Gold collapsing. Bitcoin UP.

[cypherdoc]

VIX continues to ramp, baby!  look at that green candle!

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[cypherdoc]

Dow breaks below 17000...

[cypherdoc]

Dow -167

[cypherdoc]

Vix up 39.27%

[dozerz]

Vix up 39.27%

vix jumps on malasian air news

[justusranvier]

All this talk about New York and their Bitlicenses reminded me of this essay from a few years ago:

http://dumpdc.wordpress.com/2010/05/10/new-york-who/

Because what does New York produce, other than chaos, despair, rhetoric and confusion? Once upon a time we believed the lie that Manhattan supplied financial horsepower to drive industry and production, but now we know it is just a con-artist that preys upon the weak and the helpless. Chances are, most of us would be able to run our own businesses fine without their meddling in our affairs, either directly or through their regulatory pawns in DC.

[cypherdoc]

Vix up 39.27%

vix jumps on malasian air news

lotsa shit goin on:  http://www.imemc.org/article/68507

[Dragonkiller]

Dow -167

No worries, new ATH by the end of next week...  these fuckers...

[cypherdoc]

pretty powerful stuff:

http://www.theguardian.com/world/video/2014/jul/17/edward-snowden-video-interview …
 

[tabnloz]

This is one of the catalysts I am looking for to spark a Bitcoin rally like no other:

The next time the world has a financial crisis, Bitcoin will soar to the heavens as central banks around the world print to oblivion.

Central banks are all tapped out, they cant do any more printing on that kind of scale. The only 'bank' with a clean balance sheet is the IMF. Next time reality bends the financial class over and kicks it in the nuts, the IMF is the only institution that can step in by printing SDR's.

When this happens you're going to see a revaluation of gold, as gold will be included in the new basket of currencies

And to be in an asset that sits outside the regular financial system at that time, decentralised and immune (to an extent), is the place to be and why everyone is so confident in btc.

In that case I'd say it will be Gold UP, Bitcoin WAY UP.

I doubt they'll get an sdr going. Especially given yesterday's announcement:

http://abcnews.go.com/Business/wireStory/emerging-nations-plan-world-bank-imf-24555957

China has been rebuffed for years from imf inclusion.

The IMF already printed a bunch of SDR's during the Financial Crisis

The SDR is an international reserve asset, created by the IMF in 1969 to supplement its member countries' official reserves. Its value is based on a basket of four key international currencies, and SDRs can be exchanged for freely usable currencies. With a general SDR allocation that took effect on August 28 and a special allocation on September 9, 2009, the amount of SDRs increased from SDR 21.4 billion to around SDR 204 billion (equivalent to about $316 billion, converted using the rate of March 12, 2014).

http://www.imf.org/external/np/exr/facts/sdr.HTM

My point is that the US, UK cannot print anywhere near the trillions that will be needed if we have an 2008 mk 2, simply because the western economies have kicked the can and reflated the bubbles with cheap, easy, printed $$ and their balance sheets have zero room for expansion (as they are basically insolvent).

The creation of a BRIC Bank is also interesting. It marks a continued move away from the USD and the dominance of the petrodollar. I think this may give rise to these currencies being given weight in a new currency basket, but you may be right, the politics and non inclusion of countries like China and the sanctioning of Russia are yet more twists in the tale.

Someone upthread also made the point that bail-ins will happen first before SDR's. I agree, the next time an economy or bank goes under we'll see bail-ins 'for our own good', but I think this will just pre-empt a country/continental/worldwide run on banks and a loss of confidence. In this case, the IMF will step in to provide Central banks with SDR's.

Don't know if it will help at all. But my thoughts is that Gold will rise. The old school, the financials of yesteryear will clamour for its reputation and safety while the upstarts, the 'younger' innovative generation / institutions will jump into btc.

[Torque]

E.C.B. Sets Tight Deadline for Troubled Eurozone Banks

http://www.nytimes.com/2014/07/18/business/international/ecb-sets-deadline-for-troubled-eurozone-banks.html?rref=world/europe&module=Ribbon&version=context&region=Header&action=click&contentCollection=Europe&pgtype=article

[cypherdoc]

Gold whipping around like a hooked fish.

[cypherdoc]

wow, all seems to be a terrible mistake:

http://www.nytimes.com/video/world/europe/100000003007777/audio-of-intercepted-calls-of-separatists.html?playlistId=100000002829479

again, moral of story is never fly over combat areas.

[cypherdoc]

Uber gearing up; for ice cream!:

[cypherdoc]

everyone needs to read the NYDFS document carefully, formulate your own opinions, and submit any concerns or change proposals to Lawsky as soon as possible.  NY is an important and pivotal test case concerning regulation:

http://www.dfs.ny.gov/about/press2014/pr1407171-vc.pdf

[cypherdoc]

Bitcoin and the history of money:

https://www.youtube.com/watch?v=IP0jCjyrew8

[cypherdoc]

balanced article on NYDFS:

http://www.coindesk.com/bitcoin-industry-nydfs-bitlicense-proposal/

[zeetubes]

wow, all seems to be a terrible mistake:

http://www.nytimes.com/video/world/europe/100000003007777/audio-of-intercepted-calls-of-separatists.html?playlistId=100000002829479

again, moral of story is never fly over combat areas.

I wonder who set the flight path.

[cypherdoc]

wow, all seems to be a terrible mistake:

http://www.nytimes.com/video/world/europe/100000003007777/audio-of-intercepted-calls-of-separatists.html?playlistId=100000002829479

again, moral of story is never fly over combat areas.

I wonder who set the flight path.

i think they had regularly scheduled flights over the area for years.

[cypherdoc]

there's alot of negativity running around about the NYDFS release yesterday.  and rightly so, there is alot of overbearing, overreaching regs in there that could be abused and which set unrealistic expectations on startups as well as on transmitters. the big question is who is considered a transmitter? i've seen all sorts of extrapolations to Changetip and to blockchain.info.  yes, it would be best if many of these regs weren't even in place to let innovation flourish and let the market figure it out.  unfortunately, that's not what the regulators are going to allow.

the point i really want to make is that while many of you may be selling off from fear of these regulations permanently constricting Bitcoin, the big boys are doing the opposite.  they are embracing the clarity and will be moving forward in the space no matter how the most ultra-Libertarian participants feel.  and with that forward movement comes their money.  to then be followed by waves of USD investors.  actors like the Winklevii, Circle, SecondMarket are going to be unleashing their enterprise products very soon.  the question is, do you want to be around when they hit the market?  or would you rather get out now from fear that Bitcoin is being constricted?  i, for one, will be sticking around to see what happens b/c it will be big.  we're in a bull flag configuration, afaic, and the price is waiting to launch.  the important thing to realize is that even in the most negative scenario where nothing gets modified in the NYDFS regs, Bitcoin will route around NY.  you'd be blind to not see that given the uptake in Bitcoin all around the world in so many places not deemed possible in years past.  yes, NY is important, but otoh who caused this whole mess in the first place?  how fitting if they unintentionally quarantine themselves off from the greatest achievement in monetary science.  i actually think Lawsky sees this but can't completely extricate himself conceptually from his role as Superintendent.  he may in fact make a mistake, but don't you.  hang in there b/c nothing has fundamentally changed and NY can't stop what is happening globally. 

in the meantime, read that document carefully and submit your change proposals to try and make it right.  that's what i'll be doing.