Silk Road forums

Discussion => Newbie discussion => Topic started by: apollo2012 on March 30, 2013, 08:54 am

Title: Investing in Bitcoins
Post by: apollo2012 on March 30, 2013, 08:54 am
Been on the road for nearly 3 months and spent just over $10,000 and probably came back with 15,000 off of that.  I did the math and if i would have just left that money in my account i would have come out with about $87,000.  So basically im about to just say fuck it and throw most of my cash on here because its going to me make me more in the long run with less risk.  I've literally been thinking about it and even if all world governments convened and tried to outlaw bitcoins they would have to basically shut down the internet completely worldwide.  Seeing how there will only be 21,000,000 coins ever made the only place for them to go is up because that will be the only way the coins in circulation will be able to sustain the economy that uses them.  I can't even find any other investment that has had and exponential growth model for over a couple days and bitcoins have done it for many months now and as more people start to use them they will only grow faster.  If anyone can think of any reason why investing a lot of my money into this would be detrimental to my black market portfolio of MDMA WEED LSD AND BTC please let me know because im trying to find a reason not to and i cant.
Title: Re: Investing in Bitcoins
Post by: MintSmoothie on March 30, 2013, 09:19 am
I guess we're all small fries on here compared to you? Ha.

I just buy personal anyway.

I really think if you have the cash, go for it, buy them BTC. And hold them until 21 million are mined, itll be a while though.
Title: Re: Investing in Bitcoins
Post by: Wadozo on March 30, 2013, 09:40 am
It's just like most things in life. It will be a gamble should you choose to do this because remember, Bitcoin is an actual currency. It is therefore subject to fluctuations brought on by factors such as market forces which will determine it's current value in the world market. It's a matter of making a calculated decision based on FACTUAL information and evidence, with a planned exit strategy should you choose to go ahead, only to have the Bitcoin price suddenly plummet and you suffer a major loss as a result. It's a decision you will have to either commit to 100% or steer well clear. If it continues to climb as it has done, there could be some major rewards for some prepared to take the risk but at some point it will have to plateau out just like currencies do world wide. The question is at what point will this happen? I know one thing. What ever goes up must come down. If anyone had definitive answers to these questions, I dare say we would have all invested what we had a little while ago. I was shocked to learn that if I had the coins I had purchased over my time on SR still in my account, they would be worth almost $350,000 today. I wish I didn't know that now to be honest. :(  Anyway, some food for thought.   :)
Title: Re: Investing in Bitcoins
Post by: spokeknife on March 30, 2013, 11:36 am
I dont get it. Are people here on SR to speculate on the currency, or buy stuff in the marketplace?

If you want to buy bitcoins and sit on them, you dont need to do it through SR.

No point in dwelling on the past, on what you could have done, what might have been, with an online currency with no central authority, that fluctuates. It could easily have gone the other way.
Title: Re: Investing in Bitcoins
Post by: cutie see on March 30, 2013, 11:38 am
i could have won the lottery last week if i would have picked the right numbers. but alas i did not just like you cant know what bitcoin is gonna do next
Title: Re: Investing in Bitcoins
Post by: Wadozo on March 30, 2013, 05:17 pm
I dont get it. Are people here on SR to speculate on the currency, or buy stuff in the marketplace?

If you want to buy bitcoins and sit on them, you dont need to do it through SR.

No point in dwelling on the past, on what you could have done, what might have been, with an online currency with no central authority, that fluctuates. It could easily have gone the other way.

People can come on the forum to speculate on the price of Bitcoin and which way it's heading if they want. Bitcoin is an integral part of the SR experience and needs to be talked about. Equally, people can come on here and discuss vendor's, their wares or SR and DPR if they so desire. It's a big place with plenty of room for everyone.
No one is saying if you want to buy coins, you should do it through SR. I think you'll find a lot of the newer guys don't have a Bitcoin Client set up yet (use a Desktop one and stay away from online ones such as the insecure Instawallet) and would rely on using the SR wallet built into your account.
I wasn't dwelling on the past but looking back at the massive price difference when compared to the value of BTC's today. What's got your knickers in a knot spokeknife? Yes, the price may suddenly drop today, but on the other hand, it could even continue to rise past today's price of around $90 per coin. This is not a case of dwelling into the past or what might have been if. This is right in the middle of a storm and deciding on whether to make a short term investment is a complicated decision. Some quick cash could be made however in the blink of an eye, it could also be lost. :)
Title: Re: Investing in Bitcoins
Post by: baconslab on March 30, 2013, 06:09 pm
high risk short only buy what you can afford to lose
Title: Re: Investing in Bitcoins
Post by: spokeknife on March 30, 2013, 09:39 pm
My knickers arent in a twist Wadozo, just a (cordial) disagreement.

I feel that if one was keen to invest / speculate on a currency, then putting said investment funds onto a site / wallet (be that SR or any other marketplace) where there are illegal goods being traded, and which was attracting a lot of hype in the media*, probably wouldnt be the wisest thing to do.

There are other, secure, places out there, that arent in the beam of the cops, where you can invest in BTC. Why would you do it through SR? You wouldnt even need to be running Tor - much faster response time in terms of buying and selling if you were dealing with large amounts.

* I cant complain about this, I read about SR in The Economist last year.
Title: Re: Investing in Bitcoins
Post by: Mr Shakur on March 30, 2013, 10:36 pm
Like all things in Life, On our beloved flying rock shit can change in a second.If you can afford to potentially lose a lot of Dough without Financially decimating yourself I would simply say Why Not. But if you cannot afford to absorb the Hit, it will be a huge risk. On the Other hand No high reward comes without the high amount of risk.

Really, it doesn't matter what anyone says, because no one really knows. But the US want to regulate it and bad mouth it and say it is bad, blah blah, I think it will peak soon and dip a little, or it could go fucking Bananas       
Title: Re: Investing in Bitcoins
Post by: Identity on March 30, 2013, 10:47 pm
It's worth reading the BitcoinTalk.org forums. You will learn a whole lot of stuff about Bitcoin that you never would have imagined, and it will help you decide whether it is a good investment for the future. Personally, I find it all quite fascinating.
Title: Re: Investing in Bitcoins
Post by: pinkbic on March 30, 2013, 11:01 pm
I can't wait for the next collapse..
Title: Re: Investing in Bitcoins
Post by: quinone on March 30, 2013, 11:17 pm
I can't wait for the next collapse..

No shit eh?

I had a few hundred BTC @ it's $6 value not even 8 month's ago, and never ever anticipated they'd be going for $100/ea so fucking spent them on drugs, damn me !!!

I had I think around 400 BTC too, fuck I could use $40,000 right now.

Lesson learned I guess, when it collapses and their value is under $10/ea again I wont be spending em that's for sure (unless ASIC's take serious hold, in which case I really don't know whether it'd be worth the risk of holding onto them).

Damn me !!! $40k and instead I go and buy a bunch of RCs to dessicate and vac seal for usage later on in life when I truly need to explore my spirituality (i'm Athiest, so my views on the end of my life are rather morbid).  Half of everything I bought was stolen from me by my 'best friend' too.

Damn I have all the luck ! :( :( :(
Title: Re: Investing in Bitcoins
Post by: pinkbic on March 30, 2013, 11:23 pm
Damn, I wish I had money to cook..
I too am athiest... I've realize life's pretty depressing..
That sucks about your best pal.
Title: Re: Investing in Bitcoins
Post by: Identity on March 30, 2013, 11:27 pm
Trouble is, pretty much everyone will want to snap up cheap coins during dips, which will hold the price from dropping too much. A lot of people are becoming more and more confident in the future stability and value of bitcoin. Even a hard chain fork was recovered from very quickly. For every panic seller that dumps coins when a minor event occurs, there are thousands of people waiting to snap them up.

So unless there is a catastrophic network event, I can't see the price dropping that much and the only way is up!

/speculation
Title: Re: Investing in Bitcoins
Post by: pinkbic on March 30, 2013, 11:32 pm
Trouble is, pretty much everyone will want to snap up cheap coins during dips, which will hold the price from dropping too much. A lot of people are becoming more and more confident in the future stability and value of bitcoin. Even a hard chain fork was recovered from very quickly. For every panic seller that dumps coins when a minor event occurs, there are thousands of people waiting to snap them up.

So unless there is a catastrophic network event, I can't see the price dropping that much and the only way is up!

/speculation
I'm sure it'll happen soon enough, maybe even if once a year or every other year.
Title: Re: Investing in Bitcoins
Post by: quinone on April 02, 2013, 02:45 am
The entire future landscape of bitcoin trading, acquisition and value hinges entirely on bitcoin mining technological methodology.

There's a very simple method of checking hashes at a far far far faster rate then we do with GPU's right now, and any COMMERCIAL distribution of this technology has so far all been vaporware, only been a few smart cookies that have their own rig's built from self programmed ASIC's pulling probably hundreds - thousands of GHash/s on them.

Currently the only real viable means of mining blocks is to spend over a grand easy for a machine that pulls maybe 1GHashes/s and still rapes almost 1000 watt's out of the wall to bruteforce those hash check's to a hash checking methodology that cost $650 for a machine that output's 30GHash/s and only takes 30-50 Watt's to do so.

There's been a few companies promising vaporware ASIC's and the largest of them just a few weeks ago declared they actually have chips now and are going to be shipping ASIC miner's within weeks.  Whether or not this is true its:

a.  Probably partly if not largely from the emerging landscape of the very real possibility that Butterflylab's actually will deliver, in which case mining bitcoins will become thousands of time's easier (i'm already in contact with several of the vaporware ASIC companies, dammed right i'm gonna mine if it cost me only 50watts of electricity and at current difficulty will yield me on avereage 6 coins a day for a $650 investment)

b.  Will REQUIRE difficulty changes on a system that was designed to only have it's 21 million bitcoins released at a certain rate that cannot be controlled by any individual but is inherent to the system ... but if ASICs hit the light it will REQUIRE some intervention.  ASIC mining is to conventional mining what a thermonuclear warhead is to the most powerful conventional explosive.

That's just ONE of HUNDRED's of variable's that are or have the potential to dictate the future for bitcoin trading.

What's with you ppl saying bitcoin value is going to just keep going up now forever?  Are you silly?  There's 100 thing's affecting the bitcoin market.  It's value could turn around on a dime.