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Topic: How bitcoin supply can be more than 21 million - page 2. (Read 228 times)

legendary
Activity: 2898
Merit: 1152
is it can happen can we trade just numbers

On any centralized exchange you're trading just numbers. Those are real coins only at depositing and at withdrawing, when they are visible on the blockchain. All the rest is numbers in the exchange's internal database.

Yeah, in additional, trading derivatives like future and option enable us to trade any underlying asset such as bitcoin, but not necessarily ownership.  Because an investor is not buying or selling the asset itself but the contract that gives the holder the right to buy or sell the asset at a later date at a predetermined price. This allows traders to speculate on the future price of an asset without actually owning it.

On leverage you actually don't trade with real coins, I can say if you own on-spot trading and have let's say 1BTC I can say to you, you don't own this BTC till you transfer it to your cold wallet. So all this leverage is an illusion to most people, and I can say from this point all the manipulation exists.

True it is the contract to buy or sell the asset they are trading and not the actual asset.  I do agree that as long as Bitcoin is not sitting in your wallet, that BTC is not yours yet.
legendary
Activity: 2156
Merit: 1622
my question is, we can trade more than 19miilions coins on exchanges with leverage like: an institution have 500k bitcoins and they are trading on 50x leverage (it's obvious no one will take this much risk just for example and

Its not how leverage works. It multiply the amount of cash you have available not the amount of coins you bought. So you have 10 mln $, with 50x leverage you have 500 mln$, but its still $. You still have to buy coins from market.

But your thinking is not 100% wrong. I was posting about this like 4 years ago:

Money creation system - is bitcoin creation resistant?
copper member
Activity: 70
Merit: 16
on many exchanges we can trade futures and derivative trading, with leverage upto  125x or more.
so there is total 19 millions bitcoins circulating ok , In which, many coins are lost or people holding for long term
my question is, we can trade more than 19miilions coins on exchanges with leverage like: an institution have 500k bitcoins and they are trading on 50x leverage (it's obvious no one will take this much risk just for example and understanding) and more like people or institution like this than we can rich more than 19miillion coins
or more than exchange's reserve ,
and buyer and seller are also agree to trade
(totally hypothetical or don't know we already trading like this or not)

is it can happen can we trade just numbers

On leverage you actually don't trade with real coins, I can say if you own on-spot trading and have let's say 1BTC I can say to you, you don't own this BTC till you transfer it to your cold wallet. So all this leverage is an illusion to most people, and I can say from this point all the manipulation exists.
hero member
Activity: 644
Merit: 661
- Jay -
my question is, we can trade more than 19miilions coins on exchanges with leverage like: an institution have 500k bitcoins and they are trading on 50x leverage (it's obvious no one will take this much risk just for example and understanding) and more like people or institution like this than we can rich more than 19miillion coins
I do not think it is possible. Leverage trading is not as straightforward as knowing the ratios, there are peculiarities associated with the collateral and the exchange. So a collateral of 500,000BTC would influence the amount of leverage one can take considering the exchange reserve funds.

like this than we can rich more than 19miillion coins
or more than exchange's reserve ,
I am not absolutely certain on the laws, but it could be illegal for an exchange to allow margin trading beyond its reserves.

- Jay -
legendary
Activity: 1372
Merit: 2017
(totally hypothetical or don't know we already trading like this or not)

That should make you think how fake that trading is. As NeuroticFish says the real coins are visible on the blockchain. What you are trading in that kind of financial casino is mostly fake, created in such a way that there is a very high probability that you will lose your money.

Bitcoin was created precisely in response to that kind of false and speculative economics.
legendary
Activity: 3668
Merit: 6382
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is it can happen can we trade just numbers

On any centralized exchange you're trading just numbers. Those are real coins only at depositing and at withdrawing, when they are visible on the blockchain. All the rest is numbers in the exchange's internal database.
full member
Activity: 448
Merit: 222
on many exchanges we can trade futures and derivative trading, with leverage upto  125x or more.
so there is total 19 millions bitcoins circulating ok , In which, many coins are lost or people holding for long term
my question is, we can trade more than 19miilions coins on exchanges with leverage like: an institution have 500k bitcoins and they are trading on 50x leverage (it's obvious no one will take this much risk just for example and understanding) and more like people or institution like this than we can rich more than 19miillion coins
or more than exchange's reserve ,
and buyer and seller are also agree to trade
(totally hypothetical or don't know we already trading like this or not)

is it can happen can we trade just numbers
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