Economy Bitcoin Doubters, Come Eat Your Crow

[mike sherry]

You should call the CEO of Merrill Lynch and relate to him how badly you got "scammed".

you mean jamie dimon?

he would just say that homie cashed in on the ponzi early

 

[Phelly2]

How did you cash them in?

I had bought them through a website called Coinbase. So it was easy.

 

[SaucyJack]

I can afford to gamble a couple hundred bucks. Don’t know if I should get in now or expect it to drop a bit before it makes more gains.

 

[mike sherry]

I can afford to gamble a couple hundred bucks. Don’t know if I should get in now or expect it to drop a bit before it makes more gains.

I should point out that there is a hard fork coming up this month that is likely driving up the price


People describe a hard fork as similar to a stock split, and in some ways it is similar, but really its only to simplify what it is. Basically bitcoin has a transaction block problem, and there are people that want to make an update to the block chain with larger block sizes.

Not enough people on the core development team support it for it to happen.

Sometime in about two weeks Segwit2x will activate, and the miners that decide to mine on Segwit2x will move onto this new coin.

A segwit2x bitcoin =/= a bitcoin today. The split will give you equal amounts of what you own. If you own .5 bitcoins before the split, after the split you will have .5 bitcoins and .5 segwit 2x bitcoins.

There's no telling what will happen to the values of both coins. One could become worthless. Both values after the split could be equal to what it is now, or not. Who knows. I certainly don't.

 

[mudflap mike]

what is the most anyone has actually cashed out for on bitcoin?

i hear it is impossible to sell anything over a total value of $10,000

 

[Ruprecht]

what is the most anyone has actually cashed out for on bitcoin?

i hear it is impossible to sell anything over a total value of $10,000

Depends on who you use. Usually there's transaction limits and daily limits..

 

[mike sherry]

what is the most anyone has actually cashed out for on bitcoin?

i hear it is impossible to sell anything over a total value of $10,000

Homie bought a lambo

http://www.businessinsider.com/a-4chan-user-bought-a-200000-lamborghini-using-bitcoin-2013-12?IR=T

Atleast one house has been bought

http://markets.businessinsider.com/...-Estate-Purchase-Recorded-in-Texas-1002379851

coinbase allows you to request higher than 10k withdraw limit

 

[Deleted member 457759]

I had bought them through a website called Coinbase. So it was easy.

Mine are sitting on coinbase. What did you convert the bitcoin too when you cashed in?

 

[4daLuLZ]

I’ve cashed out more than I’ve put in. Still got a coin left

Did you cash out 6k plus your initial buy ?

 

[Rockapotomuss]

Did you cash out 6k plus your initial buy ?

No, I bought and sold along the way. Total out is slightly more than put in. With one coin in, it's now about $7k over. I made a few sells that, while profitable at the time, cost opportunity. I still don't have faith in bitcoin long term, and will likely exit pretty hard around $10k, even though I'm pretty confident it will hit $50k and believe it has a good chance of hitting $100k.

The thing about bitcoin is I believe it's easily spoofed with alt coins that can be artificially pumped, which means the price of bitcoin can go up to whatever the miners who can do free transactions (since they get all the fees) want it to be. The only problem is there won't be enough USD to go around if many people start to sell.

 

[AVX]

I remember looking into bitcoin when it was around $40 or so. I went to coinbase and started the process of opening an account but it just seemed too suspect for me, too many steps made me feel a little uncomfortable about it. Oh well, the story of my life-- over analyze and miss out

 

[mike sherry]

The thing about bitcoin is I believe it's easily spoofed with alt coins that can be artificially pumped, which means the price of bitcoin can go up to whatever the miners who can do free transactions (since they get all the fees) want it to be. The only problem is there won't be enough USD to go around if many people start to sell.

I dont see how any of this makes sense.

Alt coins are not bitcoin, they dont help bitcoins price. They are substitute cryptocurriences that if anything would hurt bitcoins cost.

There are many competing mining pools.. I dont see how that point about free transaftions makes sense. There is no guarantee that your pool will be able to mine the block with the fees attached.

 

[Rockapotomuss]

I dont see how any of this makes sense.

Alt coins are not bitcoin, they dont help bitcoins price. They are substitute cryptocurriences that if anything would hurt bitcoins cost.

There are many competing mining pools.. I dont see how that point about free transaftions makes sense. There is no guarantee that your pool will be able to mine the block with the fees attached.

Alright, let me walk you through it.

Say you start your own 3 alt coins, each with a limit of 1 mil coins, call them A coin, B coin, and C coin, your own 3 mining pools for each coin, and your own exchange.

You throw $1k USD onto your exchange for the 3 coins, and maybe convince a few others to throw in another $9k. Now you have $10k market cap on an exchange with 3 new alt coins before any trading has begun. Each coin has a price of 0.003333 (10k / 3 / 1mil), each coin has a market cap of $3.333 (price per coin x number of coins, or 0.003333 x 1 mil = $3.333).

Next, you trade 1 A coin for 2 B coins. A coin are now double the value of B coin. The price of A coin is now 0.006666 (0.003333 x 2), and the market cap of A coin is now $6.6k (price of A coin x number of coins, or 0.006666 x 1 mil = $6,666).

Then, you trade 1 A coin for 10 C coins. A coin now appears 10x more valuable than C coin. The price of A coin is now 0.039996 (0.003333 per C coin x 10 = 0.0333 + price of A coin of 0.006666 = 0.039996), and the market cap of A coin is now $39,996 (price of A coin x number of coins, or 0.039996 x 1 mil = $39,996).

With only $10k USD invested, A coin has a market cap of $39,996. All of the transaction fees are free, since you're the only miner.

Next, you either get A coin listed on someone else's exchange that includes bitcoin, or get another alt coin that is convertible for bitcoin listed on your exchange. Now you bid your A coin for bitcoin, driving the price of bitcoin up. Voila.

 

[Cubo de Sangre]

Alright, let me walk you through it.

Say you start your own 3 alt coins, each with a limit of 1 mil coins, call them A coin, B coin, and C coin, your own 3 mining pools for each coin, and your own exchange.

You throw $1k USD onto your exchange for the 3 coins, and maybe convince a few others to throw in another $9k. Now you have $10k market cap on an exchange with 3 new alt coins before any trading has begun. Each coin has a price of 0.003333 (10k / 3 / 1mil), each coin has a market cap of $3.333 (price per coin x number of coins, or 0.003333 x 1 mil = $3.333).

Next, you trade 1 A coin for 2 B coins. A coin are now double the value of B coin. The price of A coin is now 0.006666 (0.003333 x 2), and the market cap of A coin is now $6.6k (price of A coin x number of coins, or 0.006666 x 1 mil = $6,666).

Then, you trade 1 A coin for 10 C coins. A coin now appears 10x more valuable than C coin. The price of A coin is now 0.039996 (0.003333 per C coin x 10 = 0.0333 + price of A coin of 0.006666 = 0.039996), and the market cap of A coin is now $39,996 (price of A coin x number of coins, or 0.039996 x 1 mil = $39,996).

With only $10k USD invested, A coin has a market cap of $39,996. All of the transaction fees are free, since you're the only miner.

Next, you either get A coin listed on someone else's exchange that includes bitcoin, or get another alt coin that is convertible for bitcoin listed on your exchange. Now you bid your A coin for bitcoin, driving the price of bitcoin up. Voila.

 

[mike sherry]

Alright, let me walk you through it.

Say you start your own 3 alt coins, each with a limit of 1 mil coins, call them A coin, B coin, and C coin, your own 3 mining pools for each coin, and your own exchange.

You throw $1k USD onto your exchange for the 3 coins, and maybe convince a few others to throw in another $9k. Now you have $10k market cap on an exchange with 3 new alt coins before any trading has begun. Each coin has a price of 0.003333 (10k / 3 / 1mil), each coin has a market cap of $3.333 (price per coin x number of coins, or 0.003333 x 1 mil = $3.333).

Let's rename these to shitcoins considering they are just a blatant pump and dumb, but I'm fine with this setup so far.

Next, you trade 1 A coin for 2 B coins.

Sure.

A coin are now double the value of B coin.

Lol no. That is like saying if I go to a honda dealership and overpay by 5000 that i just raised the price of all hondas.

Next, you either get A coin listed on someone else's exchange that includes bitcoin, or get another alt coin that is convertible for bitcoin listed on your exchange. Now you bid your A coin for bitcoin, driving the price of bitcoin up. Voila.

Except no one would ever buy your shitcoin with their bitcoin, unless they were stupid.

I can't really tell if you are being serious

 

[Rockapotomuss]

Let's rename these to shitcoins considering they are just a blatant pump and dumb, but I'm fine with this setup so far.


Sure.


Lol no. That is like saying if I go to a honda dealership and overpay by 5000 that i just raised the price of all hondas.


Except no one would ever buy your shitcoin with their bitcoin, unless they were stupid.

I can't really tell if you are being serious

If you’re the only buyer of Hondas, you do set the price.

Once your coin is on an exchange, people will trade for it. And it’s not hard to get listed on smaller exchanges if you agree to list their coins on your exchange.

 

[mike sherry]

If you’re the only buyer of Hondas, you do set the price.

Once your coin is on an exchange, people will trade for it. And it’s not hard to get listed on smaller exchanges if you agree to list their coins on your exchange.

Don't get me wrong, plenty of people are buying shitcoins and they will lose their money. That absolutely happens.

You are setting the prices for the market when it's 4 people. You would then have to trick someone to take your shitcoins and they become the bag holder. There is absolutely no guarantee that you can scam enough people to buy at your prices.

And no, even with enough people to scam I fail to see how you affect the bitcoin price at all. Unless you scammed so many people that there was a mass exodus from bitcoin all together to your coin. Which would lower bitcoin. How does people handing their bitcoin position to you drive up the price at all? I don't think you've thought it far out enough.

 

[Rockapotomuss]

Don't get me wrong, plenty of people are buying shitcoins and they will lose their money. That absolutely happens.

You are setting the prices for the market when it's 4 people. You would then have to trick someone to take your shitcoins and they become the bag holder. There is absolutely no guarantee that you can scam enough people to buy at your prices.

And no, even with enough people to scam I fail to see how you affect the bitcoin price at all. Unless you scammed so many people that there was a mass exodus from bitcoin all together to your coin. Which would lower bitcoin. How does people handing their bitcoin position to you drive up the price at all? I don't think you've thought it far out enough.

What I laid out was a simplistic example of how it works. Once you understand how it works, then multiply that by all of the people doing this. They're not going straight from A shitcoin to bitcoin, all they have to do is get it in Clams, or some other coin that is easily convertible to bitcoin, and to get there, they may go through 5 or 6 levels of shitcoin, and across 5 or 6 exchanges.

Let's face it, the only difference between a shit coin and an alt coin is market cap. It's like the difference between a cult and religion is number of followers. They're all empty promises. They're all shit coins.

This is why I say bitcoin is a massive multi-layered fraud that is doomed to fail. There just isn't enough USD invested in to support the market cap. This whole thing will end very badly.

 

[Cubo de Sangre]

This is why I say bitcoin is a massive multi-layered fraud that is doomed to fail. There just isn't enough USD invested in to support the market cap. This whole thing will end very badly.

Will it never find use as a currency?

 

[Videer]

Will it never find use as a currency?

Why would anyone buy something with a currency when tomorrow you could get more?