Topic: Mt.Gox insolvent? what difference is btc or fiat there then? (Read 1078 times)
More like the Ultimate Bet of bitcoin
After looking at the developments at Mt.Gox the last weeks there is one question that keeps bugging me... Mt.Gox price is obviously lower than any other BTC trading platform, and there is a lot of reasoning about that, mainly giving the argument that Mt.Gox is going to be insolvent and people start to panic....
Actually, I am not understanding what differences it will make to customers whether they hold Fiat or BTC? If you expect the whole thing to go down, what makes you optimistic that you will get your money out of that place? Everyone knows withdrawals at Mt.Gox take weeks or even month so until we get news about the latest withdrawals will take some time. I guess there is not many confirmations of people who cashed out recently and got their money. Why not get alot of bitcoins instead which are traded at higher prices everywhere else (while Fiat is still worth roughly the same everywhere)?
I just read about comparison between FullTiltPoker and Mt.Gox, and I have to say that I was part of the FullTiltPoker thing and thought my money is gone for about a year, until some miracle happened and I got 100% of my funds back at some time. By the way, there were offers to sell my FullTilt funds for some % of their value and I am happy I didnt join in on that.
My personal conclusion on all of this is rather that alot of intelligent and organized people had a good idea about the panic that would start on a marketplace with alot of bitcoins and just few fiat in it being shut down for any external transactions... a closed and perfect playground for those with huge amount of Coins. Starting to sell alot of those coins definitely results in lower prices. At the first shots, alot of people who had Fiat left thought about buying and spent their money (maybe at around ~450).. and still, the big players were able to drop prices even more, so by now i guess there is not many people left who can buy bitcoins at Mt.Gox at all, because they dont have money there. The big players can easily make Mt.Gox stay at low prices and keep alot of fiat from their sells at regular price, buying now from anyone who is not intelligent enough to realize this game and starting to panic. Well played, biggies, I guess you really made some profit again... on the other hand, you again did severe damage to the credibility of bitcoins... but who cares, if you profit from it, you are fine and I guess most of your victims (panic sellers) would have just done the same to you if they had had the opportunity -.-
Actually, I am not understanding what differences it will make to customers whether they hold Fiat or BTC? If you expect the whole thing to go down, what makes you optimistic that you will get your money out of that place? Everyone knows withdrawals at Mt.Gox take weeks or even month so until we get news about the latest withdrawals will take some time. I guess there is not many confirmations of people who cashed out recently and got their money. Why not get alot of bitcoins instead which are traded at higher prices everywhere else (while Fiat is still worth roughly the same everywhere)?
I just read about comparison between FullTiltPoker and Mt.Gox, and I have to say that I was part of the FullTiltPoker thing and thought my money is gone for about a year, until some miracle happened and I got 100% of my funds back at some time. By the way, there were offers to sell my FullTilt funds for some % of their value and I am happy I didnt join in on that.
My personal conclusion on all of this is rather that alot of intelligent and organized people had a good idea about the panic that would start on a marketplace with alot of bitcoins and just few fiat in it being shut down for any external transactions... a closed and perfect playground for those with huge amount of Coins. Starting to sell alot of those coins definitely results in lower prices. At the first shots, alot of people who had Fiat left thought about buying and spent their money (maybe at around ~450).. and still, the big players were able to drop prices even more, so by now i guess there is not many people left who can buy bitcoins at Mt.Gox at all, because they dont have money there. The big players can easily make Mt.Gox stay at low prices and keep alot of fiat from their sells at regular price, buying now from anyone who is not intelligent enough to realize this game and starting to panic. Well played, biggies, I guess you really made some profit again... on the other hand, you again did severe damage to the credibility of bitcoins... but who cares, if you profit from it, you are fine and I guess most of your victims (panic sellers) would have just done the same to you if they had had the opportunity -.-
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