In Spain, The Bitcoin Run Has Started

Tyler Durden's picture




 

Something extreme is happening in Europe. Since Sunday, Bloomberg Businessweek reports a trio of Bitcoin apps have soared up Spain's download charts, coinciding with news that cash-strapped Cyprus was planning to raid domestic savings accounts to pay off a $13 billion bailout tab. “This is an entirely predictable and rational outcome for what’s happening in Cyprus,” says ConvergEx's Nick Colas. "If you want to get a good sense of the stress European savers are feeling, just watch Bitcoin prices."

The value of the virtual currency has soared almost 30 percent in the last two days. "One hundred percent of that is due to Cyprus," says Colas. "It means the Europeans are getting involved." As German economist Peter Bofinger warned in an interview with Spiegel Online: "European citizens must now fear for their money."

The same apps download data, however, showed that Italians aren’t ready to abandon commercial banking, remarkable as many Italians still recall that black day in 1992 when they woke up to a levy on their savings accounts to prop up the nation’s teetering finances.

 

The EUR price for a Bitcoin has jumped from around EUR37 to over EUR50 in the last two days as reality hits... and look at the volume...

 

Nassim Taleb (On Reddit) - via Mike Krieger (@LibertyBlitz):

"Bitcoin is the beginning of something great: a currency without government, something necessary and imperative."

Chart: Bitcoincharts

0
Your rating: None
 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Wed, 03/20/2013 - 20:29 | 3354829 Cdad
Cdad's picture

Now...why would anyone in Spain want to "convert" something?  And in the process of conversion, I wonder if there are any withdrawals involved?  As for folks in Spain who are collecting .03% on their savings accounts...the question must be asked...as Spanish folk born withouth sense?

Wed, 03/20/2013 - 20:30 | 3354836 Haywood Jablowme
Haywood Jablowme's picture

Boom!  bitchez.....

Wed, 03/20/2013 - 20:33 | 3354841 Cdad
Cdad's picture

YOu fuck...you have interrupted my rather tipsy Spain rant!  Was that your intent, sir?

I was saying....

Well, I've never been to Spain...but I kinda like the music.  They say the ladies are insane there...but I really don't remember.  And so, maybe I have Spain all wrong, 'cause if the ladies are insane there...well then...gotcha ;)

Wed, 03/20/2013 - 20:34 | 3354851 tsx500
tsx500's picture

just curious...can I stand in front of a my pile of 'bitcoins' and touch them ?

Ooohhhhh . . . . . . . . . .

Wed, 03/20/2013 - 20:51 | 3354915 McMolotov
McMolotov's picture

What's worse, according to Mr. Buffett, is that you can't even attempt to fondle them, so there's no way of knowing whether they'd respond.

Wed, 03/20/2013 - 20:54 | 3354935 Half_A_Billion_...
Half_A_Billion_Hollow_Points's picture

Given that Krugman is against bitcoin, the thing is certain to succeed.

Wed, 03/20/2013 - 21:02 | 3354962 sunaJ
sunaJ's picture

Of course Bitcoin is not big in Italy.  Bitcoin is sooo 2012!  Italians are anxiously awaiting the new (and may I say stylishly daring?) two-bit coin to be unveiled in Milan later this year.

Wed, 03/20/2013 - 21:07 | 3354987 Cdad
Cdad's picture

I've been to Italy now, mind you.  And those dogs...they get my bump, to be sure.  Damn straight up decent, all friendly like.  If you put me on a rack somewhere, prolly down in the basement of the fed being stretched, and some voice beyond the light bulb be sayin'g, "Cdad...you can't say here.  You must move to Europe...or die."  I'd be all like, dog, send me to Italy, man.  I ain't got shit here in 'Merica anyway.

Set me up with some pasta, a cheap wine, and a few Italians shootin' shit..........dog.........I'm down with that.

Wed, 03/20/2013 - 21:11 | 3355001 IndicaTive
IndicaTive's picture

'fo shizzle

Wed, 03/20/2013 - 21:33 | 3355078 Half_A_Billion_...
Half_A_Billion_Hollow_Points's picture

Gold & Silver will move 50%+ when they do.  That's what the bitcoin price says.  If people are moving into bitcoin, who nobody knows, imagine how stocks of gold and silver must be getting stressed.

Wed, 03/20/2013 - 21:37 | 3355100 Karlus
Karlus's picture

So I get you can use EUR to buy bitcoin. You can sell bitcoin to get USD. What happens when no one wants to trade Bitcoin to EUR?

Wed, 03/20/2013 - 21:58 | 3355203 CH1
CH1's picture

What happens when no one wants to trade Bitcoin to EUR?

Ummm... pay them more?

Wed, 03/20/2013 - 22:11 | 3355248 XenoFrog
Wed, 03/20/2013 - 22:19 | 3355288 CH1
CH1's picture

You are a boring troll.

Wed, 03/20/2013 - 22:24 | 3355313 XenoFrog
XenoFrog's picture

That's funny because I think that you bitcoiners trying to take over ZeroHedge are the trolls.

Wed, 03/20/2013 - 22:37 | 3355362 Supernova Born
Supernova Born's picture

Bitcoin ETF for the FTMFW.

Wed, 03/20/2013 - 22:41 | 3355384 Supernova Born
Supernova Born's picture

Now the Bernanke is going to have to print 3 piles of cash. One to prop the stock market, another to suppress gold and another to screw with Bitcoin.

Ben wonders if you have any bright ideas he can't fuck with?

Wed, 03/20/2013 - 23:24 | 3355563 philipat
philipat's picture

Bitcoin is the only thing that TPTB cannot manipulate (They will shut it down instead). This graph would be Gold if it wasn't manipulated in the paper markets.

Idea for Wall St. - Paper Bitcoin!!

Wed, 03/20/2013 - 23:44 | 3355627 The Big Ching-aso
The Big Ching-aso's picture

If you can't hold it in your hand Bitcoin could turn into Shitcoin just like, SNAP!, that. 

Thu, 03/21/2013 - 00:54 | 3355776 RideTheWalrus
RideTheWalrus's picture

When Paypal, Visa, Mastercard and the big banks announce they will not support bitcoin transactions (because of terrorism, organised crime, fraud etc) and converting them back to cash becomes problematic, then the real test will begin - that or the CIA leg of Anon have a hack-a-thon to remove some of the hype about it being secure and safe. Either way, it only has big challanges ahead of itself. The current fad hype is dangerous ground. Only the sub-$10 bitcoin owners can safely be playing this game and they are usually the ones with the mega-phones pumping it up.

When bitcoins survives and powers through some real challanges, then people can start taking it seriously - until then, you might as well "harvest" smurfberries or WoW gold because that's all it is but with encryption (that's only useful if you do a bunch of other precautionary things to keep the privacy in tact).

Stick to gold and silver and digging holes. A bird in the hand is worth two in the bush.

 

Thu, 03/21/2013 - 02:46 | 3355946 fonestar
fonestar's picture

Nonsense.  I've never seen an arb opportunity like BTC in my life! 

Bitcoin actually poses a **MAJOR** threat to all national, inflationary, debt based currencies circulating around the globe.  The danger is that eventually as it gains value along with it's downloads it literally sucks the capital out of the already floundering fiat money grid and causes a systemic collapse of confidence in global currencies.

Gold and silver can be managed to a degree as the criminals own the dollar, the bullion banks, some of the miners and the exchanges.  They do not have this privilige with Bitcoin and it will only take the dullards so long to figure out that Bitcoin is a deflationary tiger that cannot be stopped!

Thu, 03/21/2013 - 03:29 | 3355986 RideTheWalrus
RideTheWalrus's picture

Bitcoins haven't passed any tests and they have A LOT to front up too before they should be accepted as anything but a novelty - even novelities can make money in the early stages but that doesn't mean people will still want to pay a $1,000 for your 'rare' beenie baby after the high wears off.

Everything that makes bitcoins desirable is exactly why they'll be tested beyond anything you can imagine from the powers that be.

It just has craze written all over it. People are drunk on hype thinking they are putting a fist down the Rothschilds throats or getting rich quick like they've found a unicorn that shits gold.
Your either buying bitcoins becuase you think you've outsmarted the autocracy or your buying them thinking you'll mulitple your money.
That's dangerous thinking and even worse investing. 

Bitcoins biggest failure will be it's success. It should have stayed secret and private and nothing more than a way to transfer money to yourself, friends or family - but the greed of speculation has pushed in into the spotlight and the mega-phone pumpers are making grand claims of $1,000 - $1,000,000 without any care for what that will bring. It's really just a countdown until it's serverly challanged and brought back to reality.

Don't be holding the bag of bitcoins when that happens. Sell them on the way up and convert them into real money while you still can.

 

Thu, 03/21/2013 - 03:29 | 3355989 troublesum
troublesum's picture

What if bit coin is the one world currency all the conspricy theorist were trying to warn us about?

Thu, 03/21/2013 - 04:06 | 3356014 gold-is-not-dead
gold-is-not-dead's picture

I just have to grab a coffee, this is becoming the best and the biggest thread of BTC related comments in the world. Yeaiaa.... :)

So many negative comments means only one thing, we're nowhere near the mania phase...

Thu, 03/21/2013 - 04:10 | 3356030 RideTheWalrus
RideTheWalrus's picture

I've said from the start, as a speculation in a hype phase you can make good money buying/selling bitcoins - that's all good and well and like any fad or craze there will be winners and losers.

What stops me from investing and taking them sersiously is the absolute mania people have and the refusals to think rationaly about them, that is a dangerous sign and makes them something to avoid unless your going to pump and dump them.

If a cryptocurrency does become the future and the montery system is revolutionized, it won't be bitcoins, it'll be the 3rd, 4th, 10th attempt at a cryptocurrency that plugs all the unknown unknowns that brought down the attempts before it.

The mania people have thou is amazing. It's either going to be the best investment ever to have occured on Earth and we're living history right now or it's going to fall into a heap leaving most people bust and be remembered as fondly as Y2K bunkers.

 

Thu, 03/21/2013 - 04:23 | 3356043 gold-is-not-dead
gold-is-not-dead's picture

Have to say that this one above is one of the best FUD comments. So dubious and frightening for BTC. LOLZ

Thu, 03/21/2013 - 04:34 | 3356051 RideTheWalrus
RideTheWalrus's picture

Soon you won't be able to mine bitcoins without spending 10's-thousands on high-end gear to generate enough GPU power. You'll have a few big server farmers backed with good money that will pop up and drain all the available coins out of reach of the average person. At that point you will only be able to buy them at exchanges.
Shutting down exchanges for tax loopholes, supporting terrorism, funding organised crime or what ever other excuses they come up with will be easy.
Short of that, a major hacking offensive to simply steal people's coins with no authority supporting people recouping their loses will be the other challange they'll face.

The mania is bound to turn to fear when people realise there's nothing backing them and no one cares they've lost their wealth/investment. You can't have hopium in that enviornment and that's the future of bitcoins, until they've met those challanges, survived and strengthened through them this current boom is nothing buy hype based.

But the maniacs can't see anything but riches as they have out smarted TPTB so i guess there's nothing to worry about.

 

Thu, 03/21/2013 - 04:49 | 3356062 gold-is-not-dead
gold-is-not-dead's picture

Hehe, I know, I have invested several grand in that new equipment.... In fact I'm one of the first 300 hundred users in the world. I don't need exchanges to sell it, for the amounts larger than 1000eur I get a visit from pleasent guys, fully anonimous, no fincen blahblah... They pay good, spot price - 3%... Gold and silver aren't backed by any goverment and yet they prevail due to value they derive from energy and time, same as btc... :) Nice comment I have to say, but still FUD-ish... Many will join this party fashionably late... I have to tell you this, I'm the illuminati and the free masons and the cia all together... Went through several wars on Balkan and don't give a shit for another one...

Thu, 03/21/2013 - 07:47 | 3356193 jayman21
jayman21's picture

Are you a central planner?  Jeez.....the pricing mechanism will clear this problem out and show who and who does not have clothes.  You sound like a hack from the Fed.

Thu, 03/21/2013 - 08:13 | 3356285 fonestar
fonestar's picture

my comment is really squishy!  OUCH!

Thu, 03/21/2013 - 09:51 | 3356712 jayman21
jayman21's picture

The bigscreen at home was fine, but wow, on the laptop and squishy.....OUCH ^2

Thu, 03/21/2013 - 11:42 | 3357333 Spirit Of Truth
Spirit Of Truth's picture

The interest in this thread is telling.  I can't imagine TPTB will allow a sovereign, international currency they can't control.  Bitcoin will be shot down one way or another for the threat it poses to the fundamentally flawed system of reserve banking with fiat currencies the Central Banks have vested upon the future of the global economy.

Thu, 03/21/2013 - 14:45 | 3358429 fonestar
fonestar's picture

Oh ya?  And how prey tell do you propose they do that without shutting down the ENTIRE internet?

Thu, 03/21/2013 - 19:16 | 3359789 Long_Xau
Long_Xau's picture

h
t
t
p
:
/
/
b
i
t
c
o
i
n
.
c
l
a
r
k
m
o
o
d
y
.
c
o
m
/
t
i
c
k
e
r
/

 
M
t
G
o
x
 
i
s
 
i
m
p
l
y
i
n
g
 
E
U
R
/
U
S
D
 
a
t
 
1
.
2
5
7
1
4
 
a
s
 
o
f
 
n
o
w
!
 
L
O
L
!

Fri, 03/22/2013 - 10:39 | 3361974 painlord-2k
painlord-2k's picture

The reasons Bitcoin is not a mania are simple:
1) it is not inflatable out of design (21 milliond coin, 11 millions already mined, the next 5 million will be mined int he next 4 years, the 2.5 millions in the four year after them, and so on until 2120)

2) it is uncensorable. No need to ask permission to bank, SWIFT, PayPal, etc.

3) a transaction cost a lot less than a transaction with PayPal, Visa, etc. Some bug sellers implementing it could double their income just cutting away 2,5% costs going to PayPal and give a discount to the buyer.

4) it can be anonymous

5) The bitcoins in a personal software wallet con not be seized by governments. They need the private key. And the private key is uncrackable.

 

The main reason Bitcoin is not a fad is (3). Implementing it reduce costs. Not implementing it keep costs higher thanthe competition.

What Bitcoin need it time to grow larger. As more people enter the ecosystem, the price go up bot if hte just use Bitcoin as a payment system and both if the use Bitcoin as a storage of value.
More the price of a bitcoin go up, greater is the ability of the system to transfer purchasing power from a person to another.
Currently a single transaction of 1.3 million US$ (at Mt.Gox) cause the price to jump up more than 10%.
Now, a single transaction of 1.3 Millions US$ raised the market cap of 10% to 750-800 M  enabling the ecosystem to manage transactions 10% greater.
Other 10 M US$ and the Bitcoin network will have a market cap over 1 billion and will be able to manage transactions of a size ouble than now.
This imply a single transaction of 1.3 Millions will not rock the exchanges so much in a few weeks.

This will enable the big players to not need to convert bitcoin to fiat money to pay their suppliers. They will be able to pay them with bitcoin even for large sums. Then, if a closed loop form, the bitcoin used there will be unavailable to the exchanges and this will push the market price up again.

When some big circuit will (near) exclusively use bitcoin to settle their debit and credits, their request of fiat money will disappear (€,$,£) pushing up the exchange rate of bitcoin and down the exchange rates of fiat.

 

 

 

Fri, 03/22/2013 - 10:42 | 3361991 painlord-2k
painlord-2k's picture

The reasons Bitcoin is not a mania are simple:
1) it is not inflatable out of design (21 milliond coin, 11 millions already mined, the next 5 million will be mined int he next 4 years, the 2.5 millions in the four year after them, and so on until 2120)

2) it is uncensorable. No need to ask permission to bank, SWIFT, PayPal, etc.

3) a transaction cost a lot less than a transaction with PayPal, Visa, etc. Some bug sellers implementing it could double their income just cutting away 2,5% costs going to PayPal and give a discount to the buyer.

4) it can be anonymous

5) The bitcoins in a personal software wallet con not be seized by governments. They need the private key. And the private key is uncrackable.

 

The main reason Bitcoin is not a fad is (3). Implementing it reduce costs. Not implementing it keep costs higher thanthe competition.

What Bitcoin need it time to grow larger. As more people enter the ecosystem, the price go up bot if hte just use Bitcoin as a payment system and both if the use Bitcoin as a storage of value.
More the price of a bitcoin go up, greater is the ability of the system to transfer purchasing power from a person to another.
Currently a single transaction of 1.3 million US$ (at Mt.Gox) cause the price to jump up more than 10%.
Now, a single transaction of 1.3 Millions US$ raised the market cap of 10% to 750-800 M  enabling the ecosystem to manage transactions 10% greater.
Other 10 M US$ and the Bitcoin network will have a market cap over 1 billion and will be able to manage transactions of a size ouble than now.
This imply a single transaction of 1.3 Millions will not rock the exchanges so much in a few weeks.

This will enable the big players to not need to convert bitcoin to fiat money to pay their suppliers. They will be able to pay them with bitcoin even for large sums. Then, if a closed loop form, the bitcoin used there will be unavailable to the exchanges and this will push the market price up again.

When some big circuit will (near) exclusively use bitcoin to settle their debit and credits, their request of fiat money will disappear (€,$,£) pushing up the exchange rate of bitcoin and down the exchange rates of fiat.

 

 

 

Thu, 03/21/2013 - 07:51 | 3356199 jayman21
jayman21's picture

We are watching Gresham's Law become extinct.  Bitcoins just might be the cure for bad currency.

 

Thu, 03/21/2013 - 06:34 | 3356110 PowerzThatB
PowerzThatB's picture

If I own physical gold and silver, how can it be "managed" to a degree? Please do not aruge that Bitcoin is safer than physical gold in my possession (not sure if you were, but physical gold pwns Bitcoin). I'm not pro or con Bitcoin, but this I know: if it starts to pose a threat to Uncle Ben and his Fed cronies, you can be sure they will hack it, attack it and use any means possible to destroy it and burn those holding it. If it survives the coming assault, then it will prove itself durable and a global player. 

Wed, 03/20/2013 - 23:47 | 3355638 Supernova Born
Supernova Born's picture

Virtual alchemists will get no further than the chemical ones did.

Gold, bitchez.

Thu, 03/21/2013 - 01:17 | 3355827 JLee2027
JLee2027's picture

Excellent

Thu, 03/21/2013 - 00:23 | 3355717 rich_wicks
rich_wicks's picture

Bitcoin is the only thing that TPTB cannot manipulate

All they need to do is mine coins in Utah and then dump them on the market.

Everybody is hoarding them now.

Thu, 03/21/2013 - 00:08 | 3355685 samwell
samwell's picture

a troll is somone who spouts FUD like you do.  If it walks like a troll, talks like a troll, it must be a troll.  tadpole is a troll.  you have never made one cogent remark about bitcoin.  your lack of insight and ignorance is truly profound.  have you had a labotomy or something?  maybe you are on SSRI?  you will probably end up buying bitcoin at $1000 because all of your yuppy inbred friends finally are, but at that point it will be too late.  fuck off

Thu, 03/21/2013 - 03:11 | 3355964 SWIFT 760
SWIFT 760's picture

hey, kikebot...CIA already hijacked bitchcoin. GTFO. 

Wed, 03/20/2013 - 22:21 | 3355296 Ahmeexnal
Ahmeexnal's picture

That's freaking hilarious.
Those sheeple who are converting to bitcoin also believe virtual guns will keep them safe.

"You can avoid reality, but you cannot avoid the consequences of avoiding reality"

Sheeple are sheeple.

Wed, 03/20/2013 - 23:55 | 3355654 greenbear
greenbear's picture

Ever heard of 3D printers? 

Thu, 03/21/2013 - 05:22 | 3356073 Angus McHugepenis
Angus McHugepenis's picture

Only for use in porn. I heard Bercracky used one to increase his manhood but he fucked up an put it in reverse. He ended up fucking himself in the ass.

Thu, 03/21/2013 - 06:39 | 3356114 nmewn
nmewn's picture

Is the 3D printer real or stored on a hard drive? ;-)

Thu, 03/21/2013 - 09:07 | 3356475 digitalhermit
digitalhermit's picture

Don't worry - your investment in copper clad lead is safe.

Folks still need real bullets for their "virtual" guns.

http://www.youtube.com/watch?v=0ieNQzmBaHs

http://defensedistributed.com/

Thu, 03/21/2013 - 00:02 | 3355674 samwell
samwell's picture

what the fuck are you doing up tadpole.  shouldn't you be in beddy?  its past your bedtime isn't it?  is that your little link to your favorite past time of battletech?  you must be very mad you don't have some bitcoin to sell frog lady huh?  there there, its not too late to realize how stupid you are and how little you understand in the universe because you and your yuppy friends all live in a close, inbred world where you all have to agree about everything.  bitcoins only up 33% in the last 3 days.  

Wed, 03/20/2013 - 23:28 | 3355571 Haywood Jablowme
Haywood Jablowme's picture

So I get you can use EUR to buy bitcoin. You can sell bitcoin to get USD. What happens when no one wants to trade Bitcoin to EUR?

You use it to buy 1000 rounds of Black Hill 5.56 ammo like I just did.  BOOM BITCHEZ!

Do NOT follow this link or you will be banned from the site!