BitCoin crashed?

[sellersm]

Anyone heard/know anything about this?

http://beforeitsnews.com/economics-and-politics/2014/02/bitcoin-just-completely-crashed-massive-sell-off-in-progress-2461550.html

[Great-Kazoo]

I believe the members who invested [heavily] in it , have been in a medically induced coma, since the news broke.

[Mtn.man]

Was predicted a couple weeks ago.

[mahabali]

Looks like it is back up to ~ $660?

http://bitcoinwisdom.com/

[kidicarus13]

High risk = potenetial for high reward, low risk = most often low reward. Been that way since the dawn of investing and won't be changing anytime soon.

[Guylee]

Is anyone really surprised?

[nynco]

It will yo yo for a while. The value that bit coin brings for many people is it is perfect for money laundering and hiding money. The detriment of bitcoin is the time it takes for transactions. There are other currency's like Litecoin that are faster and will rise too.

[Great-Kazoo]

Is anyone really surprised?

I wonder how much propping up bitcoin did itself to get those inflated values.

One thing i find ironic about bitcoin, is how many folks who rally against the Novus Ordo Seclorum. Invested in an internet, worldwide currency.

[roberth]

I wonder how much propping up bitcoin did itself to get those inflated values.

One thing i find ironic about bitcoin, is how many folks who rally against the Novus Ordo Seclorum. Invested in an internet, worldwide currency.

Me too. A paper fiat versus an electronic fiat.

[Zundfolge]

So we're taking beforeitsnews.com stories at face value now?

[Dave_L]

My buddy that is big into bitcoins said it didn't "crash". Just a little guy went out of business and a bigger guy will buy them up. He said it's settled back at like $650. :shrugs: I don't invest in them so I'm just going off what he told me.

[Great-Kazoo]

So we're taking beforeitsnews.com stories at face value now?

More than one place is reporting . So no is the answer.
http://finance.yahoo.com/blogs/the-exchange/third-bitcoin-crash-in-three-months-reveals-cryptocurrency-flaws-161929360.html;_ylt=A0LEVwuPQflShAYAfm1XNyoA;_ylu= X3oDMTEzZjEzbXB0BHNlYwNzcgRwb3MDMgRjb2xvA2JmMQR2dG lkA1ZJUDI4MF8x

http://melodyintrance.wordpress.com/2014/02/09/major-bitcoin-exchange-crashes-takes-bitcoin-prices-with-it-los-angeles-times/


2 months ago
http://www.huffingtonpost.com/2013/12/06/bitcoin-crash_n_4400623.html

[Aloha_Shooter]

I love stories written like this:


After holding in a range of $900 to $1,000 for most of 2014, Bitcoin prices dropped as low as $500 before recovering slightly to around $700 on Monday.

"Most of 2014" .. you mean for 38 or 39 days? I keep listening to crap like this on the radio: "Lowest/highest/worst/best in the last three years" -- for something that happens once a year ..

Reporters need to get some perspective before making "statistical" statements.

[68Charger]

I wonder how much propping up bitcoin did itself to get those inflated values.

One thing i find ironic about bitcoin, is how many folks who rally against the Novus Ordo Seclorum. Invested in an internet, worldwide currency.


Me too. A paper fiat versus an electronic fiat.

putting the original source aside (hack, reactionary, drama-filled)...
Bitcoin is not Novus Ordo Seclorum at all, since it is not government based- in fact, most gov't can't stand it, since they can't track it. (hence it's value in money laundering & illicit trade)

It's more like a commodity, but yes- it's electronic fiat... since it's not a physical commodity.

[Aloha_Shooter]

putting the original source aside (hack, reactionary, drama-filled)...
Bitcoin is not Novus Ordo Seclorum at all, since it is not government based- in fact, most gov't can't stand it, since they can't track it. (hence it's value in money laundering & illicit trade)

It's more like a commodity, but yes- it's electronic fiat... since it's not a physical commodity.

I think Kazoo's point was about people who protest the idea of paper money then jumping in whole hog on a currency that has no real physical existence.

[Great-Kazoo]

putting the original source aside (hack, reactionary, drama-filled)...
Bitcoin is not Novus Ordo Seclorum at all, since it is not government based- in fact, most gov't can't stand it, since they can't track it. (hence it's value in money laundering & illicit trade)

It's more like a commodity, but yes- it's electronic fiat... since it's not a physical commodity.

If it's recognized worldwide it is New World Order. 1 monetary unit, for use any where in the world. OOPS my bad, those are credit cards.

[68Charger]

If it's recognized worldwide it is New World Order. 1 monetary unit, for use any where in the world. OOPS my bad, those are credit cards.

credit cards can be traced, and are tied to some government currency- Bitcoin can't (unless somebody screws up), and is independent of any gov't currency.
New World Order is about control, not just worldwide.

In other words, Bitcoin and other encrypted, electronic forms of money are "stickin' it to the MAN"
They're more part of the underground, than a worldwide government conspiracy... unless you tie it to organized crime, then maybe you have a point [ROFL1]

[sellersm]

credit cards can be traced, and are tied to some government currency- Bitcoin can't (unless somebody screws up), and is independent of any gov't currency.
New World Order is about control, not just worldwide.

In other words, Bitcoin and other encrypted, electronic forms of money are "stickin' it to the MAN"
They're more part of the underground, than a worldwide government conspiracy... unless you tie it to organized crime, then maybe you have a point [ROFL1]

Not to be contrarian, but can you prove that? Who started BitCoin? Who's behind Mt. Gox? Do you know where it's located?

[Great-Kazoo]

I'm waiting for the few bitcoin investors here to chime in. Since they have not, i doubt it bodes well. Of course everything is subject to change.

[Gman]

I see this exercise in creating an electronic currency ending badly. 20+ years in IT can do that to you.

[kidicarus13]

http://news.yahoo.com/bitcoin-exchange-mt-gox-39-website-down-053727771--sector.html

TOKYO (Reuters) - Mt. Gox, once the world's biggest bitcoin exchange, looked to have essentially disappeared on Tuesday, with its website down, its founder unaccounted for and a Tokyo office empty bar a handful of protesters saying they had lost money investing in the virtual currency.

[Lurch]

^^^^kidicarus beat me to it^^^^

[davsel]

From: http://market-ticker.org/akcs-www?post=228803

Mt. Gox Go Boom

Well now, who didn't see this coming?

The one-time giant of bitcoin exchanges Mt. Gox has gone offline, adding fuel to claims of other bitcoin companies that the exchange is about to declare bankruptcy. The exchange’s website was showing a blank white page as of about 10:30 pm ET on Monday evening amid reports on Reddit and Twitter that Mt. Gox had halted all trading.

The rest of the so-called "Bitcoin community" is trying to spin their wheels about this being an "isolated incident" and "one bad actor" (never mind that it appears that any "funds" allegedly at Mt. Gox may be entirely ethereal.)

Uh huh.

Sure it is.

As I pointed out in the Ticker I posted last night I couldn't disagree more. Bitcoin and all other so-called digital "currencies" of similar design share the same basic set of problems:

The only thing they're backed by is your stupidity and inability to do math. The Lotto is often called "a tax on those too stupid to perform mathematics."

The only requirement to "make" one is the expenditure of electricity. Twice, I might add. Once to compute, and again to get the heat out of the room that the computing generates. In some very cold places the second is "free", of course (or even beneficial.)

All of these are designed to be self-extinguishing. They can be "lost" but a lost "coin" can not be replaced or re-issued. "Mining" becomes progressively more-difficult as well. This is essentially identical to claiming that a burning candle has a future value of more than bupkis.

The best part of it is that the people who "design" them take as many of the "easy" coins as they can get away with before everyone else gets to try, which means they profit simply by offering something that becomes incrementally less-profitable for each new entrant. The best part of this sort of racket is that it's legal. Then again, it probably shouldn't be against the law; selling people "pet rocks" wasn't against the law either, but anyone who thought there was actual value in that box (other than a possible tool for use in a riot) was flat out of their mind.
What's amazing isn't that Mt. Gox imploded.

No, what's amazing is that the other "exchanges" still quote a price above intrinsic value -- that is, zero.

[Irving]

Why would the value drop as each coin is more difficult to obtain? Isn't that how gold works?

I have .24 of a bit coin, and a total investment of $111 out of my bank account a few years ago. I haven't really been paying attention. I was able to log into mt. Gox on Sunday.

[Ridge]

http://www.pcworld.com/article/2101260/bitcoins-other-digital-currencies-stolen-in-massive-pony-botnet-attack.html


Bitcoins, other digital currencies stolen in massive 'Pony' botnet attack

In unrelated news, I'm retiring to the Caymans...

[hatidua]

Bitcoin, and the buzz surrounding it, reminds me ever so much of when they interviewed some 19 year old dot.com silicone valley millionaire back during the dot.com boom. The interviewer asked the kid how long he thought the bubble could last and his overconfident words were classic: "it's different this time".

[Ridge]

This makes for interesting reading the past couple months:

http://www.reddit.com/r/Bitcoin

[kidicarus13]

This makes for interesting reading the past couple months:

http://www.reddit.com/r/Bitcoin

THIS makes for interesting reading... http://en.wikipedia.org/wiki/Bronies:_The_Extremely_Unexpected_Adult_Fans_of_My _Little_Pony

I had no idea before today.

[Ridge]

THIS makes for interesting reading... http://en.wikipedia.org/wiki/Bronies:_The_Extremely_Unexpected_Adult_Fans_of_My _Little_Pony

I had no idea before today.

http://i.imgur.com/BUv3g3s.png

[Gman]

I'll stick with Kubrick's version.
41385

[TFOGGER]

.....and cue some idiot Democrat wanting to ban them to protect us from ourselves...


http://www.nbcnews.com/tech/innovation/senator-calls-total-ban-dangerous-bitcoin-n39541

[Irving]

Government has been trying to ban them for a long time because they can't tax/control them effectively.

[<MADDOG>]

I guess my mediocre addition to this thread is: why would you invest in something that is not tangible? At least in a company stock, you get piece of legal paper stating you own "XYZ"...(?)

[Irving]

I guess my mediocre addition to this thread is: why would you invest in something that is not tangible? At least in a company stock, you get piece of legal paper stating you own "XYZ"...(?)

You can print out a unique block chain of your bitcoin holding, if you want.

[hatidua]

.....and cue some idiot Democrat wanting to ban them to protect us from ourselves...


http://www.nbcnews.com/tech/innovation/senator-calls-total-ban-dangerous-bitcoin-n39541

...wasn't that the same guy that was pushing gun control? Me thinks someone has control issues.

[HoneyBadger]

I guess my mediocre addition to this thread is: why would you invest in something that is not tangible? At least in a company stock, you get piece of legal paper stating you own "XYZ"...(?)

It's just a different type of investment. VERY different.

[00tec]

And today's Cyanide and Happiness comic:
http://explosm.net/db/files/Comics/Rob/givemeyourcash.png

[HoneyBadger]

And today's Cyanide and Happiness comic:

[ROFL1]

[davsel]

From: http://flexcoin.com/


Flexcoin is shutting down.

On March 2nd 2014 Flexcoin was attacked and robbed of all coins in the hot wallet. The attacker made off with 896 BTC, dividing them into these two addresses:

1NDkevapt4SWYFEmquCDBSf7DLMTNVggdu

1QFcC5JitGwpFKqRDd9QNH3eGN56dCNgy6

As Flexcoin does not have the resources, assets, or otherwise to come back from this loss, we are closing our doors immediately.

Users who put their coins into cold storage will be contacted by Flexcoin and asked to verify their identity. Once identified, cold storage coins will be transferred out free of charge. Cold storage coins were held offline and not within reach of the attacker. All other users will be directed to Flexcoin's "Terms of service" located at "Flexcoin.com/118.html" a document which was agreed on, upon signing up with Flexcoin.
Flexcoin will attempt to work with law enforcement to trace the source of the hack.

Updates will be posted on twitter as soon as they become available.

[Gman]

Mt. Gox, now Flexcoin....

I'm shocked....shocked I tell you. [Sofa]

[brutal]

896 is a drop in the proverbial bitcoin bucket compared to the losses on MtGox.

I sure hope none of you guys got burned.

[Irving]

Looks like I probably have lost all the money I had. Oh well.

[sellersm]

Anyone here a member of the Lakota Nation? They're working on their own cryptocurrency, apparently: http://breakingdeception.com/native-american-tribes-adopt-bitcoin-like-currency-prepare-battle-us-government/

[Gman]

Head of Online Currency Exchange Found Dead in Singapore (http://www.nbcnews.com/business/business-news/head-online-currency-exchange-found-dead-singapore-n45101)


Autumn Radtke, the CEO of an upstart online currency exchange, died last week under mysterious circumstances at her home in Singapore.

Radtke, the U.S.-born head of First Meta, was found dead by local police Feb. 28, with the cause of death yet to be determined. In a statement on its website, First Meta said the company "was shocked and saddened by the tragic loss of our friend and CEO Autumn Radtke."

In an interview with The Wall Street Journal, the company's director and nonexecutive chairman, Douglas Abrams, said the exact cause of Radtke's death was "still under investigation."

Prior to taking the reins at First Meta in 2012, the 28-year-old Radtke had once closely worked with technology giant Apple, to bring cloud-computing software to Johns Hopkins University, Los Alamos Labs and the Aerospace Corp., according to her biography. She then took up business development roles at tech start-ups Xfire and Geodelic Systems, according to information on her LinkedIn profile.

First Meta bills itself as a clearinghouse for the purchase and exchange of virtual currencies, including bitcoin.

Her death comes as troubles swirl around the nascent cryptocurrency industry, and amid a rash of suicides in the financial industry as a whole.

Last week, the world's largest bitcoin exchange, Mt.Gox, imploded; meanwhile, nearly $500 million in client funds vanished overnight. Elsewhere, untimely demises unrelated to bitcoin have claimed the lives of bankers at JPMorgan, Deutsche Bank and Zurich Insurance Group.

[davsel]

http://market-ticker.org/akcs-www?post=228888


Trade (Or Transact In) Bitcon? ReDo Your Taxes!

Another one of these....

http://market-ticker.org/smilies-local/toldyaso.gif


The U.S. government will treat Bitcoin as property for tax purposes, applying rules it uses to govern stocks and barter transactions, the Internal Revenue Service said in its first substantive ruling on the issue.


So it's effectively the same as a share of stock.

Good luck boys and girls if you're trading it, buying it, spending it and such.

I have had years where I filed a book with a the IRS; unfortuantely there is no "book rate" for tax returns, but there should be. Anyone who has traded actively knows damn well how much of a pain in the ass this is come tax time and is why companies like Wohlers are in business (to sort that crap in a reasonable amount of time and produce the documentation necessary to not wind up audited -- or prosecuted.)

Well........ now things get sticky because every Bitcoin transaction has a basis and a profit or loss. Worse, the wash sale rule may apply too. And finally, if that's not a big enough kick in the balls, 1099 reporting is also required if you disburse more than $600 worth of it in payment(s) to an individual exactly as it is if you pay an independent contractor more than $600 in a year.

The full IRS release is here and since the blockchain is public if you have transacted in it and don't report it they can find you.

If it's worth it you can bet they will.

[kidicarus13]

http://www.coindesk.com/bitcoins-price-drop-headlines/

[Irving]

Too bad MtGox is awol. I'd be all over buying and selling during these price fluctuations.

[GilpinGuy]

Huh, just as I get interested in Bitcoin (literally the last few weeks) I see all of this. My understanding is that using bitcoin is supposed to be basically a "anonymous" transaction. How the hell can the IRS tax these transactions? From what I've learned in my very limited education on the subject they really can't (or they won't invest HUGE time and $ to investigate unless you are a huge player). I'm sure that I'm just ignant here.

Maybe they really can't, but they are just throwing it out there to scare folks?

[kidicarus13]

Bitcoin is blowin' up! Who's retiring early? No one? Oh, okay.

[colorider]

I know a few people who claim to be making money investing in bitcoin. They are also idiots so I don't know how to interpret their "making money" statement. Can you buy and sell bitcoin like you can shares of stock?

[BushMasterBoy]

I'm sticking to yard sales.

[J]

I know a few people who claim to be making money investing in bitcoin. They are also idiots so I don't know how to interpret their "making money" statement. Can you buy and sell bitcoin like you can shares of stock?

Yes. There are exchanges that convert standard currency to bitcoiin and back. They take an exchange fee on any transactions for their service. Much like a stock broker or exchange service.

You can also buy and sell things privately and with a select few businesses that accept bitcoiin.

Additionally, you can mine bitcoin. Essentially setting up one or more powerful computers or servers to act as part of the crypto exchange network and receive a very small percentage of any transaction your equipment processes on behalf of the network.

[colorider]

Thanks for explaining that ! It really helps me understand what they are talking about which their "investing". I'm sticking with more traditional investments.

[davsel]

http://captaincapitalism.blogspot.com/

Just a bit of salty language

https://www.youtube.com/watch?v=gEGSh0L0gdg

[Zundfolge]

How the hell can the IRS tax these transactions?

They'll tax you when you convert bitcoin to USD.


I know a few people who claim to be making money investing in bitcoin. They are also idiots so I don't know how to interpret their "making money" statement. Can you buy and sell bitcoin like you can shares of stock?
https://www.theguardian.com/technology/2015/dec/09/bitcoin-forgotten-currency-norway-oslo-home

[Sawin]

I have been "invested" in Bitcoin since October 2014 and have ridden quite a ride upward, particularly in the last few months.... Ethereum and Litecoin too, after buying into them more recently (November '16 and February '17, respectively). Ethereum is the one I'm most excited about though as it represents an entirely new platform, not just a cryptocurrency, for digital contracts. It has garnered the attention of some of the largest corporations in the banking and tech industry including Intel, Microsoft, JP Morgan Chase, and dozens more.

I figure why not just let it ride and see where it goes in a few more years... maybe i can retire early?

http://www.zerohedge.com/news/2017-02-27/ethereum-soars-after-jpmorgan-intel-microsoft-and-others-form-blockchain-alliance

or https://www.forbes.com/forbes/welcome/?toURL=https://www.forbes.com/sites/laurashin/2017/05/22/ethereum-enterprise-alliance-adds-86-new-members-including-dtcc-state-street-and-infosys-and/&refURL=https://www.google.com/&referrer=https://www.google.com/ in case you don't believe Zero Hedge.

[Sawin]

Bitcoin is blowin' up! Who's retiring early? No one? Oh, okay.

maybe... too soon to say.

[davsel]

Karl Denninger explains how Digital 'Currencies' Are ALL A Scam (http://market-ticker.org/akcs-www?post=232141)

Like any ponzi scheme, some will make money early, but most will lose.
No thanks.

[GilpinGuy]

Nevada just passed a LAW that says that block chain transactions (like Bitcoin) may not be taxed or regulated AT ALL by local governments. A bit over my head to explain it accurately, but very interesting stuff going on with this stuff.

LINK (http://www.lawofthelevel.com/2017/06/articles/virtual-currency/nevada-blockchain-law/)


Nevada has passed a pro-blockchain law that recognizes blockchain technology as a type of electronic record for the purposes of the Uniform Electronic Transactions Act and prohibits taxation and regulations regarding the use and implementation of blockchain technology.

The law defines “Blockchain” as an electronic record created by the use of a decentralized method by multiple parties to verify and store a digital record of transactions which is secured by the use of a cryptographic hash of previous transaction information.

It prohibits local governments (board of county commissioners or city council or other governing body of an incorporated city) from imposing any tax or fee on the use of a blockchain by any person or entity; requiring any person or entity to obtain any certificate, license or permit to use a blockchain; or imposing any other requirement relating to the use of a blockchain by any person or entity.

This law follows on the heels of blockchain laws passed by Arizona (giving legal recognition to smart contracts) and Vermont (declaring that blockchain-based digital records will be considered a business record under the Vermont Rules of Evidence).

[GilpinGuy]

They'll tax you when you convert bitcoin to USD.

FWIW, I'm very skeptical about all of this too and learning about it.

I've heard from others that know a shit ton about this that you can buy Amazon gift cards with Bitcoin. How's that get taxed? Sounds pretty awesome to me.

[GilpinGuy]

Notably, we don't discuss anything illegal on the forum (such as tax evasion). Unlike the democrats, we are not thought police, so we can't control what you are thinking about. [cigar]

ETA: I would strongly suggest to control that chain of thought especially if you plan to have a TV show, a helicopter, tons and tons of guns, a large business, a brand new house, and a $7,000/year salary, however.

Ah, point taken.

Hey, wait a minute here. How did you know I was hording bitcoin to buy a helicopter on the sly?[tinhat]