Bitcoins

mmedia

Two interesting videos, from South Korea and India news reports.

http://www.youtube.com/watch?v=p1ZzA7ADpTE
http://www.youtube.com/watch?v=BM10sKEJRho

BoracicLint

Recap of global government's stance on Bitcoin (taken from vice . com):

Germany said earlier this year that it would not recognize Bitcoin as a foreign currency or digital money, but would legalize it as a sort of “private money” or "unit of account".
The European Banking Authority, the central bank of the EU, recently warned consumers about the financial risks of the virtual currency, and is still looking into whether or not to try and regulate it.
Switzerland is also in an exploratory phase, albeit with a skeptical eye. The Swiss government is researching the potential effects of the digital coins on the country's robust financial system, and plans to issue a report on Bitcoin’s risks in the coming months.
France's Central Bank the Bank of France, warned about Bitcoin’s volatility early this month, calling it a financial risk for the individuals and businesses that hold the virtual coins.
China, once home to a booming Bitcoin exchange, restricted its banks from allowing Bitcoin transactions earlier this month, worried about its instability and potential use for money laundering. It said Bitcoin doesn't have "real meaning" as a currency.
Korea also rejected Bitcoin as a legitimate currency. Last week financial authorities there said it was too unstable to have “intrinsic value” as a form of money.
Thailand's central bank refused to license Bitcoin this summer, leading to the Thai Bitcoin exchange being shut down and an all-out ban on buying and selling the coins.
The US has given Bitcoin perhaps its warmest welcome yet. During a senate hearing last month the Feds were optimistic about the potential benefits of virtual currencies and downplayed Bitcoin’s risks, arguing they could be mitigated by extending current finance laws and regulations to the virtual realm.

Norway is the latest to show it's hand, stating that Bitcoin is not a currency and is an asset subject to capital gains tax.

Bitcoin is looking more and more like a commodity every day. With fewer people willing to spend their coins, I predict a reduction in the number of transactions, stifling the mining supply and therefore increasing the price dramatically. Maybe the Winklevoss twins' prediction of $40,000 per coin isn't completely unfounded?!

BoracicLint

DJBenson wrote: »

Anybody know what's upset the market today? Prices have plummeted again to ~$700 - took advantage and bought 12 BTC mind :rotfl:

China has toughened its stance further, banning third-party payment processors from doing business with Bitcoin exchanges.

http://www.businessinsider.com/china-bitcoin-crackdown-intensifies-2013-12

manhattan

I was also reading this earlier...

http://www.reddit.com/r/Bitcoin/comments/1rzjjl/zipzap_adds_25k_locations_in_uk_and_240k/

I think it has already been posted on here, but seems interesting that 25k UK shops will give people easy access to purchase Bitcoins alongside their Lottery tickets from mid January.

shaz77_2

I fear this post may get lost in the traffic, however I know very little about bitcoins but I would be interested in learning about them - where is a good place to start?

Jegersmart

shaz77 wrote: »

I fear this post may get lost in the traffic, however I know very little about bitcoins but I would be interested in learning about them - where is a good place to start?

I would seriously start with google - both web and news searches.

J

BoracicLint

shaz77 wrote: »

I fear this post may get lost in the traffic, however I know very little about bitcoins but I would be interested in learning about them - where is a good place to start?

I'd start with the wiki for the basics:

https://en.bitcoin.it/wiki/Main_Page

Then as said by Jegersmart, google for news articles to support your research.

If you are ready to buy coins, localbitcoins is probably the easiest way, unless you are planning on going down the mining route, in which case you'll need to invest a considerable amount of capital on some ASIC hardware and join a mining pool. For most speculators, simply buying coins from an exchange is probably the most suitable option.

kingrulzuk

Well don to people who bought the bitcoin and made the money

Wish someone had told me a year ago

shaz77_2

BoracicLint wrote: »

I'd start with the wiki for the basics:

https://en.bitcoin.it/wiki/Main_Page

Then as said by Jegersmart, google for news articles to support your research.

If you are ready to buy coins, localbitcoins is probably the easiest way, unless you are planning on going down the mining route, in which case you'll need to invest a considerable amount of capital on some ASIC hardware and join a mining pool. For most speculators, simply buying coins from an exchange is probably the most suitable option.

Minining - what does that mean in this context?

BoracicLint

shaz77 wrote: »

Minining - what does that mean in this context?

Its the digital version of shovelling for gold! Each transaction is entered into the public ledger (the blockchain) and must be verified by a miner using their computer to solve a complex cryptographic algorithm.

Whoever solves each block is rewarded with a number of coins (currently 25 per block of transactions).

Unfortunately the mining power of the network is so advanced, one man and his machine doesn't stand much chance of mining anything, so mining pools were setup where people combine their mining power and split the proceeds.

Miners are ensuring the integrity of the network and verifiying transactions by solving the complicated mathematics. In return they are awarded with coins.