Topic: ethereum and bitcoin: two things you need to know (Read 1850 times)

its a 100% premine. the coin itself 'ether' SHOULD not be considered a currency. but simply a stamp that ensures a transaction(contract) occurs. so in laymans terms treat it more like buying a postage stamp and not foreign currency.

the only problem is that the postal service is re-selling their stamps 6 months before their printed. i will laugh though that we find out that the amount of data these 'contracts' can have is not enough to add terms and conditions or relevant info that would make them officially recognised if contested in court or private arbitration

Bitcoin price is tumbling and people are running scared.  Uh oh.  Hasn't this happened before?

To make sense of this latest speculation fiasco, you only need to know two things:

1. People who missed the Bitcoin boom (buying BTC at $1-$10, for example) are DESPERATE to invest in TNBG (The Next Big Thing).  Hence, ethereum and all the other altcoins-du-jour

2. The cryptocurrency market is NOT BIG ENOUGH to support more than one altcoin. Period. End of story.  So all of these other altcoins will bubble up, then fizzle out.

Dr. Michael Moriarty

Different mechanics but the same deliverance.  A copywrighting coin which spams YouTube / Articles and is treated like a ponzi scheme / get quick rich where a few wealthy investors throw bags of money at it thinking it will attract subsequent bags of money.

People who dumped a fortune on Mastercoin are truly bagholders at the moment and would had made more money off Doge and NxT back then.  Just like the Ethereum bagholders are probably going to make more money off other coins.

So, is Ethereum and Mastercoin pretty much the exact same idea?

- "An unknown quantity" - wrong, you know the exact quantity when buying
- "unknown supply" - correct, but supply will be known when IPO ends, model of supply is pretty clear
- "unknown value" - at this moment there's a fixed price in BTC. Yes, you don't know what the value will be at launch, but you also don't know what will be the value of BTC or any other altcoin (or... anything) on then.

Ether is magical fairy dust, and that's exactly what you're getting for your BTC. An unknown quantity, of unknown supply and of unknown value.

If it is 100% pre-mined then how the blockchain will be written with new contracts ?

Where did you get the idea its 100% premine? It will be mineable.

From the whitepaper:

edit: source:
https://www.ethereum.org/pdfs/EthereumWhitePaper.pdf

Where did you get the idea its 100% premine? It will be mineable.

From the whitepaper:

edit: source:
https://www.ethereum.org/pdfs/EthereumWhitePaper.pdf

... There will be a big price drop at their launch as current investors will book profit.

its a 100% premine. the coin itself 'ether' SHOULD not be considered a currency. but simply a stamp that ensures a transaction(contract) occurs. so in laymans terms treat it more like buying a postage stamp and not foreign currency.

The issuance model will be as follows:
● Ether will be released in a currency sale at the price of 1337-2000 ether per BTC, a
mechanism intended to fund the Ethereum organization and pay for development that has been
used with success by a number of other cryptographic platforms. Earlier buyers will benefit from larger
discounts. The BTC received from the sale will be used entirely to pay salaries and bounties to
developers, researchers and projects in the cryptocurrency ecosystem.
● 0.099x the total amount sold will be allocated to early contributors who participated in
development before BTC funding or certainty of funding was available, and another 0.099x will be
allocated to long-term research projects.
● 0.26x the total amount sold will be allocated to miners per year forever after that point.

Bitcoin price is tumbling and people are running scared.  Uh oh.  Hasn't this happened before?

To make sense of this latest speculation fiasco, you only need to know two things:

1. People who missed the Bitcoin boom (buying BTC at $1-$10, for example) are DESPERATE to invest in TNBG (The Next Big Thing).  Hence, ethereum and all the other altcoins-du-jour

2. The cryptocurrency market is NOT BIG ENOUGH to support more than one altcoin. Period. End of story.  So all of these other altcoins will bubble up, then fizzle out.

Dr. Michael Moriarty

I noticed that they announced that they were going to sell a few thousand BTC on August 8th or so, I wonder if that had anything to do with our current downward trend. but you are right, they will get rich even if their product doesn't even work, lol..  I think ill wait to invest, even if it costs me more.. cant PPCoin do the same thing? proof of work? or even NXT? Why do we need these weird alt coins? PPCoin, I can see the logic, but not too many of the others..

ethereum its a great project as the idea. But its very unclear..No mining algorithm infos..imense fundraiser
prob it will be a huge dump on lunch

the ethereum buy-up last month has not caused the price drop.

infact having bitcoin and selling them for altcoins means they are not initially being sold for FIAT. and not on the fiat<->btc orderbooks. so buying products/altcoins does not harm the bitcoin price.

what does harm the price is the emotional decidsions of those new holders of the coin. and what choices they make after receiving bitcoin.

the problem is that if the altcoin maker doesnt deem that their altcoin is worth much, or deem the work they done creating it as very costly.. then when they get the bitcoin, they will treat the received bitcoin as "free money" and sell it for FIAT at any price, because to them they got bitcoins for literally free by selling ice to eskimo's.

so its not the action of buying an alt that causes a price tank.. but the fact that the altcoin is worthless, that will cause the the creator to cash out the bitcoin. after all by not helping to code bitcoin itself, but to scam people with altcoins, he obviously is not a 'bitcoin investor' but a fiat investor looking for ways for a quick payday.

and so we seen the guys at ethereum, not hoard bitcoin and just give it to staff as wages slowly over the next year until the perceived launch.. but instead they have dumped coin to fiat which looks more like a 'cut and run'.