[Finance] The cryptocurrency (Bitcoin etc) thread

[peterward]

They are literally printing and distributing money. This is supported by a statement from some accountants in the Cayman Islands that they have 35 billion in assets to back this. This is not audited and it is not clear how much of this collateral is in bitcoin.

I am not advocating everyone dropping everything and running for the hills, but if you want to know where the high level risks are, this is a good place to start.

I get what youre saying, but its also true of most central banks, just printing more paper money, devaluing everyone elses savings and investments without any reserve to back it up.

The fractional reserve system is a total scam. "Please pay the bearer the sum of......" If everyone tried, they simply cant.

The only difference is its legal if the ECB or BofE pluck money out of thin air!

 

[Nixonator]

Can someone who understands this stuff just humour me for a moment as I know absolutely nothing about these currencies but am genuinely intrigued.

If, in the scenario outlined above, [MENTION=33924]Nixonator[/MENTION] wanted to convert his 50k holding into GBP in his bank account tomorrow, is that possible?

(If that is a stupid question I am more than willing to put on the hat, obvs)

Yes. I would liquidate it all on various exchanges into a uniform currency (BTC, USDT etc).

I would then send it (in chunks else it would prompt a heart attack) to a wallet on somewhere like Coinbase where I would in turn sell on their platform to a fiat GBP wallet. This is where the major fees are incurred (2-3% something like that).

SInce my bank is already set up it would be a near instant withdrawal from there. Some of them have weekly withdrawal caps which I guess is what people are talking about when describing it as difficult.

But unless you're talking about serious amounts of money it would not inhibit the average person.

 

[CheeseRolls]

I get what youre saying, but its also true of most central banks, just printing more paper money, devaluing everyone elses savings and investments without any reserve to back it up.

The fractional reserve system is a total scam. "Please pay the bearer the sum of......" If everyone tried, they simply cant.

The only difference is its legal if the ECB or BofE pluck money out of thin air!

What happened when Greece ran out of money? The debt was rescheduled and the national tax payers had to pick up the bill.
What happened when Russia ran out of money? They sold Alaska to the USA

Both really bad deals. Here you have a piece of paper from some Cayman Island accountants you can rely on as much as a 5 star Trust Pilot review.
The rewards are high but so are the risks, no harm in having your eyes open.

 

[Sheebo]

Vet seems to have gone right up - £470 has become £610 in a matter of days - I guess I should just stick with it though and see...

 

[KeegansHairPiece]

Vet seems to have gone right up - £470 has become £610 in a matter of days - I guess I should just stick with it though and see...

Similar amounts to what my vet charges!

 

[beorhthelm]

I would then send it (in chunks else it would prompt a heart attack) to a wallet on somewhere like Coinbase where I would in turn sell on their platform to a fiat GBP wallet. This is where the major fees are incurred (2-3% something like that).

use Coinbase Pro. same login, keeps the same bank details, trading fees are 0.5% dropping to 0.35 or 0.15 for trading over $10k or $50k in a month.

 

[Sheebo]

good picks (have them all). dont watch the daily movements other than out of interest, you will be up/down 20% on days, enjoy the ride.

odd comment you mention wanting to buy 1 ETH for x, when you have no problem with buying x amounts regardless of unit price. the price is meaningless, aside some psychological factors, its all about the marketcap and what the coins can do relative to the market. I wouldnt look beyond this cycle/year for values.

Don’t think I was clear but I am a bit thick with this. 0.5 of a ETH is currently £850 or so. I meant I’d like to make enough to buy a risk free ‘whole’ coin but appreciate that’s psychological too. I assume if you buy .5 of a coin, if it went up day 500% you don’t own 2.5 coins you just own 0.5 still but it’s worth 5x more. Actually what I’ve written seems very stupid but best to check...

 

[crookie]

I ignored the sensible advice of those on this thread as you only live once and may as well gamble and we bought £2k of various coins. Was £100 down yesterday now £40 or so up. Worst case is essentially leave it in there and can’t see more than £500 being lost. I have:

Bitcoin
Harmony
Holo
V chain
Enjin

Still don’t really know what I’m doing but will leave it in for a while and see I think. Aim is to make enough profit to buy one Ethereum at about £1700 and sit on that as tip reckons it could be worth £120k in 3-4 years’ time but prob bollocks.

Did similar a month or so ago, me and a mate chucked in £750 each, mostly on Bitcoin, some Litecoin and Ethereum, plus got a few freebies off Coinbase for watching some vids. Lowest it's been is £1350, nearly £1800 now. Just going to sit and watch, especially initially. If it goes it goes, we put in what we could afford to lose. Just going to enjoy the ride

 

[MJsGhost]

Don’t think I was clear but I am a bit thick with this. 0.5 of a ETH is currently £850 or so. I meant I’d like to make enough to buy a risk free ‘whole’ coin but appreciate that’s psychological too. I assume if you buy .5 of a coin, if it went up day 500% you don’t own 2.5 coins you just own 0.5 still but it’s worth 5x more. Actually what I’ve written seems very stupid but best to check...

Yep!

 

[beorhthelm]

Don’t think I was clear but I am a bit thick with this. 0.5 of a ETH is currently £850 or so. I meant I’d like to make enough to buy a risk free ‘whole’ coin but appreciate that’s psychological too. I assume if you buy .5 of a coin, if it went up day 500% you don’t own 2.5 coins you just own 0.5 still but it’s worth 5x more. Actually what I’ve written seems very stupid but best to check...

exactly. doesnt matter if you buy 0.1, 1, 100, the percentage gains matter. in crypto all tokens are (usually) divisible, 1 ETH doesnt get you something that 0.9 does.

 

[KeegansHairPiece]

Don’t think I was clear but I am a bit thick with this. 0.5 of a ETH is currently £850 or so. I meant I’d like to make enough to buy a risk free ‘whole’ coin but appreciate that’s psychological too. I assume if you buy .5 of a coin, if it went up day 500% you don’t own 2.5 coins you just own 0.5 still but it’s worth 5x more. Actually what I’ve written seems very stupid but best to check...

What we can conclude is this, you have very good and trusting friends!

 

[Sheebo]

What we can conclude is this, you have very good and trusting friends!

Last month I had to do a weight loss challenge at stick to 1600 cals a day - my prize was a ps5

The month before I had to do 16 x 2 mile runs for my nexus soft tip dartboard...

My mate just enjoys causing me aggro and doesn’t care it costs him dolla haha - but a good mate this is just a bit of fun

 

[Tyrone Biggums]

Dogecoin has been moving upwards in the last few days. Bought in at 3 cents. It's surged more than 85% in the last 24 hours.

 

[Bakero]

Dogecoin has been moving upwards in the last few days. Bought in at 3 cents. It's surged more than 85% in the last 24 hours.

I've been happily monitoring my Doge too. Stonking good day

 

[Seagull58]

There must be some here who remember the dot com boom and bust of '99 to 2001. What's the view on the crypto surge? Has The Sage of Omaha bought any crypto?

 

[beorhthelm]

There must be some here who remember the dot com boom and bust of '99 to 2001. What's the view on the crypto surge? Has The Sage of Omaha bought any crypto?

Buffet is not and wont ever be in crypto because it doesnt produce anything, those his rules.

 

[Seagull58]

Buffet is not and wont ever be in crypto because it doesnt produce anything, those his rules.

I know very little about crypto but I am genuinely interested in whether there are similarities with the dot com boom (and bust).

 

[beorhthelm]

I know very little about crypto but I am genuinely interested in whether there are similarities with the dot com boom (and bust).

there are many. its a bubble, making a lot of people a lot of money, some will lose too. there's also a foundation of future tech. picking long term winners is near random.

 

[Seagull58]

there are many. its a bubble, making a lot of people a lot of money, some will lose too. there's also a foundation of future tech. picking long term winners is near random.

Sounds a lot like the early days of personal computers when every man and his dog was making them in his garage but after a few years there were only a few big players.

 

[Albion Dan]

I know very little about crypto but I am genuinely interested in whether there are similarities with the dot com boom (and bust).

When btc crashed 90% in 2018 it was likened to the dot com bubble burst.

When btc crashes from $100k back to $20/30k again later this year or in 2022 in will be likened to the dot com bubble burst.

When btc crashes from... in 2025 it will be compared.

You see the pattern?