Bitcoin Tops $11,000 - Bundesbank Sees No Bubble, Stiglitz Says "Should Be Outlawed"

Well that re-escalated quickly...

It's been quite a year....

  • $0000 - $1000: 1789 days
  • $1000- $2000: 1271 days
  • $2000- $3000: 23 days
  • $3000- $4000: 62 days
  • $4000- $5000: 61 days
  • $5000- $6000: 8 days
  • $6000- $7000: 13 days
  • $7000- $8000: 14 days
  • $8000- $9000: 9 days
  • $9000-$10000: 2 days
  • $10000-$11000: 1 day

Big dip overnight was bought and as US equity markets prepare to open, Bitcoin just topped $11,000...

Ethereum is also surging - above $500 for the first time in history...


Bundesbank’s Buch Says Difficult to Tell If Bitcoin Is a Bubble

“The question we have to ask ourselves is to what extent there is an overvaluation in a certain market segment, and I tend to shy away from calling something a bubble formation because that’s difficult to assess,” Bundesbank Vice President Claudia Buch says at press conference in Frankfurt.

 

“The question that occupies us is whether these trends are strongly financed through credit and money is used to speculate, and as it’s not a very large market segment there is little information at the moment

Doesn’t currently see bitcoin as a financial stability risk for Germany

While some see broader acceptance of the cryptocurrency...

Joseph Stiglitz, Nobel Laureate and Columbia University Professor, says the digital currency "ought to be outlawed."

Comments

Ghost of PartysOver silverer Wed, 11/29/2017 - 09:56 Permalink

I am beginning to think that Crypto's are just a commodity like oil and soybeans.  Demand grows and price goes up.  And just like oil when price goes up more supply comes online driving the price back down.  But unlike oil the world can survive nicely without Crypto's.  If I recall correctly I saw the the value of gold above ground is around $8 Trillion, the value of Crypto's about $1 Billion.  The BlockChain technology is probably worth more that the coin.

In reply to by silverer

Kina DownWithYogaPants Wed, 11/29/2017 - 10:01 Permalink

Very easy to deal with Bitcoin and any other means of 'buying' / 'selling' stuff. Say....Business is required to record how an item was paid for - or face a felony, heavy penalities.Business are to complete monthly returns to the IRS for all sales paid for by bitcoin.Bitcoin owners must disclose the entire balance of their holding to the IRS - else a felony and 5 years mandatory prison.People must account for acquired assets and show how they paid - a felony to refuse - prison.Capital gains tax on Bitcoin - 50% Failure to disclose mandatory 5 years prison.And so on - using your imagination there are a myriad ways to control bitcoin by indirect means, and with nasty penalties. It is all fine if you just want to sit on your bitcoin and not buy assets.It is a nonsense to think you are free from the law, IRS and govt with bitcoin.

In reply to by DownWithYogaPants

11b40 Kina Wed, 11/29/2017 - 10:20 Permalink

Just let the wrong folks get burned and see how far such punitive, invasive legislation would get in Congress.  This bunch of turds already has a terrible public approval rating that is going further down by the day, as these sexual issues and slush fund for covering them up are exposed.  People are sick & tired of oppressive rules and regs, and the IRS is still in the hot seat for their conduct during the Obummer administration.  But, why do you assume that business would not be reporting their crypto currency transactions.  From a business perspective, it is just a faster, cheaper, safer way to process financial transactions.  Why pay a bank, or any other credit processor a % of proceeds every time money changes hands?  I don't think you quite understand Block Chain.

In reply to by Kina

rosiescenario Kina Wed, 11/29/2017 - 12:20 Permalink

I recall a time when Swiss bank accounts were actually secret.....until the Feds decided to "correct" that situation.You are right.... it is easy for the Feds to simply add a line to the current tax forms (right under the one referencing foreign bank accounts) requiring divulgence of crypto currency holdings. To make this medicine go down, the Feds will publicize the use of crypto currencies by drug dealers, etc. It will be an easy sell to the public on that basis....in their 'war on drugs' they need to control cryptos.

In reply to by Kina

GreatUncle Took Red Pill Wed, 11/29/2017 - 10:22 Permalink

Take bitcoin put it to $1M a coin.Now they have a problem because each coin can hold $1M out of their system so it cannot be leveraged 30x.Let it roll ... eventually they will step in to ban it but then it confirms their fraud.If the banks do not hold the bitcoin they can't leverage it and reckon that scares the fuck out of them.But how do you ban something like this when FIAT is as serious a fraud as anything else? 

In reply to by Took Red Pill

Dontblamethegoat GreatUncle Wed, 11/29/2017 - 15:05 Permalink

I must be dull .... even if a coin was 'worth' $10 million, it is not worth anything until it is sold for fiat, right?And when I take $10 million and use it to buy the coin, my bank knows my account dimished by $10 million. Did I take it out in $100 bills?  Or was it done by EFT? And what entity completed the cash/coin conversion?  Some Cayman LLC?  Do they have 'conversion insurance'?  That conversion entity is the one the IRS/BIS/BoJ/et al will go after. 

In reply to by GreatUncle

junction Grandad Grumps Wed, 11/29/2017 - 09:21 Permalink

I still can't get over the way Comcast canned Matt Lauer with almost no notice.  Who is next, Michael Strahan on Good Morning America?  Everything seems to be happening in the aftermath of the October 1 Las Vegas mercenary attack by the Mandalay Bay hotel.  First, Harvey Levinson, who everyone in Hollywood knew was a sexual predator.  More distractions now.  And all those people buying bitcoins now, putting their confidence in the blockchain, what do they know? If bank accounts here  or in Europe are frozen, as the Saudi king's nephew froze bank accounts in that country, your bitcoin stash would be out of the immediate reach of the banking police.   

In reply to by Grandad Grumps