Quote from: Torque on March 13, 2017, 03:09:13 AM

With all that KYC/AML the WinkleVii have to do? Sure Mat, keep telling yourself that. Wink

I didn't miss that Bitcoin demographic out you know.....

.......that was the "99% traders who are looking for a fast buck" category.

Bitcoin is a commodity. Bitcoin's utility, is fast wealth transfer. Unlike oil, wheat, copper, silver, or fucking Broiler chickens, only a tiny fraction of Bitcoin bought n sold is intended for 'consumption'. Vast vast majority is bought on speculative basis. Bitcoin is a castle built on stilts m8.

I am cheering Bitcoin on, at least up until the $1500 range, not cos I have anything to gain nor to lose, but cos I like being proven right which is the same reason why I shall be cheering on it's brutal collapse that will come in the wake of this totally manipulated ramp.......nothing to win nor to lose, but I like being proven right.

BITCOIN IS GOING TO $1500 (and probs popping a good bit higher), COS THAT IS WHERE THE CHINKIE BITCOIN COWBOYS WANT TO TAKE IT!

When/if the ramp starts to become self sustaining from Joe Public stampeding in, is when our Chinese friends will start letting the market have all the fucking Bitcoin that it can take, and when they will stop supporting the rise, and just let the whole house of cards come crashing right back down to the cost of production, and possibly below the cost of production to really shake out the weak hands....wash rinse repeat, until the whole mis conceived project blows up in everyones faces.

Quote from: r0ach on March 13, 2017, 09:16:05 AM

One thing I find funny about bitcoin is that there's all kinds of analysts for metals that go into absurd amounts of detail about every tiny thing, but I've never seen anyone really explain bitcoin economics well.
Here's my attempt to do so. The main takeaway point of the post is that bitcon value is not even based on scarcity, but on cost of production, which is the exact opposite of what most people think:

I don't quite understand all that side of things. I believe that right now, cost of production even for the most 'efficient' of Chinese miners is around $500 per coin. Cost of production got so high, so quick, because Bitcoin got over saturated with speculative capital, and exoribitantly manipulated to the upside during 2013. Bitcoin currently requires a massive amount of processing power to function. The only way that the processing power can come down, is if lots of miners go offline, and the difficulty lowers itself, and the only way that miners will go offline is if the price crashes and it is no longer worthwhile keeping their mining farms running, a bit like what the big Chinese miners done to all the small time Western miners through 2014-2015. But if the price crashes, and miners start to go offline, then the shortfall in processing power will lead to huge congestion in the system for a period of time, whilst the difficulty adjusts, which lead to transactions getting stuck in the system, which will lead to a collapse of faith in the Bitcoin network?