Is SecondMarket buying bitcoins? | Bitcointalksearch.org

derpinheimer

legendary

Activity: 896

Merit: 1000

Quote from: SheHadMANHands on November 06, 2013, 07:35:02 PM

So funny to think what this looks like to a "sophisticated investor":

Quote

The Net Asset Value (NAV) of the Bitcoin Investment Trust is calculated daily at 4pm ET*. Historical NAV:
November 6, 2013: $25.45
November 5, 2013: $23.78
November 4, 2013: $21.97
November 1, 2013: $20.46
October 31, 2013: $20.02
October 30, 2013: $20.30
October 29, 2013: $20.03
October 28, 2013: $19.62
October 25, 2013: $18.04
October 24, 2013: $19.46
October 23, 2013: $20.10
October 22, 2013: $19.10
October 21, 2013: $17.90
October 18, 2013: $15.20
October 17, 2013: $14.55
October 16, 2013: $14.86
October 15, 2013: $14.31
October 14, 2013: $14.27
October 11, 2013: $13.03
October 10, 2013: $13.14
October 9, 2013: $13.03
October 8, 2013: $12.52
October 7, 2013: $12.77
October 4, 2013: $12.63
October 3, 2013: $11.70
October 2, 2013: $11.86
October 1, 2013: $13.22
September 30, 2013: $13.26
September 27, 2013: $13.35
September 26, 2013: $12.67
September 25, 2013: $12.88

^ This fucker was updated one day at a time..

I dont understand either your first sentence or the second one?

Does the first mean that it seems crazy for an investment to double in 2 weeks?
And the second.... well, those updates arent daily, so what does it mean?

BitChick

legendary

Activity: 1148

Merit: 1001

Quote from: Zangelbert Bingledack on November 07, 2013, 12:18:52 AM

Hell yeah the BIT is in overdrive! They started with $2-3 million in seed funding as I recall, so they've brought in more than $12 million in less than 6 weeks. That's $12 million that would likely not have been invested at all, given the nature of the BIT. And likely to grow greatly after such a rocket start.

And yes they do buy from miners, large holders, and other dark (off-exchange) sources. They are probably making a killing, and their investors are going to be ecstatic and telling their rich friends.

I can't blame them. What other investment has returns like this so far?

Zangelbert Bingledack

legendary

Activity: 1036

Merit: 1000

Hell yeah the BIT is in overdrive! They started with $2-3 million in seed funding as I recall, so they've brought in more than $12 million in less than 6 weeks. That's $12 million that would likely not have been invested at all, given the nature of the BIT. And likely to grow greatly after such a rocket start.

And yes they do buy from miners, large holders, and other dark (off-exchange) sources. They are probably making a killing, and their investors are going to be ecstatic and telling their rich friends.

ArticMine

legendary

Activity: 2282

Merit: 1050

Monero Core Team

Quote from: SheHadMANHands on November 06, 2013, 07:35:02 PM

So funny to think what this looks like to a "sophisticated investor":

Quote

The Net Asset Value (NAV) of the Bitcoin Investment Trust is calculated daily at 4pm ET*. Historical NAV:
November 6, 2013: $25.45
November 5, 2013: $23.78
November 4, 2013: $21.97
November 1, 2013: $20.46
October 31, 2013: $20.02
October 30, 2013: $20.30
October 29, 2013: $20.03
October 28, 2013: $19.62
October 25, 2013: $18.04
October 24, 2013: $19.46
October 23, 2013: $20.10
October 22, 2013: $19.10
October 21, 2013: $17.90
October 18, 2013: $15.20
October 17, 2013: $14.55
October 16, 2013: $14.86
October 15, 2013: $14.31
October 14, 2013: $14.27
October 11, 2013: $13.03
October 10, 2013: $13.14
October 9, 2013: $13.03
October 8, 2013: $12.52
October 7, 2013: $12.77
October 4, 2013: $12.63
October 3, 2013: $11.70
October 2, 2013: $11.86
October 1, 2013: $13.22
September 30, 2013: $13.26
September 27, 2013: $13.35
September 26, 2013: $12.67
September 25, 2013: $12.88

^ This fucker was updated one day at a time..

Actually this is at this point been sold to medium to long term investors not day traders. There is a reason for the redemption lockin. So a daily valuation is perfectly reasonable. If one is looking for a Bitcoin based derivative suitable for day trading then an account at AvaTrade or Plus500 is more appropriate.

2_Thumbs_Up

sr. member

Activity: 323

Merit: 251

Quote from: SheHadMANHands on November 06, 2013, 07:35:02 PM

So funny to think what this looks like to a "sophisticated investor":

Quote

The Net Asset Value (NAV) of the Bitcoin Investment Trust is calculated daily at 4pm ET*. Historical NAV:
November 6, 2013: $25.45
November 5, 2013: $23.78
November 4, 2013: $21.97
November 1, 2013: $20.46
October 31, 2013: $20.02
October 30, 2013: $20.30
October 29, 2013: $20.03
October 28, 2013: $19.62
October 25, 2013: $18.04
October 24, 2013: $19.46
October 23, 2013: $20.10
October 22, 2013: $19.10
October 21, 2013: $17.90
October 18, 2013: $15.20
October 17, 2013: $14.55
October 16, 2013: $14.86
October 15, 2013: $14.31
October 14, 2013: $14.27
October 11, 2013: $13.03
October 10, 2013: $13.14
October 9, 2013: $13.03
October 8, 2013: $12.52
October 7, 2013: $12.77
October 4, 2013: $12.63
October 3, 2013: $11.70
October 2, 2013: $11.86
October 1, 2013: $13.22
September 30, 2013: $13.26
September 27, 2013: $13.35
September 26, 2013: $12.67
September 25, 2013: $12.88

^ This fucker was updated one day at a time..

Yeah, that's hilarious.

Am I right in understanding that those who buy bitcoins through SecondMarket won't be able to sell them again for 329 days (that being what the stat on the right says)?

If so, this is extremely bullish. If they keep selling bitcoins at even a fraction of their current rate, it would mean hundreds of thousands of bitcoins would end up out of circulation and exchanges for everyone for at least a year.

Quote from: BitChick on November 06, 2013, 07:40:40 PM

I was wondering the same thing? Also, where is Coinbase getting their coins from? The price is higher than all the exchanges right now. Are they having to purchase more? Do they have miners? Perhaps they cannot keep up with the demand though.

I would say that Coinbase having a substantially higher price than the exchanges is an indication of a shortage on their end. My guess is that they are buying on an exchange or have a private deal of some sort.

BitChick

legendary

Activity: 1148

Merit: 1001

I was wondering the same thing? Also, where is Coinbase getting their coins from? The price is higher than all the exchanges right now. Are they having to purchase more? Do they have miners? Perhaps they cannot keep up with the demand though.

SheHadMANHands

legendary

Activity: 1168

Merit: 1000

So funny to think what this looks like to a "sophisticated investor":

Quote

The Net Asset Value (NAV) of the Bitcoin Investment Trust is calculated daily at 4pm ET*. Historical NAV:
November 6, 2013: $25.45
November 5, 2013: $23.78
November 4, 2013: $21.97
November 1, 2013: $20.46
October 31, 2013: $20.02
October 30, 2013: $20.30
October 29, 2013: $20.03
October 28, 2013: $19.62
October 25, 2013: $18.04
October 24, 2013: $19.46
October 23, 2013: $20.10
October 22, 2013: $19.10
October 21, 2013: $17.90
October 18, 2013: $15.20
October 17, 2013: $14.55
October 16, 2013: $14.86
October 15, 2013: $14.31
October 14, 2013: $14.27
October 11, 2013: $13.03
October 10, 2013: $13.14
October 9, 2013: $13.03
October 8, 2013: $12.52
October 7, 2013: $12.77
October 4, 2013: $12.63
October 3, 2013: $11.70
October 2, 2013: $11.86
October 1, 2013: $13.22
September 30, 2013: $13.26
September 27, 2013: $13.35
September 26, 2013: $12.67
September 25, 2013: $12.88

^ This fucker was updated one day at a time..

2_Thumbs_Up

sr. member

Activity: 323

Merit: 251

I believe I stumbled upon some interesting numbers here.

According to SecondMarket's investor presentetion here (page 11), they owned 37 500 BTC as of November 5th:
https://www.secondmarket.com/company/bitcoin-investment-trust

However, according to the end of the following news clip, they have already taken in 15 million USD in investments (more than expected).
http://finance.yahoo.com/video/bitcoin-rally-213700257.html

If we were to count with an average price of 200 USD/BTC for their sales, that would add up to 75 000 BTC. Even if we assume all their sales were at the current prices, it would add up to 56 000 BTC. Regardless how you cut it, the math doesn't add up. So my conclusion is that Second Market already are, or soon need to be buying BTC again in other markets in order to keep up with demand.

Your thoughts?

Topic: Is SecondMarket buying bitcoins? (Read 1214 times)