Dark Markets: good or bad for BTC?

[TonyT]

Please examine the two links below from October 2014 and then take the poll:  are dark markets good or bad for BTC?  Note these markets have actually grown in the last year.  I say they are good for bitcoin (and I don't buy from these markets, but I do use BTC for commercial goods and services).

TonyT

[1] http://www.coindesk.com/ross-ulbricht-hero-villain/  - A spokesperson from the Bitcoin Foundation cited the prompt increase in the price of bitcoin following the closure of Silk Road as a signal that the bitcoin community regarded the site as a “liability”

[2] http://www.coindesk.com/dark-markets-grow-bigger-bolder-year-since-silk-road-bust/ -  According to academics and researchers studying dark web markets – which transact almost exclusively in bitcoin – listings for illicit goods and services have actually grown in the aftermath of the Silk Road bust. The rising popularity of such markets among drug vendors and customers means that illicit trade is set to expand even more, one researcher believes.

[1713850211]

1713850211

[1713850211]

1713850211

[1713850211]

1713850211

[1713850211]

1713850211

[1713850211]

1713850211

[eizh]

I voted good. I don't think point #1 is conclusive. The price has also benefited from knowledge that BTC was used in the darknet markets.

[Window2Wall]

Well they certainly helped bitcoin become what it is today. If it was not for SR then bitcoin would likely have not gotten any where near as much press nor would it likely have as much adoption that it does today.

On the other hand most dark markets enable people to buy very illegal things and enable people to make what I consider to be very bad decisions

[theblacksquid]

I would say they've done bitcoin good. There are things not meant to be illegal, but driven underground by gov't interests. Not all of the things in darks markets are good, but they've helped bitcoin discover its worth, not just its price.

[sandykho47]

There are good side & bad side :
The good side is bitcoin is more popular & bitcoin price will up because they have to buy BTC
The bad side is bitcoin have bad reputation (for used at bad purpose)

But, looks like most people don't care about the bad side 

[Klubknuckle]

Good because it makes BTC more useful..

[Sefton]

Dark markets have been great for btc. In fact, if it wasn't for them bitcoin may not be where it is now. Of course neysayers will always try to discredit btc because of it's ties to ilegal stuff, but luckily bitcoin has moved away from bad things and towards the mainstream so that wont matter much in the future.

[yayayo]

Any use of Bitcoin is good for Bitcoin, because transcation volume increases. Bitcoin is just neutral technology without political strings attached.  So there is no moral justification to blame Bitcoin for anything "illegal" happening.

Also Bitcoin works on a global scale across various jurisdictions. So even if some people try to blame Bitcoin for illegal activities, their ability to damage Bitcoin is very limited.

ya.ya.yo!

[TonyT]

Any use of Bitcoin is good for Bitcoin, because transcation volume increases. Bitcoin is just neutral technology without political strings attached.  So there is no moral justification to blame Bitcoin for anything "illegal" happening.

Also Bitcoin works on a global scale across various jurisdictions. So even if some people try to blame Bitcoin for illegal activities, their ability to damage Bitcoin is very limited.
 

True, I believe.  But when I asked some mild-mannered family members in the USA about Bitcoin, much to my surprise they were very harsh in their judgement and thought it should be banned.  Normally they are indifferent about things.  Why?  I think it's because Bitcoin has a 'dark' image with dark markets.  If you can buy illegal weapons and drugs with it, it must be bad say many (see also here: http://www.forbes.com/pictures/edej45fflfd/murder-3/).  It would not shock me if a few years from now either BTC goes mainstream, or, it is banned in the USA, the same way the Chinese seem to be trying to ban it or regulate it.

[GangkisKhan]

Bad.

Legitimate business will not want to associate with products that might damage their brand.

[neurotypical]

Bad.

Legitimate business will not want to associate with products that might damage their brand.

So should like every business in the world stop all machines right now? last time I checked 99.9999 of business deal with dollar, same as 99.9999 crime related activity.

Don't kill the messenger. What is done with a currency doesn't make said currency good or bad.

[DhaniBoy]

I think there is no influence on the price of the exchange bitcoin, bitcoin when used on the black market, because it has a character of its own bitcoin crypto, which can only be used with a stable internet connection and free of taxes, because there are no government regulations that govern the use of bitcoin as a means of exchange financial transactions and trade ... 

[TonyT]

Bad.

Legitimate business will not want to associate with products that might damage their brand.

So should like every business in the world stop all machines right now? last time I checked 99.9999 of business deal with dollar, same as 99.9999 crime related activity.

Don't kill the messenger. What is done with a currency doesn't make said currency good or bad.

Well said neurotypical except for one thing:  over the last 20 years I notice cash as opposed to credit cards is being regulated out of existence.  When you deposit cash into a US bank, it triggers the Know Your Customer rules, and likewise if you try and get an excessive number of money orders at the local Western Union.

So I think bitcoin is going to slowly get a 'bear hug' from the state soon, and be 'regulated out of existence', slowly or quickly, just like cash. :-(

[bitbunnny]

Bad.

Legitimate business will not want to associate with products that might damage their brand.

So should like every business in the world stop all machines right now? last time I checked 99.9999 of business deal with dollar, same as 99.9999 crime related activity.

Don't kill the messenger. What is done with a currency doesn't make said currency good or bad.

Well said neurotypical except for one thing:  over the last 20 years I notice cash as opposed to credit cards is being regulated out of existence.  When you deposit cash into a US bank, it triggers the Know Your Customer rules, and likewise if you try and get an excessive number of money orders at the local Western Union.

So I think bitcoin is going to slowly get a 'bear hug' from the state soon, and be 'regulated out of existence', slowly or quickly, just like cash. :-(

I think that what you described is inevitable some day, but no so soon.

[Unbelive]

Please examine the two links below from October 2014 and then take the poll:  are dark markets good or bad for BTC?  Note these markets have actually grown in the last year.  I say they are good for bitcoin (and I don't buy from these markets, but I do use BTC for commercial goods and services).

TonyT

[1] http://www.coindesk.com/ross-ulbricht-hero-villain/  - A spokesperson from the Bitcoin Foundation cited the prompt increase in the price of bitcoin following the closure of Silk Road as a signal that the bitcoin community regarded the site as a “liability”

[2] http://www.coindesk.com/dark-markets-grow-bigger-bolder-year-since-silk-road-bust/ -  According to academics and researchers studying dark web markets – which transact almost exclusively in bitcoin – listings for illicit goods and services have actually grown in the aftermath of the Silk Road bust. The rising popularity of such markets among drug vendors and customers means that illicit trade is set to expand even more, one researcher believes.

Any market is a good market. Same as any advertisement is good advertisement. 

More markets there is, more users Bitcoin will get, more it will spread and get adopted. This will make price more stable. Stable price will atrack even more users with less speculative nature as have current Bitcoin user base.

Those that want bad to Bitcoin will find flaws in anything. You can see that on this forum a lot. FUDers find bad things in any new news. 

[giantdragon]

Any markets are good for Bitcoin because they expand it's user base.

[Meuh6879]

Good because it makes BTC more useful..

clear ... it's an automated bitmixer feature.
always good.

[ANTIcentralized]

Any use of Bitcoin is good for Bitcoin, because transcation volume increases. Bitcoin is just neutral technology without political strings attached.  So there is no moral justification to blame Bitcoin for anything "illegal" happening.

Also Bitcoin works on a global scale across various jurisdictions. So even if some people try to blame Bitcoin for illegal activities, their ability to damage Bitcoin is very limited.

ya.ya.yo!

I would disagree with this. Bitcoin currently has somewhat of a bad name for itself as a means for criminals to steal money and for a way for people to buy and sell illegal drugs on the internet. I would argue that this reputation has somewhat sniffled consumer adoption for legit/legal uses

[TonyT]

Any use of Bitcoin is good for Bitcoin, because transcation volume increases. Bitcoin is just neutral technology without political strings attached.  So there is no moral justification to blame Bitcoin for anything "illegal" happening.

Also Bitcoin works on a global scale across various jurisdictions. So even if some people try to blame Bitcoin for illegal activities, their ability to damage Bitcoin is very limited.

ya.ya.yo!

I would disagree with this. Bitcoin currently has somewhat of a bad name for itself as a means for criminals to steal money and for a way for people to buy and sell illegal drugs on the internet. I would argue that this reputation has somewhat sniffled consumer adoption for legit/legal uses

From what I've learned in the last few weeks, a lot of Bitcoin founders and whales agree with you.  They will IMO try and change Bitcoin to be less anonymous and more like a very cheap and powerful Western Union or PayPal.  If not, I'm afraid Bitcoin will go the way of "Linux" in the OS desktop market:  a mere niche product with not much following except from diehards like drug dealers (for BTC not Linux users).

[pattu1]

Bitcoin is going to get popular with all sections of the society.
It is just that the dark markets have been quicker to adopt Bitcoin, and the rest of society is still playing catch up.