Bitcoins

[dryheat]

What the heck is that all about. Sounds like an early indicator that our economic boom is about over.

[S.A. Boggs]

Apparently a Ponzi Scheme.
Sam

[JB White]

Bitcoin is making a "comeback". All the rave a number of years ago until the fad faded and heavy investors found themselves up to their necks in alternate currency with very little demand. Recently they've decided to hype it again to get out from beneath it.

[S.A. Boggs]

What precious metal backs it up or just "Full faith and credit" as usual.
Sam

[JB White]

I avoided it Sam as I'm in no position to make any kind of so-called "safe bets" with my money. However I know you can buy into it online using credit. Probably a phone app out there too for all I know..

[togor]

Not a bitcoin expert but I think I understand the basics. Bitcoins are solved cryptographic puzzles that can be exchanged through peer-peer network connections. In this respect they are self-contained entities and not exchanged through some central transaction authority like a banking system or VISA. This makes them favorable for criminal money-laundering, which is a big reason why I do not like it.

The rate at which unsolved puzzles are created and released "into the wild" for solving (which is called "mining" in these crypto-currencies) of bitcoin is a decreasing exponential, as the link below discusses, intended to mimic the rate at which gold is added to the world's supply, and so in that respect Bitcoin is a digital mimicry of gold.

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

The spikes in prices are not evidence of a pyramid-like Ponzi scheme, but rather something mentioned in the above Bitcoin link--deflation. Because the number of bitcoins is limited, there is an incentive for hoarding. In the late 1970's my dad took all of his old US coins (well-circulated) that had silver content to the nearby coin shop, because the price of silver was spiking. Some guys were trying to corner the market on it. With the proceeds he bought a nickel-plated Model 27, which I still have.

[S.A. Boggs]

I have a simple [@ least for me] thing. If it is too complex someone can take from you. I watched the gold and silver market with fascination as these metals went higher and higher. I asked once that if you had ten ounces of gold dust and I had ten pounds of beef. You were hungry and I wanted ten ounces per pound would you trade?
Sam

[dogtag]

Those paying multiple thousands for a Bitcoin are as stupid as those who paid multiple thousands for a tulip

[S.A. Boggs]

For me the only "safe" metal is lead, at least I can use it to feed/protect my family.
Sam

[dogtag]

For me the only "safe" metal is lead, at least I can use it to feed/protect my family.
Sam

You protect your family by feeding them lead ?

[S.A. Boggs]

You protect your family by feeding them lead ?

In an indirect way, 240 grain .430 in either my 1974 Super Blackhawk or Marlin 1894...nice little round in Starline Brass.
Sam

[Johnny P]

The Lone Ranger used silver bullets.

[Bill D]

The Lone Ranger was rich.

[dryheat]

He was a sharp dresser.

[JB White]

He was a sharp dresser.

A cowboy looking character in snug fitting powder blue clothes on a clean horse. A party mask and bling for bullets. Yet nobody questioned his relationship with Tonto.