Beware of BitCoin scammers

[Lance]

Yes, yes, yes, I understand that.

But with something with literally zero real-world value. At what point would you buy back in? That's my whole point.

If wheat plummetted eventually a baker would buy some to make some bread. If BP shares fell 75% Exxon would pop-up with a takeover. Both of those things have a real-world value.

If USD falls, the Fed's step in, if they cannot stem the fall, we all step in ( by buying up nice and cheap US assets ). It acts as a break.

But with BitCoin? What's the floor? zero is the floor. If it fell 20% in a couple of days why would you buy-in? Most people would probably hold off, forcing down the price again. And so on, in a vicious circle.

The floor is above zero as there will always be some value (I reckon). What will happen next? I have no idea? And anyone who says they do is being economical with the truth. It's a guess. It might be a guess based on good information, but still might be wrong.

I think that the value will grow as global uncertainty increases around Brexit (to the mods - that's a Brexit mention in the context of Bitcoin), the Euro, North Korea, Russia and all other instability. But.... and it's a big but..... will it correct beforehand?

Best time to buy Bitcoins? Just before Kim Jong-Un does something really stupid that provokes a military reaction from the US.

Best time to sell? When you're happy you've made enough. Don't be greedy.

[Hobosapien]

Best time to buy Bitcoins? Just before Kim Jong-Un does something really stupid that provokes a military reaction from the US.

What if the bitcoin inventor (Satoshi Nakamoto) who is apparently hodling a million bitcoins, is really the NK government, who are waiting to dump the coins when they've suckered in enough western money?

Can't say that's not possible either.

No predictions are possible based on fact. It's a ghost currency.

[BrilloPad]

I was scammed recently. If there is a cryptocurrency called marriage.....

[greenlake]

I was scammed recently. If there is a cryptocurrency called marriage.....

[darmstadt]

Scammed too...

[_V_]

Talking of bitcoin scammers, I wonder if sites like coinbase are actually a type of ponzi scheme. If I buy some bitcoin using fiat, it says I have bitcoin, but do I really? What if they are just pocketing the money. There's no access to a private key on their hosted wallet.

Sure, If I send some bitcoin they have to use some they own, but is it a kind of fractional reserve banking, where they've take billions in payments, but only hold a small percentage as actual cryptos, as most people just buy and hodl.

Thoughts?

[Lance]

Talking of bitcoin scammers, I wonder if sites like coinbase are actually a type of ponzi scheme. If I buy some bitcoin using fiat, it says I have bitcoin, but do I really? What if they are just pocketing the money. There's no access to a private key on their hosted wallet.

Sure, If I send some bitcoin they have to use some they own, but is it a kind of fractional reserve banking, where they've take billions in payments, but only hold a small percentage as actual cryptos, as most people just buy and hodl.

Thoughts?

Take the bitcoins out and into your own wallet.

You’re welcome.

[glebe digital]

Talking of bitcoin scammers, I wonder if sites like coinbase are actually a type of ponzi scheme. If I buy some bitcoin using fiat, it says I have bitcoin, but do I really? What if they are just pocketing the money. There's no access to a private key on their hosted wallet.

Sure, If I send some bitcoin they have to use some they own, but is it a kind of fractional reserve banking, where they've take billions in payments, but only hold a small percentage as actual cryptos, as most people just buy and hodl.

Thoughts?

All these exchanges are massively under-capitalized from what I can gather. All it would take to bring them down is a moderate rush to the door.

[Hobosapien]

Don't even need to wait for the exit rush to take them down.

S Korean bitcoin exchange hacked and goes bust. My theory NK is behind it all still not blown out of the water.

https://www.ft.com/content/aa9fdd64-...2-916d4fbac0da

"Investors could withdraw about 75% of their digital coins, the rest following may be available following bankruptcy process". i.e. they're using investors coins to pay their debts, or indeed did practice fractional reserve banking and they spent them along the way.

Oh well, one of just many stories of hacked exchanges and dodgy practices. It is an unregulated market after all so expect nothing better. Mr Robot is coming for you.

[glebe digital]

Coinbase insider trading probe:
https://qz.com/1161391/bitcoin-cash-...trading-probe/

Let's not forget bittrex's warning to 'investors' over being involved in pump n' dump groups, they may take punitive measures and snatch your portfolio if they catch a whiff......