Post
Topic
Board Speculation
Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
by
molecular
on 31/12/2013, 00:09:10 UTC
Maybe I should read up on history. Can someone point me to something in history that meant trouble and triggered all the regulation we have in the "regulated" markets?

http://en.wikipedia.org/wiki/Silver_Thursday

It's one of my biggest fears I have because it could work with bitcoin given the limited and well known supply.

Thanks DaSheep.  I though this was interesting:

"But on January 7, 1980, in response to the Hunts' accumulation, the exchange rules regarding leverage were changed, when COMEX adopted "Silver Rule 7" placing heavy restrictions on the purchase of commodities on margin. The Hunt brothers had borrowed heavily to finance their purchases, and as the price began to fall again, dropping over 50% in just four days, they were unable to meet their obligations, causing panic in the markets."


Seems it was a change in COMEX regulation that triggered the panic.

Yes they changed the rules.

Btc cant be changed.

Silver can't be changed either. They borrowed USD (I'm assuming) to buy silver and the rules were regarding the lending market, not silver.

It's not impossible for some major bitcoin market in the future to have such rules and change them.

Such a story would've been quite imaginable to have happened in times of bitcoinica, for example.