What are your thoughts on BitCoin?

[uppi]

Not really interested, but if you have cycles to spare on a GPU I may pay you (or the etherium network which you can join) to run my deep learning training. The demand for this sort of processing is only going up.

Why would you, though? As far as I understand this, anything calculated on the etherium network is essentially calculated by all miners. So it must be much more expensive than just buying the computing power from Amazon, otherwise the miners would not do it. Running something on the network will always be more expensive than getting computing power of your own.

What it offers are redundancy (cannot be taken down without involving the entire network) and independence from a central entity. This is interesting, but only really extends to contracts within the network. As soon as you want deals related to things outside the network, you need some way to get the data into the network and I currently do not see how to do that without reintroducing central entities.

 

[Mise]

Kicking myself for selling, price continues to rise. Still have 1

Selling at 5.3k was a good move imo. Besides, you had an investment strategy and you stuck with it. If you ask me, it's more important for an investor (especially individuals using their own money like you and me) to stick to their strategy than to change their minds day to day based on their gut. That's the road to ruin.

 

[Narz]

Update : Bought a lil more @ $13k (since then, about a day ago, it's gone up over 1,000), still think it's undervalued. I also have about $3k of Litecoin & $2k of etherium now.

If I'd just help all and not sold I'd have made almost $50,000 (as is I only made about $18,000 )

I don't think it'll peak til at least $25k.

I wish I'd trusted my instincts instead of doubters. I think the wave is still going.

 

[emzie]

You see the libertarian adoption of bitcoins as a bad thing. You couldn't be more wrong. They created a semi-non-shady reason to buy bitcoins. Now I can claim I'm not trying to buy weed, but am investing in the future.

Around then, I owned ~110 bitcoins. I really wish I had forgotten about them at the time.

 

[hobbsyoyo]

So the price of something went up $1,000 in a day and you think it is undervalued and you are going to hold?

 

[Broken_Erika]

So the price of something went up $1,000 in a day and you think it is undervalued and you are going to hold?

What could possibly go wrong?

 

[innonimatu]

This just goes to prove people never learn. A few years ago we had the gold bubble. This time it's one built on something that is not even real. The need for some kind of wealth lottery that is just withing reach remains part of the system. A few years from now, the same system remaining, will be some other "asset".

 

[Narz]

So the price of something went up $1,000 in a day and you think it is undervalued and you are going to hold?

Yes. When a guy on another forum said it would hit $8,000 by this year everyone dismissed him as a loon and I thought it was unrealistic. Now that it's blasted past $10k I realize it's undervalued and will likely keep going up til at least $25,000.

Generally when stuff goes up 2000% in a year it's because it's believed to be undervalued.

 

[uppi]

Meanwhile, the Bitcoin network crumbles under the load and transaction fees are over 20 dollars (in addition to the 90 dollars per transaction that are paid by inflation).

The interesting thing will be that when Bitcoin crashes, nobody will be able to sell. The Bitcoin crash will provide very interesting data for economists.

 

[onejayhawk]

I heard something today about Bitcoin which disturbed me. The short version is that the encryption is hackable. Bitcoin uses two generation old methods, which can fail to new generation decryption programs. True or not, the paradigm has always been that someone figures a way around any obstacle.

J

 

[Narz]

Meanwhile, the Bitcoin network crumbles under the load and transaction fees are over 20 dollars (in addition to the 90 dollars per transaction that are paid by inflation).

The interesting thing will be that when Bitcoin crashes, nobody will be able to sell. The Bitcoin crash will provide very interesting data for economists.

Why will no one be able to sell?

 

[innonimatu]

Meanwhile, the Bitcoin network crumbles under the load and transaction fees are over 20 dollars (in addition to the 90 dollars per transaction that are paid by inflation).

The interesting thing will be that when Bitcoin crashes, nobody will be able to sell. The Bitcoin crash will provide very interesting data for economists.

Keep in mind that they are already buying and selling outside the network, else this would not have been possible in the first place. Big funds jumped in after some "exchanges" set um the buying and sale of what is en practice a "right to a bitcoin". And now we have bona fide derivatives backed by the big banks. Gone is the ideological purity of bitcoin the independent network, this greed-fueled trade bypasses it.

All the disreputable tools of the financial trade have been applied. In fact the paralell with the usual operations of the gold market is striking: its the new digital gold. Except without the established cultural cachet, residual industrial value, and jurisprudence. Also without the actual scarcity as "digital coins" abound and keep being forked. But traders are seeing a killing to be made with this...

 

[onejayhawk]

Why will no one be able to sell?

Sell what? There isn't even any paper for it to not be worth.

J

 

[Zkribbler]

Read: Extraordinary Popular Delusions and the Madness of the Crowds. Bitcoins remind me of the tulip craze of tht 1630's.

 

[sophie]

Why will no one be able to sell?

A lot of those transaction costs are currently being subsidized by people mining for profit, which is why the perceived transaction costs are currently so low. But, if I recall, there is a built in mechanism to both increase the calculation costs every update of the blockchain AND a built in mechanism to reduce the rewards from mining for profit. And increasing portion of that transaction cost will be born by those wishing to see their transactions updated. In the end, it will only be worth updating the blockchain if you have sufficient money riding on a transaction that it's worth your time. And thus ends the democratization of the blockchain process ...

 

[Narz]

I'm guessing if it is a bubble it won't pop for at least another year. Still alot of money to be made. Went up $3,000 in just over 24 hours. Lot of new investors not wanting to miss the boat. I won't sell anymore until $25,000.

Read: Extraordinary Popular Delusions and the Madness of the Crowds. Bitcoins remind me of the tulip craze of tht 1630's.

https://seekingalpha.com/article/4130820-bitcoin-ordinary-bubble

 

[Zkribbler]

I Lot of new investors not wanting to miss the boat.

When the savvy guys begin sucking in hoards of amateur investors, it's a harbinger of an impending crash.

 

[Broken_Erika]

When the savvy guys begin sucking in hoards of amateur investors, it's a harbinger of an impending crash.

The Best Investment Schemes are 3d-Triangle-Shaped!

 

[hobbsyoyo]

I'm guessing if it is a bubble it won't pop for at least another year. Still alot of money to be made. Went up $3,000 in just over 24 hours. Lot of new investors not wanting to miss the boat. I won't sell anymore until $25,000.


https://seekingalpha.com/article/4130820-bitcoin-ordinary-bubble

Best of luck to you.

 

[civvver]

Update : Bought a lil more @ $13k (since then, about a day ago, it's gone up over 1,000), still think it's undervalued. I also have about $3k of Litecoin & $2k of etherium now.

If I'd just help all and not sold I'd have made almost $50,000 (as is I only made about $18,000 )

I don't think it'll peak til at least $25k.

I wish I'd trusted my instincts instead of doubters. I think the wave is still going.

No dude thank your lucky stars you made so much so quickly. Most people lose their shirts in stuff like this.

Is what you sold converted back into usd and sitting in a bank account now? Just curious how this happens. Cus a ton of people are pointing to guys like the winklevoss twins saying hey look they are billionaires now but the problem is they can't actually cash out that amount of bitcoins without crashing the market and the mechanisms to convert it to usd may not even exist, since of course the government and banks aren't buying bitcoins off you right now. You basically can only sell to other investors.

So it's a currency that functions more like a commodity which is ok in theory except that it has no intrinsic value unlike something like idk pork bellies or oil barrels cus they can be consumed, or even gold which is used in some electronics manufacturing.