IntroductionSatoshi started to run Bitcoin software 3.1.2009. In the first weeks, the community of bitcoin users numbered only a handful. The first BTC/USD transaction was 5,000 bitcoins for $5, ($0.000,001/m
BTC). All the bitcoins of the world were valued at $100 at those prices.
Currently bitcoin is well established in several exchanges with large daily trading volumes. The exchange rate is now about $1/m
BTC, and all the bitcoins are valued at $13
billion.
Bitcoin is the first thing in the history of the world whose value has appreciated this much (a millionfold) this quickly (less than 5 years).
This is making many ask the question -
What is this phenomenon called Bitcoin?About rpietila
I have a long-term interest in Economics and it was also my major in Aalto University (formerly Helsinki University of Technology). This has led me to pursue a career of "private finance". I was previously interested in silver as the lynchpin of the global monetary economy. I am Founder and Partner in several investment silver dealerships.
I had known about Bitcoin in 2010 and we had arranged debates in our investment club, whether it was a viable monetary system already that winter 2010-11. I bought in only after the 2011 bear trap. I started to actively solicit Bitcoin and organize related events in late 2012. In February 6, 2013 I began to fully embrace Bitcoin and turned my back on silver. That day I sent a letter to all my clients, subscribers and later also posted it in my blog, somewhat ashamed of the slow progress of silver, and also of the (seemingly) late decision to quit it in favor of bitcoins. In the letter I issued the
strongest possible buy recommendation for bitcoin.
(translation mine)I (still) recommend each and every one to invest at least a small sum in bitcoins. I also recommend that all familiarize themselves with bitcoin [sic]. Even though typically it is more prudent to familiarize yourself with the investment first, and only then invest, bitcoin's value appreciation has been so rapid (15% monthly during the last 1.5 years) that even the reverse order could be taken. This only if you pretend to not find enough time at your disposal, to familiarize yourself with this fascinating invention, which has already revolutionized the international micropayments remittance industry and may in the future be a paradigm shift to the monetary system as a whole.
/—-****—-
I am rather proud of the millions of euros that my clients have prospered by investing in silver. One good piece of advice is better than any number of bad. Now, I believe that an investment comparable to silver has been invented. Although the risks are high (bitcoin can go to zero, like euros or dollars, unlike silver or gold), the value appreciation potential is staggering.
Risto Pietilä 6.2.2013
Since writing that and investing an increasing percentage of my and the companies' portfolio into bitcoin, I have become a Bitcoin multimillionaire. I live in Helsinki with my wife and daugher. I have recently purchased a
castle to act as a Bitcoin Retreat Center.
Bitcoin Economics Resources
Apart from the Beginners' Introduction and the FAQ, the other resources are my primers and forum contribution to the bitcoin knowledge base:
Introduction to BitcoinBitcoin FAQHow bitcoins are distributed among holders of different sizeBitcoin's price trend 2009-2013The TOP-500 Bitcoin wealthiest (not reliable, not updated)"SSS" (Bitcoin Savings Plan)What is the value of a bitcoin (EV method)rpietila Wall Observer (chat thread)
Happened in previous episode of rpietila public diary 12.4.2013-18.6.2013- rpietila explaining how he makes money with bitcoin
- Deduces bitcoin's long term
target price of $300/mBTC- Talking about Real Bills Doctrine
- Sent
BTC13.37 to nkspace, an unknown forum troll
- Organized an international Bitcoin Summit in Finnish country hotel
- Developed concepts of Bitcoin Supernode System and
Bitcoin Dealer Network Association- Closed down due to declining health in anticipation of $1.400/m
BTCHappened in this thread- Noticing that Bitcoin is designed such (declining mining rewards) that it will likely revert to corporate control starting in 2033
- Design proposal of a CPU-mineable altcoin with ever-increasing monetary base
- This discussion is tied with the
Bitcoin's price trend, which will go to over a million $/BTC in its peak, which is probably 18-48 months from now- Typhoon hit the Philippines, and we are organising the (possibly) first ever P2P cryptocurrency aid effort (lots of PICS)
- The second Bitcoin crash of 2013 is underway
- The thread is closed
Current all-purpose thread
If you want to follow my
stream (all comments, most of which are quite situational).
I use m
BTC whenever practical.
If I have time, I actively moderate the threads for
- bad behavior
- negative posts
- noncontent
- repetition, including "rpietila is k1ng", "+1"
- off topic.
In some threads, most of the content gets deleted after a time, because the threads are preserved for newcomers to be read in entirety.