Topic: 15 dollar arbitrage between bitstamp and gox right now??? - page 2. (Read 6862 times)
Is there a good online chart of the arbitrage spread?
BTC skyrocketing because people want their fiat. Strange times.
only from gox, people still buying BTC on btc-e and bitstamp.
BTC skyrocketing because people want their fiat. Strange times.
This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate 
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
When?
I think this is simply not true.
They would be sending AUD via SWIFT correct?
I have EUR and PLN waiting to be withdrawn for weeks as well.
Swift? I'm not sure...
Last time I withdrew money, I needed for a power bill on a monday/Tuesday night. On the Thursday it was there!
I was like HOLY SHIT.
True story
Where was the transfer from? An AUS bank? Or an international wire transfer from Mizou bank in Japan....?
The market making mechanism is to build a reserve and deal with short term supply and demand volatility, for long term change in supply and demand, those delay at banking will not affect dealer too much
I'm not talking about supply/demand volatility. I'm talking about supply/demand imbalance within a particular country. Some countries will be net importers of Bitcoin. Some countries will be exporters. Fiat (or some commodity money or good I suppose) will have to be used to settle up the difference.
This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
When was this ? Since July ?
June or July.
Exact date would be informative, as the problems started in July (not that there were no issues before lol)
Have you tried again recently ? Would be very interesting to know if it worked again now
This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
When was this ? Since July ?
June or July.
This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
When was this ? Since July ?
This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
When?
I think this is simply not true.
They would be sending AUD via SWIFT correct?
I have EUR and PLN waiting to be withdrawn for weeks as well.
Swift? I'm not sure...
Last time I withdrew money, I needed for a power bill on a monday/Tuesday night. On the Thursday it was there!
I was like HOLY SHIT.
True story
This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
When?
I think this is simply not true.
They would be sending AUD via SWIFT correct?
I have EUR and PLN waiting to be withdrawn for weeks as well.
The market making mechanism is to build a reserve and deal with short term supply and demand volatility, for long term change in supply and demand, those delay at banking will not affect dealer too much
I'm not talking about supply/demand volatility. I'm talking about supply/demand imbalance within a particular country. Some countries will be net importers of Bitcoin. Some countries will be exporters. Fiat (or some commodity money or good I suppose) will have to be used to settle up the difference. This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
Why aren't you making insane amounts of money yet then
Edit: ... Or are you
This is MTGOX's financial innovation: The withdraw time is so long that people are all forced to do long term investment in bitcoin, and the price will rise long term wise, this protect the exchange rate
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
If it takes several months to withdraw your dollars from NASDAQ, you would just buy some stock and hold them for years before you withdraw
Don't blame gox for USD withdrawal time. Blame your retarded government.
I withdraw AUD from gox and it takes 1 business day!
So happy I paid the 5$ dollar premium to get out now...
If each country have 6-10 large bitcoin dealers advertising their buy/sell order on localbitcoins.com, each of them have an order depth of 1000 coins, then people could move away from traditional exchanges and be independant of international bank transfers
It's very easy to setup a buy order ladder since everyone have fiat money, but it is more difficult to build up a sell order ladder since that will require huge amount of coins
It's very easy to setup a buy order ladder since everyone have fiat money, but it is more difficult to build up a sell order ladder since that will require huge amount of coins
Unless supply = demand in each and every country, international transfers will still need to happen.
The localbitcoins.com could use an automated market making system to adjust the bid and ask price for the largest 6-10 dealers' order
For example, if the demand for bitcoin is too high (Too much coins were bought from those dealers in a short time frame), they will automatically raise the bid/ask price for those large dealers, thus reduce the demand for coins. If the sell pressure is too high, they will lower the bid and ask price for those large dealers, thus increase the buying support. How much to raise or lower is the question here, it should provide low slippage but still enough flexibility
Sure, but if prices get out of whack people will start importing bitcoins from other countries and exporting their fiat to keep prices in sync. Doing this in a decentralized nature will still likely be way easier than a handful of major institutions attempting to move millions of dollars in 4-5 figure increments.
The market making mechanism is to build a reserve and deal with short term supply and demand volatility, for long term change in supply and demand, those delay at banking will not affect dealer too much
sr. member
Activity: 294
Merit: 250
This bull will try to shake you off. Hold tight!
A mistrustful part of me suspects that MtGox is making huge profits arbitraging the price difference themselves, which gives them a perverse motivation to keep withdrawals slow.
Unfortunately I have a feeling you might be spot on with that theory...
It all doesn't matter really. Fact is that gox has serious banking problems as indeed the price difference proves that arbitraging isn't done decently, even not by themselves or their friends. They may have a lot of capital reserves, they will still have to close shop if they continue to be unable to find a banking partner. Since banking partners have good reason to avoid gox since they are now targeted by homeland security and have US bank accounts frozen, I don't think the banking problem will be resolved soon.
It's too late for gox to now simply reject US customers as this won't change their accounts being frozen in the US and them being chased by Homeland Security. And as long as this is the case they will have a hard time finding a banking partner.
It looks to me Mtgox is now forced to get a US license so that it's accounts are unfrozen. As long as they don't do that banks will avoid them I think. Mtgox will have to get a license in all 52 US states though, as authorities will look for any reason to keep the accounts frozen, so I would think that can take years and will cost millions. As usual it's just a shakedown. However, in the meantime customers will get frustrated more and more.
Unless your withdrawals are being processed for some mystical reason, I think it's smart to not do the arbitrage as chances are high the 10% you think you make will end up costing you 10% when you finally give up on mtgox and have to get your fiat out for 20% premium over bitstamp. Could even end up being a lot more if you are susceptible to panicking with the herd.
A mistrustful part of me suspects that MtGox is making huge profits arbitraging the price difference themselves, which gives them a perverse motivation to keep withdrawals slow.
Trust in them is worth much more. A properly working Gox is a money making machine. Mtgox need to offer Ripple as a cash in/out method like BitStamp.. this will entice people holding MtGoxUSD to hold onto them (as ripple assets) instead of exchanging for BTC and withdrawing.
Then users can trade their MtGoxUSD freely with other ripple assets, including BitStamp directly.. If MtGox are really having reserve problems this could extend their game a little longer.. but also allow liquid trading of GoxUSD and better arbitrage opportunities.
Mtgox were probably hesitant to adopt Ripple because they had such a dominating market share and didn't need too.. but that is quickly disappearing.
Then users can trade their MtGoxUSD freely with other ripple assets, including BitStamp directly.. If MtGox are really having reserve problems this could extend their game a little longer.. but also allow liquid trading of GoxUSD and better arbitrage opportunities.
Mtgox were probably hesitant to adopt Ripple because they had such a dominating market share and didn't need too.. but that is quickly disappearing.
There are regulatory issues with issuing tradeable USD denominated IOUs. MtGox used to provide codes that allowed that before Ripple existed, but they shut it down because they have enough legal headaches as it is. Bitstamp is asking for trouble. Just look at how things turned out for Liberty Reserve.
Mtgox need to offer Ripple as a cash in/out method like BitStamp.. this will entice people holding MtGoxUSD to hold onto them (as ripple assets) instead of exchanging for BTC and withdrawing.
Then users can trade their MtGoxUSD freely with other ripple assets, including BitStamp directly.. If MtGox are really having reserve problems this could extend their game a little longer.. but also allow liquid trading of GoxUSD and better arbitrage opportunities.
Mtgox were probably hesitant to adopt Ripple because they had such a dominating market share and didn't need too.. but that is quickly disappearing.
Then users can trade their MtGoxUSD freely with other ripple assets, including BitStamp directly.. If MtGox are really having reserve problems this could extend their game a little longer.. but also allow liquid trading of GoxUSD and better arbitrage opportunities.
Mtgox were probably hesitant to adopt Ripple because they had such a dominating market share and didn't need too.. but that is quickly disappearing.
Jump to: