What happens if some1 rich buys it all? - page 3.

BitChick

legendary

Activity: 1148

Merit: 1001

It would certainly raise the price. Grin

More people would decide to sell their hoard of BTC as the price rises.

There would be less BTC to spread around to new people that want BTC. So BTC will start being sold in smaller increments.

I am all for it. Anyone know a billionaire looking to invest? Wink

Arcas

hero member

Activity: 1036

Merit: 524

Quote from: BazkieBumpercar on May 22, 2013, 09:11:37 PM

Well, I'm pretty curious myself..

What if Bill decides to buy all 'reasonable' sell offers on the large exchanges, continuously, until all his money is spent?

What would this do to the BTC price? How much would it end up at when bill has spent all of his ~60 billion usd? How much bitcoins would Bill then have?

It's impossible, obviously, to exactly predict these numbers... but can someone smart make some educated guesses? I'm very curious

If he bought most of the coins in existence, the remaining ones would be priced extraordinarily high just because those people know he is willing to pay top dollar for them.

wolverine.ks

sr. member

Activity: 375

Merit: 250

If you look at mtgoxlive.com you can make an estimate, however, that's a dynamic picture of bids and asks. The higher the price goes, the more to the right everything will go.

BazkieBumpercar

sr. member

Activity: 415

Merit: 250

Well, I'm pretty curious myself..

What if Bill decides to buy all 'reasonable' sell offers on the large exchanges, continuously, until all his money is spent?

What would this do to the BTC price? How much would it end up at when bill has spent all of his ~60 billion usd? How much bitcoins would Bill then have?

It's impossible, obviously, to exactly predict these numbers... but can someone smart make some educated guesses? I'm very curious

wolverine.ks

sr. member

Activity: 375

Merit: 250

I love these questions. ...

bozak

full member

Activity: 120

Merit: 100

Quote from: JamesTaylor on May 22, 2013, 07:25:56 PM

I know it's impractical and can't be done within probably even a day nor a week, but what would happen if someone very rich would like to spend ~1 billion on bitcoins and buy it all?

At first glance looks like it would be the end. Thinking a bit more it suggests that the later bitcoins would be so expensive that even he couldn't afford it, but he would have so much that could make a huge profit out of it.

If there's someone more literate than me in economics, I'd love a detailed and argumented response.

It is simply not possible to buy it all even with an infinite amount of money. The simple reason is that not all bitcoins are for sale. Currently, the only ones that can be purchased are on the exchanges. If someone spent a large amount of money on the exchange, the exchange rate would rise and this would probably lead to other coins being available on the exchange, but it would never lead to all the coins being available on the exchange.

cliff101

newbie

Activity: 13

Merit: 0

I think someone with $billion + would be smart enough to realize that they would either go broke in the process. Current market cap is around $1.4billion. By the time evil Bill Gates finished buying the last bitcoin, he would have spent some $100billion+.

JamesTaylor

newbie

Activity: 30

Merit: 0

I know it's impractical and can't be done within probably even a day nor a week, but what would happen if someone very rich would like to spend ~1 billion on bitcoins and buy it all?

At first glance looks like it would be the end. Thinking a bit more it suggests that the later bitcoins would be so expensive that even he couldn't afford it, but he would have so much that could make a huge profit out of it.

If there's someone more literate than me in economics, I'd love a detailed and argumented response.

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