Topic: A Theory on what pirateat40 is doing - page 15. (Read 39920 times)

Hey, stop borrowing my lines

cytokine:

you premise is "Pirate wants to buy huge amount of Bitcoin and he does it by selling/shorting it". Is it correct summary of your long post?

See this:

Borrowing BTC denominated assets = expecting Bitcoin to go down in relation to some base asset, for example, USD or gold (assuming that profit is the objective here).

Now please explain how come one can accumulate large amount of some asset by shorting it?

I'd speculate that accumulating large amount of bitcoins by borrowing could work if and only if not returning the capital borrowed is in plans.

Next!

Regardless of whether or not Pirate is running a Ponzi scheme, all of the posted ideas of how he could be making his money work fantastically, and I'm now living on a small Caribbean Island I own.

Just PM me if you want a 7% / week interest bearing account. This won't expose you to any risk of BS&T failing, but still provide a great return! In between sunbaking, and sipping mojitos and daiquiris, my staff and I will be only too happy to answer any questions you might have.

I can't tell you the secret of my investment strategy as this would impact it's effectiveness. I can guarantee however that not one coin of interest will be the result of any criminal activity.

Past performance is not a reliable indicator of future performance. I retain the right to any bitcoins invested with me. Caveat emptor.

I hope to god no one takes this seriously.

and this is undeniable

Catch the moment!

The reason Pirateat40 responded to Serge is because it draws attention to the wrong side of the problem, the one that takes more time to discuss.

Serge, an idea for the most profitable enterprise of all time is not the point of discussion here. The question is why would he continue to share it! Sure, in the beginning he might have lacked funds. But now? There's just no way any sensible person would now try to get as many investors as possible!

This argument kills it in one go. All counters have been quickly debunked. Wake up and help spreading the word already.

Infantry cannot hold the lines, cavalry to the rescue!

I wonder who will be wearing a bathing costume when the tide recedes?

If pirate ends up running not a Ponzi but instead does what he says: selling BTC at high premium, Bitcoin could be taken for a nice ride within next few years.

All Ponzi speculation aside, we know this theory has a merit and high probability it may be one. Are there any other plausible explanations to pirate's operation with such great returns?

At first I couldn't imagine who would want to buy bitcoins at high premium and why. do you know?! Besides drug cartels, money laundry and some three letter agency questionable special covert ops funding?

What if there are smart and wealthy individuals who realized great potential of Bitcoin and decided to get in. Their target may be significant amount of bitcoins without driving exchange rate through the roof and they are ready to invest several million dollars. Although they could have gone through exchanges and probably buy bitcoins even at $10-20/BTC wouldn't it make sense to setup bitcoin lending operation and purchase at 10-15% premium all sub $10 bitcoins - given that they don't want to spend significant amounts of time on exchanges to acquire bitcoins at slow steady pace. They want to sign a check each week and get their bitcoins. Here comes the pirate and ready to sell at 10-15% premium. Pirate alone or conspiring with these individuals to keep bitcoin rate as sane prices (sub $10/BTC for instance) throughout their acquisition period. Bitcoin prices at $4-7 seem fair and pretty stable. Sub $4-3 prices - and everyone wants in so the rate isn't stable; over $8 and there is a risk of another bitcoin hype and explosion which could potentially get out of their control.
Once these individuals hit their target and complete acquisition they will start telling about Bitcoin to all their other wealthy buddies or simply start a new hype, or they don't even have to do anything if they have managed to acquire all available sub $10 bitcoins and the price will naturally start to rise (through the roof) to mid double or maybe even up to triple digits.

$5-6/BTC + 10-15%   better than over $10 BTC when purchasing, is it not?

Could this possibly work while providing great interest rates to lenders at the same time manipulating exchanges with great psychological walls to keep bitcoin prices at low rates for the time being? Or it doesn't make any sense? What do you guys think?

No. Just that he can do all of this with his own funds and get less than 12 weeks amortization time and exponential growth of his own funds, so why the hell is he giving away free money?

Stay in reality. A shady charity? Are you serious?

Love how you are all getting your panties up in a bunch.

Also, BurtW in the other thread with the same behaviour : shouting ponzi,ponzi,ponzi,ponzi,ponzi etc.

Game is over soon for the pirate ...

Funny because I thought you were one of the most trustful guys on this forum, goat !

That's one of the most important truths out there.

“it is impossible to make a man see something that his `paycheck` depends upon him not seeing it.”

In my humble opinion the activity that Pirate is doing has all the characteristics of a Ponzi.

I am often quite surprised that they are so many people that seems to think that his business is genuine

http://www.youtube.com/watch?v=_CPM6wsHkT8

I used to believe that too.