Bitcoin as a Lesson in Economics - page 2.

hugolp

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Radix-The Decentralized Finance Protocol

Quote from: Cluster2k on June 14, 2011, 05:29:15 AM

Quote from: interfect on June 14, 2011, 04:16:18 AM

On top of all that, Bitcoin is a great model market because Bitcoins themselves don't do anything. They're not going to report quarterly earnings or hire a new CEO. If the price changes, there's a relatively short list of things that could have caused it.

It seems like an ideal place to practice manipulating a market. If someone is guilty of pumping and dumping BTCs as we saw last Friday, who is anyone going to complain to? Is it even illegal to manipulate a BTC market?

No.

But if this things keep happening the exchanges will auto-impose some rules. We have seen already big complains about the darkpools in MtGox and people moving to the Hill. The forum has changed the rules for people who registers to avoid troll-flooding to move the price. Etc...

Cluster2k

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Quote from: interfect on June 14, 2011, 04:16:18 AM

On top of all that, Bitcoin is a great model market because Bitcoins themselves don't do anything. They're not going to report quarterly earnings or hire a new CEO. If the price changes, there's a relatively short list of things that could have caused it.

It seems like an ideal place to practice manipulating a market. If someone is guilty of pumping and dumping BTCs as we saw last Friday, who is anyone going to complain to? Is it even illegal to manipulate a BTC market?

mmortal03

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I'm kinda using it this way to teach myself the day-trading ropes.

interfect

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I think that Bitcoin trading is a great way to get into investment and day trading in general. The barriers to entry are low (have a GPU, or a friend in the know, or set up Dwolla), the market is small (so you can sometimes visibly see how your transactions affect price), and the market data is freely available from major exchanges. No 15-minute-delayed, pay-for-"Level 3" bullshit. You can see exactly what's going on in the market, and this lets you understand what things like market depth actually are before shelling out real money to access them.

On top of all that, Bitcoin is a great model market because Bitcoins themselves don't do anything. They're not going to report quarterly earnings or hire a new CEO. If the price changes, there's a relatively short list of things that could have caused it.

Thoughts? Any middle school teachers want to replace the Stock Market Game with Bitcoin trading?

Topic: Bitcoin as a Lesson in Economics - page 2. (Read 3183 times)