Topic: Bitcoin as an investment - page 2. (Read 3915 times)

The low Russian ruble and no cash flow into Bitcoin points to a very real loss of confidence in those who have defacto control and the idea itself. 

That photo of Karpeles giving the world the finger while wearing a very expensive suit comes to mine.

I like the idea of limited availability.  There will never be enough Bitcoins that every living US college graduate could own one.

But the falling price as it relates to large farms dumping the mined coins leads me to consider that KnC has had the most efficient Bitcoin miners and prices those too high but sells to a relative's farm.  Tactically they'd dump BTC until their efficient farms are the only viable farms  (I'm discounting miners who get free electric as they're unlikely unless government supported) and less efficient large farms would shutdown.  A disturbing facet is that if they then allowed the price to rise the previously mothballed farms would fire up so they would keep the price at that low.  They'd be harvesting a large slice of the mined Bitcoins until the payout for a discovered block drops from 25 to 12½.

People devote a percentage of their investment portfolios to cash, so this is all just semantics.

Bitcoin is what the majority of people treat it to be.
A majority of people seem to be buying bitcoins treating it as an investment.

Stove it. It is whatever people treat it as.

Said it before but apparently there are always new people who can't think for themselves. Bitcoin requires people who will invest in it, and that requires the possibility of making a buck. It's a speculators game all the way to the top. Only then will it become a proper currency.

Bitcoin isn't an investment vehicle, period.

It's a payment technology, protocol, and most of all cryptocurrency.

If you're in it to make a quick buck, you're doing it wrong.

I have smalltimer on ignore.  But since you quoted him, I can humorously say exactly why he's on the ignore list.

With trolling like this: "____ is not finite by any means. It's just relatively scarce." 

What else is there to be said?? 

It's odd that you call someone else out on "BS" when you don't even appear to have a firm grim on the meaning of economic scarcity yourself.

The limited quantities of gold were never able to keep up with demand.  That's why it's scarce.

Finite things are not endlessly abundant.  That is what creates scarcity.

You said yourself that Bitcoin is finite.  Demand for it is what means that it is, in fact, scarce. 

nope. A lot of BS in that comment too.
Gold is not finite by any means. It's just relatively scarce.
Bitcoin is the exact opposite: it's finite but not scarce.

"Gold is mined releasing more gold flowing into the market at a known rate. Bitcoin is the same"
what differes is the inflationrate. Gold: unknown - probably around 1% every year. Bitcoin: 10% , USD: 5%

So there is two or more false statements in two sentences.

Bitcoin has performed worse than the russian ruble this year. Would you compare the russian ruble to gold? Why not?

"Golds value is arbituary and created purely by market forces. Bitcoin is the same."
there are practical usecases for both apart from pure speculation.
Every good that's traded on the free market has a price determined by supply and demand. Nothing special about it.

So much shit in one comment is hard to wrap the head around.
Do you actually believe what you are writing there?

Pretty much all of that comment was pure BS and even false claims. Please stop commenting.

FTFY

Please explain this comment.

Gold is a finite resource Bitcoin is a finite resource (21M)

Gold is mined releasing more gold flowing into the market at a known rate. Bitcoin is the same

Golds value is arbituary and created purely by market forces. Bitcoin is the same.

If TOMORROW the whole world stopped buying Gold its value would be zero.

The only fundamental difference is gold is physical whereas BTC is digital but totally accountable.

SO, EXACTLY why is comparing BTC to goldf idiotic??

only problem: it is no store of value  with that inflation.
So all you say does make no sense at all.


Stop comparing btc to gold. You look like idiots doing so.

It just as easily could go to $10 really.  Once it reaches "mass adoption" it could stabilize there.

buy and hold Bitcoin is better for really long term investing

I like bitcoin and it's a good long term investment it's just not doing well at the moment. Internet became big and now it's time for the internet money
We will surely see bitcoin trade for $500+ again, but it may take months or even years.

I do find most of the comments quite funny seriously lacking depth of thought.

Bitcoin is currently a speculative investment!

I invest in BTC because of the underlying technology and because it is a serious disrupter to traditional banking and transfer of wealth.

Assuming I am correct then BTC will increase in value over time and it has done rather well so far.

The $1000 bubble is normal and so is the market correction back to 300/400. If you look at the growth, from inception to today's spot value its impressive.

The value will go up when people see it as an "INVESTMENT" and they buy BTC with Fiat. Day to day some people are buying BTC to spend but this is currently a drop in the Ocean.

Let me share with you a little bit of reality to compare where BTC is today.

Apple started out in the 70's and is about 40 years old.

In that time they have grown from a silly little nerdy company (compared with Microsoft during the 80's) to a Company worth $630 BILLION

BTC is currently worth $5billion which is less than the amount of $100 dollar shares traded in Apple each day.

Bitcoin is in its infancy and subject to reacting violently to any market action but I will tell you VERY SIMPLY why BTC price will not keep dropping.

1 More and more people recognise the technology is sound and thus an excellent alternative to traditional currency

2 As the price drops it will become more and more attractive to investors and their very action to purchase will push the price back up.

Personally I would love to see it drop to around $250/$275 because the amount of money which could flood in could be enough for a lot of Russians and Chinese to transfer wealth from dollar too.. and that means BIG FAST RISE to $500.

Then next year the same bollox will be spouted in these forums again.. Then it will move up to $1000 and the next generation of people arriving at the forum will start spouting the same rubbish from the $1000 perspective when it drops to $800.

So remember guys.. BTC is in its infancy if it suddenly opens its mouth, saying  "Daddy" or just randomly farts the whole family will bang on about it for days!

As time moves forward Bitcoin will be exposed to growing pains until it matures OR fails.. I believe it is way past failure unless something happens in the underlying technology for everyone to lose faith.

It doesnt take much to lose faith.. In less than 2 years Russians have lost faith in their currency!

I don't understand this argument. They take my bitcoin. I don't care what they do with them after I send them. In fact if they did not turn them back into fiat I would think they are making a mistake and abdicating their fiduciary responsibility.
I do not care about the price. I look at adoption. I use my bitcoin money and so I want places to spend them. These are stellar times! I can buy anything for bitcoin now, including microsoft products.

People in every country except America are saying "WTF are you talking about?" Dollars have no connection to bitcoin unless you have access to dollars, and most of the world does not.

Bitcoin has at least tripled in size since there was an Mt.Gox. Just in the last few days the second largest company in the world started using them. Huge players are arriving all the time. Now I can buy new cars, real estate, any kind of consumer item. You say there are a couple of thousand of us? BitPay (just one of many payment processors) has over 30K businesses that accept it. Coinbase has 37K.  Hell I've met thousands of bitcoin people myself at conferences and such. Wherever I travel around the world I spend my bitcoin and meet people who have embraced it. It is a world wide phenomena and growing exponentially.

Every permabull chanting "BUY HODL EVERYTHING'S FINE"?

I can't find mention of it on Wikipedia but in the not too distant past I think the Polish zloty banknotes were printed in Great Britain but Poland couldn't pay for the printing because the mint required payment in a hard currency.  I think it's something of the same idea when the manufacturers of Bitcoin mining equipment dump Bitcoins for immediate hard cash.