A salient lesson for those jumping onto financial bandwagons

dryhat

Marazan wrote: »

The BitCoin system will charge you money for the equivalent of giving your mate a fiver. Currently with my worthless fiat money I can do that for free.

Try sending $2.5 million to someone on the other side of the world for 2 cents as someone did recently.

( I will try to find the transaction on the blockchain)

JohnRo

Marazan wrote: »

The BitCoin system will charge you money for the equivalent of giving your mate a fiver. Currently with my worthless fiat money I can do that for free.

Inflation wants a word with you.

Marazan

dryhat wrote: »

Try sending $2.5 million to someone on the other side of the world for 2 cents as someone did recently.

( I will try to find the transaction on the blockchain)

Try giving your friend $1 worth of coins. I can do that for free right now and instantly, Bitcoin would make me pay or wait hours or days.

And the theoretical Satoshi is a bit pointless at the moment given that the Dust cutoff means that the reference implementation basically ignores small transactions.

dryhat

Marazan wrote: »

Try giving your friend $1 worth of coins. I can do that for free right now and instantly, Bitcoin would make me pay or wait hours or days.

And the theoretical Satoshi is a bit pointless at the moment given that the Dust cutoff means that the reference implementation basically ignores small transactions.

I know what you mean. It's horses for courses.
Nobody is suggesting that bitcoin is always easier or better than cash. Both have their place (for now).

As an aside, here's a little story....

Back in April (when the exchange rate was 1BTC=£100), I owed my mate £40 and manage to persuade him to open a wallet and accept payment in bitcoins. He agreed and I sent him 0.4BTC.
When I saw him the other day I told him it was now worth £160 he was obviously delighted.
I offered him £100 for it but he said no, he would rather hold it.

doughnutmachine

dryhat wrote: »

If early adopters become very rich due to the rising value of Bitcoin good luck to them. And a lot of them are spending as well, taking advantage of their increased spending power.

as luck would have it i'm thinking of starting my own currency (the doughnut dollar). i'm limiting issue to only 1 million dolllars.

for a measly £100 i'll sell you a whole doughnut dollar. it will be a nice banknote with my picture on the front and a photo of my fiesta on the back. it's bound to increase in value when the doughnut dollar becomes the world's reserve currency.

anyone reading this would be silly not to PM me for details of how to become the proud owner of some doughnut dollars.

dryhat

doughnutmachine wrote: »

as luck would have it i'm thinking of starting my own currency (the doughnut dollar). i'm limiting issue to only 1 million dolllars.

for a measly £100 i'll sell you a whole doughnut dollar. it will be a nice banknote with my picture on the front and a photo of my fiesta on the back. it's bound to increase in value when the doughnut dollar becomes the world's reserve currency.

anyone reading this would be silly not to PM me for details of how to become the proud owner of some doughnut dollars.

Not a problem. You crack on.
Assuming it's open-source, you'll have to publish the code so people can have a look first though.

We'll take it from there.

MFW_ASAP

dryhat wrote: »

Phew.

I bet you're glad you got that of your chest.

(Thanks for playing along for a laugh by the way. It's nice to know you have a sense of humour underneath all that anger and resentment)

Why would I have any anger or resentment? I'm doing OK financially, and regardless of whether you are a liar or not, what do I care about how a stranger on the internet is doing financially?

The guy who invented facebook is doing amazingly well, so is Bill gates and the Russian bloke who owns Chelsea. I don't know them either, should I be bitter about their wealth?

Nah, what you're doing is trying to distract from what I put in the body of my post. I hit a nerve and you got angry and came back with an emotional response. Dry your eyes and respond to what I posted.

dryhat

MFW_ASAP wrote: »

The guy who invented facebook is doing amazingly well,

Yes they are.

They are reputed to be the biggers holders of Bitcoin.

MFW_ASAP

dryhat wrote: »

I started buying in at £11 and bought loads all the way up to about £90 and then cashed out my original investment at £98 leaving me with loads of "free coins".

I continued buying and selling up to £153. The price eventually went to £178 and then crashed down to about £30.

I then started buying loads more all the way up to £140. That was about 6 weeks ago and I have not bought anymore since, but sold quite a few at the £400 range.

I am now just holding what I have for now and am more than happy to have a significant amount of my wealth in Bitcoin. I see it as a far better store of value than £ or $ and I'm enjoying the idea of being involved in a revoltionary new technology at its beginning.

So I was right, and hence your emotional response earlier. You've cashed out an earlier holding and then bought back in at a much higher level. You also have a significant amount of your wealth invested and hence the panic as the price falls from $900 to $600 in a single day and hence the ramping you're doing on here and in the housing boards.

It all makes sense, and it's all as anticipated. No wonder you're so emotional. Calm down and re-evaluate your holdings. If you're over exposed, then step back from the position.

dryhat

MFW_ASAP wrote: »

So I was right, and hence your emotional response earlier. You've cashed out an earlier holding and then bought back in at a much higher level. You also have a significant amount of your wealth invested and hence the panic as the price falls from $900 to $600 in a single day and hence the ramping you're doing on here and in the housing boards.

It all makes sense, and it's all as anticipated. No wonder you're so emotional. Calm down and re-evaluate your holdings. If you're over exposed, then step back from the position.

Superb analysis. Nice work Sherlock.

Now get back to work or you'll never get that mortgage paid.