STOP BUYING INTO ALT COINS , as you are indirectly hurting Bitcoin - page 2.

KaChingCoinDev

sr. member

Activity: 364

Merit: 250

Quote from: GodHatesFigs on April 28, 2014, 12:28:17 PM

Quote from: KaChingCoinDev on April 27, 2014, 07:42:03 PM

Quote from: Malin Keshar on April 27, 2014, 07:38:05 PM

Quote from: KaChingCoinDev on April 27, 2014, 05:26:52 PM

For every 1 Altcoin sold, an Altcoin is bought.

Example:

I mine an Altcoin:

Mine 1000 ALT
Sell 1000 ALT at 500 Satoshis.

Someone just bought 1000 ALT, someone just sold 1000 ALT. BTC is unaffected. This is like saying "stock trading hurts USD".

Opportunity cost: you could buy bitcoins intead and give btc more value.

Each time someone leaves btc to invest in stock markets or something else, it hurts because the selling pressure. Stock trading also hurt btc with the opportunity cost issue, and btc hurts the stock market. So few to invest, and so many investiments.

Yes, but when someone sells their coins, someone has to buy the coins, or else there is no trade. For every Sell there is a Buy.

...and every sell drives the price down, which hurts Bitcoin: currencies are unusual in that their utility increases the more they're worth.

http://themisescircle.org/blog/2014/02/12/im-hoarding-bitcoins-and-no-you-cant-have-any/

...and every buy drives the price up, which helps Bitcoin

When someone buys an altcoin, someone is also buying Bitcoin!

GodHatesFigs

full member

Activity: 557

Merit: 101

Quote from: KaChingCoinDev on April 27, 2014, 07:42:03 PM

Quote from: Malin Keshar on April 27, 2014, 07:38:05 PM

Quote from: KaChingCoinDev on April 27, 2014, 05:26:52 PM

For every 1 Altcoin sold, an Altcoin is bought.

Example:

I mine an Altcoin:

Mine 1000 ALT
Sell 1000 ALT at 500 Satoshis.

Someone just bought 1000 ALT, someone just sold 1000 ALT. BTC is unaffected. This is like saying "stock trading hurts USD".

Opportunity cost: you could buy bitcoins intead and give btc more value.

Each time someone leaves btc to invest in stock markets or something else, it hurts because the selling pressure. Stock trading also hurt btc with the opportunity cost issue, and btc hurts the stock market. So few to invest, and so many investiments.

Yes, but when someone sells their coins, someone has to buy the coins, or else there is no trade. For every Sell there is a Buy.

...and every sell drives the price down, which hurts Bitcoin: currencies are unusual in that their utility increases the more they're worth.

http://themisescircle.org/blog/2014/02/12/im-hoarding-bitcoins-and-no-you-cant-have-any/

PhoneBloks

full member

Activity: 238

Merit: 100

Quote from: tstang on April 09, 2014, 03:59:55 PM

As you all are aware of recent Aurora coin that shot up to $100 with market cap almost $ 1.2 Billion.

That is almost 15% of Bitcoin Market Cap.

Of course as predicted, everyone sell it off and now it is worth $ 1.49 with market cap of $ 15 m.

In almost all exchanges, all alt coins are quoted by xxx/BTC.

Hence, for example, a person wish to sell Aurora Coin, he has to change to BTC via AUR/BTC and then BTC/US.

This has TWO Major implication.

Firstly, it will PUSH the price down as he would SELL it to the highest buyer.

Secondly, the alt coin will "eat into" the Bitcoin Market Cap.

I wish to call upon all exchanges to either change this exchange model to a specific value that doesn't involved Bitcoin and normal people don't buy into all these alt coins.

As you can see, by doing this, you are actually causing more harm to Bitcoin price indirectly.

How you can "hurt" btc ... ?

If you invest in alt-coin, that means your imaginary "1usd" wont increase value of btc but increase value of altcoin... So you wont hurt btc, you just wont push it up Wink

On other hand:
If there are lot of investors in alt-coin, that means value of btc is not overbought so you can buy cheaper ..

do you agree ? Wink

KaChingCoinDev

sr. member

Activity: 364

Merit: 250

Quote from: Malin Keshar on April 27, 2014, 07:38:05 PM

Quote from: KaChingCoinDev on April 27, 2014, 05:26:52 PM

For every 1 Altcoin sold, an Altcoin is bought.

Example:

I mine an Altcoin:

Mine 1000 ALT
Sell 1000 ALT at 500 Satoshis.

Someone just bought 1000 ALT, someone just sold 1000 ALT. BTC is unaffected. This is like saying "stock trading hurts USD".

Opportunity cost: you could buy bitcoins intead and give btc more value.

Each time someone leaves btc to invest in stock markets or something else, it hurts because the selling pressure. Stock trading also hurt btc with the opportunity cost issue, and btc hurts the stock market. So few to invest, and so many investiments.

Yes, but when someone sells their coins, someone has to buy the coins, or else there is no trade. For every Sell there is a Buy.

Malin Keshar

hero member

Activity: 616

Merit: 500

Quote from: KaChingCoinDev on April 27, 2014, 05:26:52 PM

For every 1 Altcoin sold, an Altcoin is bought.

Example:

I mine an Altcoin:

Mine 1000 ALT
Sell 1000 ALT at 500 Satoshis.

Someone just bought 1000 ALT, someone just sold 1000 ALT. BTC is unaffected. This is like saying "stock trading hurts USD".

Opportunity cost: you could buy bitcoins intead and give btc more value.

Each time someone leaves btc to invest in stock markets or something else, it hurts because the selling pressure. Stock trading also hurt btc with the opportunity cost issue, and btc hurts the stock market. So few to invest, and so many investiments.

KaChingCoinDev

sr. member

Activity: 364

Merit: 250

For every 1 Altcoin sold, an Altcoin is bought.

Example:

I mine an Altcoin:

Mine 1000 ALT
Sell 1000 ALT at 500 Satoshis.

Someone just bought 1000 ALT, someone just sold 1000 ALT. BTC is unaffected. This is like saying "stock trading hurts USD".

Bit_Happy

legendary

Activity: 2114

Merit: 1040

A Great Time to Start Something!

Quote from: counter on April 26, 2014, 01:21:54 AM

I spend Bitcoins that I have so I can't be called a hoarder I know that much. If I see potential to make some profit in an alt coin that I believe in I don't see anything wrong with buying them. I would more then likely use the extra funds to invest in more BTC down the line...

Cash >> BTC (Buying BTC supports the price)
BTC >> Alts ...If your alt makes a profit, then...
ALT >> Buy larger amount of BTC

You are helping BTC if you buy good alts at the right time.

GodHatesFigs

full member

Activity: 557

Merit: 101

Quote from: Cluster2k on April 25, 2014, 10:53:32 PM

Quote from: GodHatesFigs on April 24, 2014, 07:51:46 AM

Quote from: blatchcorn on April 24, 2014, 06:41:32 AM

The real people who hurt bitcoin are hoarders who never spend it

Exactly the opposite is true: hoarders give the currency value.

If a currency is hoarded and seldom spent, is it still a currency?

Yes; the more it is hoarded, the more valuable it will be as a currency. Without hoarders, there is no demand, and therefore no value, to it as a currency.

STT

legendary

Activity: 4102

Merit: 1454

There is argument that retailers are also bearish for BTC. Mostly as they are not reusing that BTC for anything, so they pay taxes, wages, produce and profits out in USD.
Seems like a one way transaction, if they at least paid for advertising in BTC that would be something, maybe theres a gap for some daring agency to enter. Im not sure anything BTC can rival google ads just yet but that would be a big deal as advertising is the first currency of the internet for micro transactions, all those 'free sites' are really relying on that backbone first and BTC is a long way behind still

Tsquared

hero member

Activity: 500

Merit: 501

http://digitalcoin.org/

I don't see why buying and selling something for BTC can hurt. Why would buying electronics from tigerdirect with BTC be good for BTC, but buying alt currencies from Cryptsy be bad for it?

Fatpony

member

Activity: 74

Merit: 10

Well im earning money by playing the market. I still do not have Script miner but i plan to get few ( well at least one ) soon, when things at job get more calmer so I would have more time

counter

hero member

Activity: 798

Merit: 500

Time is on our side, yes it is!

I spend Bitcoins that I have so I can't be called a hoarder I know that much. If I see potential to make some profit in an alt coin that I believe in I don't see anything wrong with buying them. I would more then likely use the extra funds to invest in more BTC down the line...

andyatcrux

legendary

Activity: 938

Merit: 1000

Quote from: devphp on April 26, 2014, 12:31:52 AM

Some alts (from top 10 on coinmarketcap.com) are already available for purchase directly with fiat.

Yes, this is one area where alts could eat into the market, but the OP did not make this point. Also, despite the availability of several alts directly to fiat, all alts seem to rise and fall with BTC still. This may change, but for now it could as easily be argued that alts encourage more BTC from fiat purchases rather than hindering it. I don't see where alts are hurting BTC prices by eating into the market. It does not add up. Now one may be able to bring forth a reasonable argument that alts damage Bitcoin's image as a serious new technology, but even this is a double edged sword.

devphp

sr. member

Activity: 336

Merit: 260

Some alts (from top 10 on coinmarketcap.com) are already available for purchase directly with fiat.

andyatcrux

legendary

Activity: 938

Merit: 1000

The OPs entire argument is based on the assumption that the person selling the alt for btc will without a doubt so badly need to change btc to usd that they will sell to the "highest bidder." This is baseless. There is no reason to believe that someone would not just as likely keep the BTC to continue trading alts.

They had to obtain BTC, right? So I guess they need to buy BTC at asking price to enter the alt market. Demand drives prices so I fail to see how alts would hurt BTC in this regard. It would seem to be quite the opposite.

Cluster2k

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Activity: 1692

Merit: 1018

Quote from: GodHatesFigs on April 24, 2014, 07:51:46 AM

Quote from: blatchcorn on April 24, 2014, 06:41:32 AM

The real people who hurt bitcoin are hoarders who never spend it

Exactly the opposite is true: hoarders give the currency value.

If a currency is hoarded and seldom spent, is it still a currency?

Paladin69

hero member

Activity: 784

Merit: 1000

OP-
People are trading alt-coins as a means to acquire more BTC, dude.

SuperClam

hero member

Activity: 784

Merit: 1002

CLAM Developer

For every "sale" of BTC, there is a "purchase" of BTC.

Which edge of the supply/demand equilibrium that sale/purchase takes place on is important, but the fact that a transfer took place is not.

An infinite number of transfers could take place at equilibrium and the price would not change.

Unless, of coarse, you are sending satoshi to an address that is verifiable as inaccessible (burning), but that is neither "here nor there" as they say...

OhMyCoin

member

Activity: 117

Merit: 10

Long live Bitcoin.

Quote from: Lethn on April 25, 2014, 01:29:54 AM

I'm so glad none of you are in charge of monetary policy and didn't have control over the Bitcoin code when it first came out.

That's true)))

Lethn

legendary

Activity: 1540

Merit: 1000

I'm so glad none of you are in charge of monetary policy and didn't have control over the Bitcoin code when it first came out.

Topic: STOP BUYING INTO ALT COINS , as you are indirectly hurting Bitcoin - page 2. (Read 8585 times)