into bitcoins is mainly lack of trust and also the fact that bitcoin is not 100% secure in the sense that it could just theoretically vanish from one day to the other. Those 2 points are basically ingorable by putting just 3% or 5% and seeing it not as an investment, but more of a type of insurance in these financially and politically increasingly uncertain times. Like gold, just much more easily transportable and hidable.

We could easily play the fear card. Even David Morgan is now openly talking about "conspiracy-type" stuff (new world order, petro-dollar, currency (and shooting) war with 2 factions: asian and west (imf, world bank, fed,..)). His goal is clearly to have his clientel hold on to gold/silver, but the same stuff should work for bitcoin just as well (maybe better because of teleportability/hidability, maybe worse because complete economic collapse could disrupt infrastructure).

[Zangelbert Bingledack]

Speaking of which, once we get some way for mainstreamers to have exposure to Bitcoin through a more standard investment vehicle (bitcoin ETF, etc.) we should also see gurus pushing bitcoins like they do precious metals, since they can offer services around it.

[cypherdoc]

Gold collapsing.  Bitcoin up.

[vokain]

Poor gold, when will it ever catch a break?

[cypherdoc]

Prepare for launch!

[cypherdoc]

Gold down. Bitcoin steady.

Time to knife catch Chaang.

i bought a very large amount (for me) at $22.

I'm waiting for $18.XX to add some, and then $13 to add a lot more.

and then $8, and then $5.

pretty soon you'll be freakin' rich!

[cypherdoc]

Gold down. Bitcoin steady.

Time to knife catch Chaang.

i bought a very large amount (for me) at $22.

I'm waiting for $18.XX to add some, and then $13 to add a lot more.

and then $8, and then $5.

pretty soon you'll be freakin' rich!

I don't think they dollar will ever be as strong as you think it will to get silver to $5.

its not just the dollar.