Bitcoin's and the future of online banking - Page 3

On April 17 2011 07:29 Loco wrote: Show nested quote + On April 17 2011 07:14 Funktion wrote:   On April 17 2011 06:04 whamm! wrote: some rage ITT I don't think anyone is ITT? Could be wrong though. lol http://www.urbandictionary.com/define.php?term=itt

In this thread? Where is the lol? I'm lost.

to steal city and whoever else, i wouldn't bother trying to argue w/the funktion kid nobody really pays attention to him anyway

There are considerable problems with bitcoin as a currency. One of the biggest problems is that it is fundamentally unstable.

The situation as it is now is a little like a pyramid scheme. If you can get lots of people interested in bitcoins, the value of your own bitcoins will skyrocket, but if you ever have a large amount of money in bitcoins, and people lose interest in bitcoins, then the value of those bitcoins will plummet.

Basically, once you're into bitcoins, you have a big incentive to get a lot of people interested in bitcoins, but there's no guarantee that the balance of money you have in bitcoins is safe or stable.

On April 17 2011 05:00 sawseech wrote: Show nested quote + On April 16 2011 14:42 ShLiM wrote: how u withdraw, from the bitcoin system, to get real cash, cuz bars, local stores etc, they want CASH, and how u avoid banks, in the process of exchanging bitcoins to real cash you don't. you trade bitcoin that you have for "stuff" or sell the bitcoin to people who want it, for cash. the system operates on the premise that the time of those people who are facilitating transactions by running a node (who are randomly given bitcoins by the system for approximately the value of the electricity used to process transactions) is worth less than those who use bitcoins to buy WOW mounts or whatever, and that those people will go ahead and pay cash for bitcoins. it's an interesting concept.

hmmm
so lets say, im selling sc2 account for 10 BTC,
and the condition is, u send me first then I send u the details about the sc2 account.
You send them to me, and then i give u nothing.


I fail to understand the security of doing business with this thing, who is gonna guarantee me that im dealing with a legit seller and not a scammer?


My above question, about withdrawing to real cash was basically about that, bitcoin system claims to be anonymous and if u want to withdraw to real cash, to bank acc or paypal, ur no longer anonymous, somebody, somewhere will have to know ur details.

One more thing
I found somewhere that, there are curently ~6million bitcoins, and the system is running from ~2yrs, BUT the total number of bitcoins is SET to be around 21million, and its planned to be reached around 2140 (now we are 2011).
my point is the current user pool is in advantageous position over future users.

On April 17 2011 11:17 bigredhoss wrote: to steal city and whoever else, i wouldn't bother trying to argue w/the funktion kid nobody really pays attention to him anyway

LOL and I don't even remember who you are.

Why the hell do you even get a degree in Comp&Info Sci if stuff like this doesn't get your pants wet...

Anyways I'm disappointed by the fact that the people against this isn't trolling but seem genuine in their crusade.



I have this goat but I've got no use for it.
Holy shit I got this sweet cow and I could really use a goat!
Deal.
^
Economy for dummies.

ok you and wobly plz give us a break& go somewhere else playing with your kangaroos.
Drunk cliche ITt

i can see this working in the future, especially when you see how even the most established institutions fuck around with your money and not care about their reputation at all - which is frankly why you trusted them to begin with, it might not grow big enough for people to put all their savings or livelihood in, but definitely all the distrust amongst men being bred by greedy financial firms and governments is going to drive some people to be more open to this idea. - im just saying this has a chance for growth.

sry i can't keep up with this thread. People have a ton of misconceptions though and should read up themselves. Doing the work of validating transactions takes electricity and such. When it first came out it was profitable but for a while it's profitability ended. People were actually wasting more money in electricity than the value of the bitcoins they were generating... (and generating bitcoins is a bad way to think about it)... they were being rewarded bitcoins for doing proof-of-work and generating blocks for the network. Now there is a whole new field and people using CPU power are definitely losing money. You have to use GPU and to make money and the competition is getting greater. People putting their systems in dry ice to run more efficiently. Eventually that market will be dry. Even though it is profitable now though (if you are doing the professional steps) that is not a argument to discount bitcoin in fact it is profitable because they have found out how to do a lot more work with a lot less electricity.

Once all the bitcoins are distributed and the market is static people will still have an incentive to do the proof of work to generate blocks and keep validating transactions because people sending the transactions will offer a reward which will prioritize their transaction. The reward offered will be less than 1 cent USD... because that is around the cost of the service. Mining will become even more intense as hardware and software keep getting more and more specially designed specifically for mining.

so did bitcoins value increase after the Time article?

On April 18 2011 09:46 byrnesam wrote: so did bitcoins value increase after the Time article?

Well on mtgoxUSD in the last 7 days it's gone from 1 bitcoin being worth 97c to $1.14 USD. A year ago 1 bitcoin was 36c.

I just heard of this and I found this thread, I still don't understand something.

I was wondering if anyone knows how Bitcoins works and can help me? The whole point of the the currency is that it is "Legal Tender" (Something that is written on every single currency issued by any country. )

This means that when you owe someone 100 dollars and you pay in dollars, the debt is settled and they can not refuse the dollar as a method of payment. And if you don't pay, then the government is coming after you for your debt.

In the bitcoin example. If I owe someone 100 bicoins and I don't pay them, who is going to come after me(other than bitCoin closing my account)?
Another use case that if someone owe me 100 dollars they can not legally pay me back in bitCoins because I can refuse the payment and demand USA dollar (same I can refuse any fictional currency like PlayMoney on Stars).

If bitCoin is legal currency, then by law of many countries including USA it is pure illigal for anyone to issue a currency other than USA.


Whats the difference between BitCoin and PokerStars play money? can someone explain this to me? And how come they are still in bussiness and have no been shutdown by US Government?

Play money is free, bit coins are not.

All your questions can be answer with fairly simple logic, think about it more.

I am not sure if I get this right. I thought you just run a program for sometime and you will get Coins for it?

There are only two possible answer to this problem.
1: that if they use the company or actual currency or sth of value as an underlying asset for the coins. If that is not the case it is illegal to issue "legal tender". So its either something of no value and the value is just an agreement (play money) OR it is legal tender and I am involved in illegal activity because I issued it myself.

2: The Coin is a token issued in return of some processing you have done for them and its a liability of the company. (Genome sequence or sth)

I actually did some research and in some blogs they argue that BitCoin is not a legal practice and the only reason they are not coming after it its because its too small now.

On April 08 2012 13:15 capaneo wrote: I actually did some research and in some blogs they argue that BitCoin is not a legal practice and the only reason they are not coming after it its because its too small now.

rofl. How are "they" going to come after something that only "exists" on the internet?

Seize some domains and exchanges? Money laundry charges for the owners of the the exchange sites and some major players?

US government doesn't have to do much to make everyone scared shitless so nobody would go near anything related to bitCoins.

Genjix is fuckkedddd. Saw this one coming a mile away. Check out hacker news...just lost 400k of ppls money

eh? link? tried searching for it...

ouch