This page has been archived and commenting is disabled.
Bitcoin Tumbles After China Central Bank Bans Financial Companies From Using Digital Currency
As we said back in March, when Bitcoin's parabolic rise first started, it was only a matter of time before first one, then all central banks take on Bitcoin for the simple fact that it present too great a threat to the fiat system. Sure enough, on the chart below of BTC China it is quite clear just at what point overnight the People's Bank of China announced that Bitcoin is simply a virtual commodity and "isn't a currency with any real meaning" (paraphrasing Alan Greenspan), and that it officially bans financial companies from Bitcoin transactions.
However, the reason why Chinese Bitcoin didn't tumble all the way to zero is because the PBOC added a loophole that the public is free to participate in internet transactions provided they bear their own risks.
The Chinese regulators noted three main risks. First, they said Bitcoin was an unsafe investment because the amount in circulation is small and can be easily controlled by speculators, making it highly volatile.
Second, because it is a largely anonymous product with few controls on it, they said that Bitcoin makes money laundering easy and can be used to support terrorism.
Third, they said there was a risk that it could be used by criminal organisations, noting that Bitcoin had been used internationally for the purchase of drugs and weapons.
“We have clearly stipulated that at the present moment all financial institutions and payment institutions cannot develop any business related to Bitcoin,” the central bank said. The regulators said that any websites serving as platforms for Bitcoin transactions would have to provide detailed information about their users and report any suspicious activity.
The central bank said it would continue to monitor Bitcoin trends and risks, adding that it would also focus on educating the public. “We will guide people to correctly understand the concept of a currency as well as investment theory,” it said.
However, as noted, the ban was not outright, and the PBOC did allow an option for continuing the use of Bitcoin. That said, with increasingly more central banks rejecting BTC and outright warning about its usage, one can expect that the main draw of Bitcoin, its independence from the legacy fiat system, will be increasingly more scrutizinied until it too is institutionalized, or until the BIS creates its own Bitcoin slamdown trading desk.
The Chinese government stopped short of banning Bitcoin altogether, saying that as an online product people were free to buy and sell it at their own risk. But it highlighted many dangers associated with it, including money laundering and criminality. From a systemic perspective, it noted that the one saving grace was that the amount circulating in the economy was too limited to pose a real threat.
“Although there are people calling it a ‘currency’, it is not issued by the monetary authority, it does not possess the attributes of a currency such as legal repayment and enforcement abilities,” the central bank said in a statement explaining the notice.
“Judged by its nature, Bitcoin is one particular kind of a virtual product. It does not have the legal status of a currency, and it cannot and moreover should not be allowed to circulate in the market as a currency.”
About a third of global Bitcoin transactions have been taking place in China and BTCChina became the world’s biggest bitcoin exchange by trading volume last month.
No major financial institutions have yet been involved in the Bitcoin trade in China, but online vendors on ecommerce group Alibaba’s platforms have started using it, as has Baidu, the internet search engine leader.
So that's that. Next, we hope to provide shortly the latest monthly total gold import number by China, where the PBOC has yet to provide an update of its total holdings since 2009.
- 37176 reads
- Printer-friendly version
- Send to friend
- advertisements -



I suspect that the "Party" won't endorse the use of Bitcoin/digital currency within the "Party's" System.
The backdoor/loophole is the concern over use by "terrorists." Any significant traction (not in direct support of the "Party") and they pull the plug.
I'm not seeing anything "official" coming out of DC.
"I am relegated to the daily buy limit of 10BTC at coinbase for an immediate transaction."
What's it like to be "rich?" (2/3 of the 7+ billion humans on the earth live off of $3/day or less)
I have no BTC and put money on the side to buy some. waiting for China to just say somethign to get it over with. Unfortunately I have been waiting since the price was a lot lower. I got the public comment and now I jumped in. only 700 BTC higher then when I made up my mind. really astute trading by me.
Oh and go fist yourself for trying to make me feel like an asshole for having money to invest.(speculate).
"Oh and go fist yourself for trying to make me feel like an asshole for having money to invest.(speculate)."
Sorry, only YOU can allow yourself to feel.
Please be sure to come back and report how "astute" you were. I'll just continue to be "non-asture" and use what available excess capital I have to acquire usable things to make the farm more viable... oh, and should you come by looking for food I'll be sure to point out where you can dig it out from (which will require you to remove your fist from...).
Fucking piker.
How many bitcoins for a turnip?
It's hard for me to believe you're serious. Surely, this is all just nonsense.
elOso
Your BitCoin,
Well, when the PTB around here get hold of it, and declare it is a FELONY to use it(and they will),you will be subject to seizure of all assets,home, property,children, family,and you will be in court(broke)if not in jail.Just a matter of time.
Just got a new puppy for the kids and decided to name it DosZap. She's such a good little bitch.
Oh no, not the "HURR DURR GOVERNMENT GONNA BAN IT DURR" argument again.
You realize it would be the EASIEST THING IN THE WORLD for them to do - and they HAVEN'T DONE IT, even with ample opportunity to do so.
Because they understand the cat is out of the bag, unlike your default avatar, lol.
Sounds like you want to live in a police state dictatorship.
May you get your wish.
Yeah, "no capital controls" turns out is a bitch and yes means no, after all... unless you're transfering money between bank accounts, or buying whatever amount of gold you want, at once, and no one imposes you any limits at all.
there are a few things to also consider here wrt to PBOC's decison on Bitcoin.
Their official policy is no different then gold and silver. like the metals, if China were to SAY we love Bitcoin, it goes to the moon but they didnt, instead it told its citizens it was free to buy it like it did with gold and silver. this gives the people a chance to get in(hence the wink wink) without the rest of the world just momentum trading on China's back.
Second, by preventing financial companies from using digital currency it also, prevents its banking system from tainting bitcoin. there is an art in every decsion they make and gamesmanship and posture and I think its for good reason. by keeping their banking system out of it and having an official policy that can be construed as dollar negative, it won't be china's fault when central banks do lose control.
We can all ponder why and what it means but the more I try to understand it the more incredibly bullish I get.
Bitcoin is Humpty Dumpty or is it Unsinkable Molly Brown?
It looks like a russian doll with a round base which never allows it to fall.
Gonna need a lot more nails for this coffin.
Well, my Bitcoin is still good for looking at (art), yes? </sarc>
Every time I look at BTC chart I just shake my head. This thing has zero price stability. A cornerstone requirement for an echange medium/virtual fiat.
http://bitcoincharts.com/charts/mtgoxUSD#rg60ztgSzm1g10zm2g25zv
And, like it or not, "stability" can only occur through control... Those business folks outside of financial investing cannot tolerate huge fluctuations, as that makes it hard to control production (and then there's the affect of the demand side of things to consider).
Bitcoin got some anti-fragility kung-fu -- the art of benefitting from disorder.
You got some Russel Brand peanut butter in your Nassim Taleb chocolate. A free bottle of Hai Karate as a parting gift.
Bam!
And true disorder could only continue, which would mean that anything that gained by the initial entry into disorder would have to ultimately, at the very least, stall. True balance is possible only via insignificance.
I don't mock Bitcon's 15 minutes of fame. It'll be very signifcant in helping point out the failings of the current economic system. It is not any "solution," and the reason being is that we are STILL not understanding the problem.
You sound like a scared hedge-fund trader.
Luckily, there are traders with real balls that don't mind volatility around here.
guess they will be a ton on ebay now . thats where i got my trillion dollar coin
Ebay is where I got all my cool Lehman and Enron crap.
Yea they were giving those stock certificates away for free, just pay the shipping. I got a truck load of major art work and now just need some frames.
I listened to the interview with the Bitcoin attorney and I was struck by the similarity between his comments and the methods Enron was using to "develop a market" for bandwidth trading, back when they were one of my engineering customers. (I was not involved in the financial or legal issues of Enron, only engineering.)
They were basically trying to get users of telecom and computer networking systems to buy and sell transmission bandwidth, with Enron brokering the transactions. As we all know, it failed miserably and was one of the crazy schemes that led to Enron's demise.
In the same way, the Bitcoin attorney talked about developing exchanges, developing markets, encouraging participation, and other things which showed they are trying to start an entire system from scratch. Certainly a risky proposition, even worse than bandwidth trading, since bandwidth does have some real-world value independent of financial brokering.
You got your trillion dollar coin already? I'm waiting for them to be on sale for $1.50. Seriously, I got a laught out of your post; that's about my opinion of bitcoin, too. how silly can people be.
I got some $100 Trillion dollar Zimbabwe bills on eBay that are real!
Too bad you don't seem as sharp as your namesake, you'd realize there are people walking around right now that are millionaires or more because of Bitcoin, and the trend isn't over yet.
But keep on fondling those sour grapes, you poor sad-sack.
« Third, they said there was a risk that it could be used by criminal organisations, noting that Bitcoin had been used internationally for the purchase of drugs and weapons. »
I guess they meant:
« Third, in contrast with proper central bank-issued money which can never be used for such highly despicable purposes, there was a risk that it could be used by criminal organisations, noting that Bitcoin had been used internationally for the purchase of drugs and weapons.»
For otherwise the argument is moot (at best)...
They can ban it, but they can't really stop it.
I mean, obviously people shouldn't be using bitcoin as an investment vehicle to plan for retirement lol
Its a short term flip flopper.
This is risky for anyone in BTC because China is pretty much the only thing propping up the damned thing.
Translation: Country with World's Largest Population Creating the Most "Liquidity" on Earth That Won't Allow its Currency to Trade Freely is in Panic Mode
If it's irrelevant and going to zero then what is all the fuss about? Looks like they just told us they are scared shitless of what it would do to their financial system in terms of control but "wink, wink" all of the citizens can feel safe buying it just be aware that it is risky. Zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz.
"Looks like they just told us they are scared shitless of what it would do to their financial system in terms of control"
That's your interpretation. I suspect that behind the scenes thery're just assembling for supression, like they always do. And it'll be easy enough, for them.
Just as the Scottish fellow HH went full tard on BTC and all in.
BitCoin monkey-hammered as it reaches the monkey-hammered price of gold.
My take on Bitcoin <Bitcoin liquidity questionable
https://medium.com/mind-behavior-and-technology/74bbd142ef14
yeah one year chart for BTC says it all - a rise from $200 to $1200 in one year ? WTF!!!
Nflx goes from 50 to 400 in the same time...whats the difference?
When you're virtual you can make it what you want...
Bitcoins are not "money" because no central bank or government can track it, control it or tax it. Above all, that is why they object to it. They will also complain that bitcoins might be used for illegal activity. But let us not mention what percent of US $100 bills are contaminated with coke residue. Like most.
That's why you have washers and Tide bro.
It'll all come down the the illegal activity/terrorist angles. To be fair, there most certainly do exist pressures against sovereigns to undermine them (sovereign vs sovereign), in which case there are lots of reasons to have protections in place: if one were to give up on the notion of having to have govts then this issue would likely be moot.
Lol, everybody here so anxious to see it roll over. Sorry, not this time. Try harder and put your back into it!
None of these ZH trolls have the balls to arrange a true short on Bitcoin. You know, like they did in the old days with equities before the entire financial system was turned into a backstabbing rip-off den.
Go ahead geniuses, get some 'borrow' and try to short it. PLEASE try to short it. I'd love to hear the howls of pain as you get a nice big faceripper rally through your position.
But you wont, because typing out words on your made-in-china keyboard is easier than actually putting your money where your MOUTH is.
What a bunch of idiots.
I don't really see bitcoin going much past 1000~2000 this decade.
But I gota hand it to them, people dumping $ into BTC have some balls, a fucking twitter post can make it tumble 400$ at random.
News like this comes out and btc moves up faster than it moves down lol.
Fucking crazy gambling chinese people.
Already looks to me like its S curve has formed, and its hit its potential.
1500 is probably peak bitcoin.
Force all financial corporations into bankruptcy by not allowing them to participate in BitCoin.
Sounds good to me.
So much Knee jerk commentary and speculation, the whold point of Bitcoin is that is bypasses Financial institutions anyway, sp anybody who understands the Bitcoin fundamentals realise that this news was actually neutral if not posistive for Bitcoin.
Just weak hands who no nothing of the fundamentals getting shaken out the market.
Ahem... the USA PATRIOT ACT was in direct response to "terrorism." That China mentions the very word should have tipped you as to what direction this is going to go, and, I'm sorry to say, it isn't "neutral" for Bitcoin.
Oh look, another "Seer" who is really a government apologist. Okay, so the big bad government will shut everything down and we'll be sorry? Man, you really must like their policies to be on their side. Do you throw puppies in a river for fun?
Eh, you'd rationalize anything if it meant trouble for Bitcoin anyway. You're so goddamned transparent in that regard.
Pecker head LIESman on the blowhorn, was just saying that BTC isn't legit because you can't pay your taxes with it. That idiots brain is a giant amoeba! How that guy even puts his pants on in the morning amazes me. His wife probably picks his fucking socks out for him every night so they match!
Liesman and Greenbubbles hate it and don't understand it . . . . . so all in? Not all in for me but more ammo to like it even more.
As you can see below I am not a bitcoin believer, but you have a point.
Of all the Bitcoin advocates that tell me “I just don’t understand” that probably don’t understand themselves I have posed these questions on an earlier story. See #4, this is what happens when a major market, China, just whispers something negative about bitcoin. Wait till they start to see bitcoin as an actual threat and put the hammer down.
1. How do you know the CIA didn’t put a few super computers mining bitcoin in the beginning, they were certainly interested? How do you know the government didn’t cause some of the previous run ups acquiring bitcoin? How do you know they don’t own 50 60 80 or 90% of the market right now ready to crush the whole thing? Why would they do it, cause they can, and don’t F with the dollar.
2. Why are federal agencies talking nice about bitcoin, see yahoo story “Gov Agencies see Benefit in Bitcoin”, but when gold and silver backed currencies popped up they crushed them by confiscating the gold and silver, and throwing the masterminds in jail? Hey here is another story, there is An Electronic Currency that can Save the Economy But its not Bitcoin, That is about the US gov coming out with a digital currency to once again steal from producers and creditors and give more power to the Government and Banks. Maybe they saw the Gold and Silver backed currencies as a true threat but know Bitcoin can be controlled to work in their benefit.
3. How do you know it won’t be hacked and duplicated without the system knowing, maybe not now, but years from now? I remember hearing that it was completely anonymous, that was until a group of hackers tracked down one of the biggest owners.
4. Since its been proven not to be completely anonymous, why can’t the gov track the owners and in a quick sting throw a ton in jail? Trust me if you don’t pay your capital gains they aren’t just going to say, “hey good try buddy, give us the money” they will do what they do to all tax evaders and throw you in jail as an example.
5. How will the bitcoin market react if large governments start to make them illegal, and tell retailers that they can’t accept them? I work for a fairly large corporation, and there is one thing corporations don’t do and that’s screw around with the government, they follow the law.
6. Unlike the dollar Bitcoin isn't backed by anything but faith. People are going to flip that I said the dollar is backed, but it actually is, it is backed by the productive capactiy of the american tax payer, and the governments ability to tax that production. And lets not forget, that though I don't think we have 8000t, and it has mostly been leased, any gold that the fed does still have or those leases arrangements could also be used to back the dollar. They are still assets that can be used by the fed if needed.
I understand this sentiment and respect your opinion. The flaw here, in my humble view, is that this line of thinking very much focuses on the United States. I call this the "Schumer/Dimon" syndrome as if every living soul on the planet will sit around like a lapdog and wait for Schumer, JPM, GS, and the others to give them permission to conduct their lives in a certain way when it comes to finances. CNBCheerleaders would love for you to believe that whole world revolves around the Fed and JP Morgan but I disagree.
What about other countries? I've seen reports where Germany for example is embracing bitcoin. This could evolve into a very, very high stakes game of poker. Some countries might act tough towards bitcoin and others may embrace and some may be bluffing and some may be terrible at bluffing.
I really think a big chunk of the eventual outcome will be determined by how much the human beings on planet earth trust each other versus the collective trust/faith in bankers/politicians to protect the value of currnecies and act in your interest.
Great points and I love how you were respectful. Some people on here just act like know it all’s and if they truly feel that way its dangerous...for them. I think bitcoin is an interesting concept, but I don’t think it would exist if gold or silver backed currencies like the liberty dollar and e-gold were allowed to survive. The government stomped them out without mercy. I think Bitcoin is a substitute, but a weak one. I have a hard time believing countries will give up control of the money being used in the general economy to the free market, like it would have to do in the case of bitcoin. If they were inclined to do that, people would be more then happy to use gold and silver decades ago but governments chose the opposite path. I respect your opinion, and I like some of the Bitcoin concepts but the blind following that I see some doing on this site I think is foolish. All that said a bitcoin economy would be better then the theft we see in the current bank/government run cartel, but I still think gold and silver is superior. Gold and silver in your hand is safer then ones and zero’s in the net, no matter how good the codes are, codes like rules and fortresses are made to be broken. Thanks for your thoughts, I will mull them over.
1. Even if true, So what? The entire market cap is 10 billion. So they sell it down to 1 billion and we buy their bitcoins.
2. Because they know there's nothing they can do to stop it. How's that drug war coming? And the torrent battle?
3. We don't know. We are placing our bets. It's open source. Go learn what that means. It is as anonymous as you make it.
4. Capital gains. What capital gains? I lost my bitcoins. Prove I didn't.
5. Hopefully it will cause them to die and be replaced with small businesses.
6. What backs gold? American productivity? You mean the 20% of Americans who actually work? You believe the FED still has gold? Hahahahahahahahaha. Good one
Silver For The People
The Bitcoin Channel
New Btc ad ..
http://tinyurl.com/lwhg95g
I'll take a case of the Wookie and Totus sock puppets...
The US Treas calls Bitcoin a "money service" -- like a MoneyGram or some such. I've tried to explain to the fanatics that this is the only thing keeping the full force of the federal government from crashing down on their heads. You see, competing currencies are ILLEGAL -- it is a felony to usurp Congress' authority to print money. You and I may howl about that, but it is a fact here in the early 21st century. The US Atty who prosecuted the Liberty Dollar case called competing currency an act of terrorism. And in a way, she was right -- if anyone can fiat, then the government's monopoly on wealth creation (and destruction) is broken and the state loses all power and legitimacy, except for that which it imposes by force of arms. The PTB are evil, but not stupid. No way they let Bitcoin escape into the wild, where the end game is them shooting thousands in the streets.
Great point, I had not thought of it that far yet. All I was thinking about was how the Gov, does not like viable competitors to the Dollar like E-gold and the Liberty Dollar and destroys them. But your right, why haven’t they called it a currency, everyone else does.
This brings me to another point I have made. They already know they can use bitcoin to their advantage, so allowing it and talking nice about it is not an issue. They will crush it, maybe around the time the dollar is really showing cracks, or whenever they think is a good time, then say it was a good idea, but needed government backing. They will come out with the E-dollar a crypto US currency and it will be used to steal more from American and foreign producers to the benefit of the US government and Banks, just like in 1913, 1933, 1971 ect. Don’t believe me see this story… http://finance.yahoo.com/news/theres-electronic-currency-could-save-121228399.html
They are already laying the ground work.
The bitcoin people that say we just don’t understand better look in the mirror.
bitcoin = shitcoin
maybe there is no tech bubble. some putz on the internet starts his own digital currency and people buy it. people are smart.
Agreed Buzz. I confess I did try to buy a few back when they were cheap, purely for speculation. What a fucking pain in the ass that was. Gave up after a couple of hours and am glad I did.
Bitcoin: hard to get in, even harder to get out.
Congratulations to those who got in early and realized an increase in the value of their investment. That being said, I hope they have been prudent and taken some profit and converted their gains into tangible assets.
Recovery is under way
the news is old news - PBC said this earier - but they still accept private people to use it
Result: Vola-explosen
BTC Realtime qutoes &charts:
http://btcpost.net/
"Don't steal the government hates competition."
The Chinese regulators noted three main risks. First, they said Bitcoin was an unsafe investment because the amount in circulation is small and can be easily controlled by speculators, making it highly volatile. NO SH$T DICK TRACY
They are a Central Bank. Of course they aren't going to allow financial competition to their purchases of BitCoin. They have to use whatever method they can to shake out the weak hands. They are bankers. That's what bankers do.
Last:$1,107.90000
Agree. Cartels by their nature do not allow new competition. Only machetes work.
Let me see.... just yesterday I stated here on zerohedge "get out of bitcoin before it's too late"... citing governmental/bankster/corporate (all in bed together collectively as "big money") cooperation to eradicate and
legislate bitcoin out of existence. China is just the first domino falling... if you listen you can hear big money paying washington to finish the job... and you can bet cher arse they will.
If everybody would switch to bitcoin, litecoin, quarkcoin, Google wallet, etc. and store their deposits in virtual currencies, the banks wouldn't have any depositors. The money would be some place else and not in the banks.
Banks are scared it might take hold and they will be left holding the bag.
It could happen, that is why they are scared chitless.
LOL right, because all the money you used to buy those btc, ltc, w/e, would just go pufff, instead of back to the banks, correct...? Btw, you don't need btc to take your money out of banks...
Here is the essence of the Chinese statement;
We cant stop YOU using it, but we can stop those institutions that rely on govt power for their profits from using it.
Those who exclude themselves from crypto are going the way of the Dodo - they are cutting their own throats - this will become much clearer over the next 10 yrs.
Information monopoly is the first to fall to peer-peer, next is money - after that will be the states monopoly of law - then govt itself will be finally replaced by a peer-peer system. Goodbye oligarch dinosaurs - your ELE is already unfolding.
You got it backwards. The rule of law was repealed in 2008 -- no banksters went to jail. The dinosaurs just doubled down and the muppets took it. Look at Snowden -- who is going to jail? Who is under THREAT of going to jail? The red/blue duopoly has suppressed even the discussion of special prosecutor. Yeah, all they got is fiat money and guns. But that is enough. Enough to hold out a long, long time -- especially if you are expecting them to expire without a fight.
"all they got is fiat money and guns"
As well as control of all the major transport, communication and food sectors.
Should be a breeze to push them aside! </sarc>
"Those who exclude themselves from crypto are going the way of the Dodo"
Have you travelled? There's 7+ BILLION humans on the planet, many of which probably don't even use some sovereign currency. And then there's the fact that most have very little income anyway: like 750 million in India that live on $0.50/day.
Those with money are few and far between (surely you've seen that there's a lot of consolidation going on?). And it's older folks that tend to have the most money; it is, therefore, older folks who represent the larger Bitcoin market. Leaving aside the issues of being less risk-adverse, older folks tend not to be very tech-savvy.
"peer-to-peer" is electronics, networking. Something that TPTB control.
But, aside from these "details" I'm certain that Bitcoin is going to be a raging success (for the new wave of elites).
Keep bashing Bitcoi, while I keep stacking & spending. I bought over $2K worth of products using Bitcoin on Friday...Real cost about $700!!
Correction: you just lost money, if btc ever goes up by more than 1300...
i dont log in
cause i work, but this demanded my attion.
trade this volitilty like silver in 10' - 11'
short when nessary, long when you should
this market is not like it was B4
you have to trade momentem
it sucks
i know, don't comment
but i bout BTC @ 14
sold @210 (when it hit CNBC my sell trigger)
bout@ 280 sold @ 1143 (the quiet trade is gone)
TRADE IT DONT SAVE IT LIKE AU/AG
its predictable
the world is not
…..predictabil Volitity is the easy money for real money
I think that was an announcement by the Chinese government just to appease the Fed and euro central banks and also maybe to keep the price reasonable. The Chinese government seems very happy to allow their citizens to buy up all the spare physical gold to help corner the market and they're probably just as happy for Chinese people to buy up all the spare bitcoins just in case it keeps expanding. I asked 50-some people in china whether they have heard of btc (bi te bi) and not a single person knew what it was. Beats me.
((((((((((THAT'S A BIGGIE))))))))))
Like · · Share · Unfollow Post · 40 minutes ago
I don't see the rationale behind thinking btc is an NSA initiative. Just the amount of publicity btc gets now is having a negative effect on the dollar, at a time when the usd needs all the support it can get. Also why would the government make it so damn hard for Americans to buy the things? Interestingly they allow people 'of means' to invest their 401ks now. Gotta keep the rich people happy.
"Just the amount of publicity btc gets now is having a negative effect on the dollar,"
How so? (driving the USD down means increased exports)
" Also why would the government make it so damn hard for Americans to buy the things? Interestingly they allow people 'of means' to invest their 401ks now. Gotta keep the rich people happy."
There's been an effort to suppress the "sales?"
How so? (driving the USD down means increased exports)
Yes, but I think they want to retain reserve status, while driving the dollar lower. They want people to retain their faith. Btc doesn't achieve that.
If the NSA wanted this thing to take off and then control the market or dump the value, wouldn't they encourage Americans to buy in?
I don't buy this being driven by the NSA anymore than napster was. These guys were geniuses, in many ways, this is the most incredible achievement in the lat 15 years. The guys that wrote bitcoin have some serious smarts. And most bitcoin followers know who the authors were.
The idea fiat currencies are unbacked is wrong. They are unbacked by anything OF VALUE to the holder. What they are backed by is the threat of lethal force, NEGATIVE VALUE. if you don't use them or try to use anything else. Government went from the carrot model to the stick model, taken directly from your Mafia insurance agency.
Hey after the FEDs required MTGox to provide identity information on traders BitCoin went from $75 to $1242 So that's cool. If precedence is a predicter of future results then we can expect BitCoin to hit $20,000 over the next 12 months.
Bitcoin price is irrelevant... There is no liquidity ...any substantial offer to sell will baumgartner the hell out of it..
And to think...using bitcoins, I was planning to buy an entire block in a ghost city...welp back to the drawing board...
lil late
Interesting vid on BTC from 2 years ago. Starts around the 14:30 mark, pay attention around the 22:00 mark...doens't seem to me it's quite as "under the radar" as many here would have us think.
My apologies if this was posted earlier somewhere.
http://blip.tv/whatstrending/week-4-06-07-11-with-lupe-fiasco-kevin-pollak-nick-bilton-kevin-mitnick-and-jeff-garzik-5594264
First they ignore you. Then they laugh at you. Then they fight you. Then you win... Finally the third phase is starting - let's do this.
Sad to see the Tylers be such a concern troll with respect to Bitcoin and other cryptos. Real technological advance too scary for Project Mayhem?
Coming soon to a headline near you:
USD Crashes As China Bans Financial Companies From USD Petro Transactions
China further said that "Its a currency without any real meaning"
Keep stacking Bitchez, its still on sale !!!
somebody said "it ain't where you git in, its where you git out"...
Even if a criminal can buy weapons with bitcoin, why it's not a currency?
I can buy weapons with pork bellies too, but that does not make them a currency. Currencies have defining characteristics, and BTC does not meet several of them (at present).
Twenty years back people would have said, "who cares what China thinks". My how times have changed...
buy zone identified for me. i already have some this is for increasing my position by 4x in USD invested. i have to be loosey goosey here because this sob is so volatile. typically i am much more rigid but then again trading the exchanges has become uber conservative for me because every time you reach a key level some central bank either says or does something. bitcoin's chart i would argue more closely resembles a geometric and mathematic representation of supply/demand for the instrument in a "free market" since as of right now there is no derivative, options, futures, swaps, naked shorting, etc. at this point nor is it controlled by KH.
800-925. various combos of TA have me zoning in on this.
if it runs away from me before entering this zone i don't know what i am going to do. if it plunges straight through this zone on heavy volume i will step back and make a new assessment.
Ok, sitting at a fairly critical juncture right here. One potential scenario as I have been expecting and would greatly appreciate is a third flush for a third wave down in this correction off the all time highs. One more flush to shake some people out before a resumption of the uptrend. Target zone stays the same. Ideally a new low for this correction would take place below both the 840 and 870 lows.
China just figuring out the hashing algorithm is NSA designed and backdoored?
i dont log in
cause i work, but this demanded my attion.
trade this volitilty like silver in 10' - 11'
short when nessary, long when you should
this market is not like it was B4
you have to trade momentem
it sucks
i know, don't comment
but i bout BTC @ 14
sold @210 (when it hit CNBC my sell trigger)
bout@ 280 sold @ 1143 (the quiet trade is gone)
TRADE IT DONT SAVE IT LIKE AU/AG
its predictable
the world is not
…..predictabil Volitity is the easy money for real money