OT: Ray, how's your Bitcoin investment going?

[Tony T]

Originally Posted by jpw

now might be a good time to buy, from the right seller, and through the right platform.

Well, until recently, MtGox was the "right platform"
Anything (BitCoin, FaceBook, Twitter, Amazon, MySpace, etc) with that much volatility is speculation and has a high risk of loss.
Some pay off in the long run (AMZN), some don't (MySpace).

…and when an analyst on CNBC says "Buying Opportunity", run


edit: Didn't know this: "The Mt. Gox website was originally founded by Jed McCaleb as an online exchange for buying and selling Magic: The Gathering cards, a popular trading card game. Its name was an acronym of Magic: The Gathering Online eXchange"

— I guess that's what's known as a "Red Flag"

[ultraman6970]

I think the bitcoin guy ran as hell and took all the money???

[pbarry]

FRN's looking better all the time.

[1happygirl]

Sorry I couldn't post this earlier so you could have a chance at a race car ride.
Apologies if been posted b4.

[cfox]

"legit", regulated financial entities never run off with customer funds. Except that time when MF Global stole 40 grand from me to post margin for Jon Corzines lame-brained euro debt trades.

[Rada]

What seems really scary about the mess with Mt. Gox and the whole Bitcoin/virtual currency thing is the refusal of the Japanese government to get involved. Seems like open season on hundreds of millions of dollars for anyone with the know how and moxy to steal a whole bunch of money and get away Scott free.

[verticaldoug]

Actually, the Japanese have started an investigation. The difficulty is if bitcoin is not a currency controlled by regulators, Mt Gox is not technically a bank, and it is not taking deposits, why do regulators want to get involved? Should financial authorities regulate the buying and selling of Pokemon cards on ebay?

This is no different than wine collectors who had their stored wines sold out of the back door in the San Fran warehouse a few years ago. It is consumer fraud.

In another day or two, you will see pictures of the Tokyo Prosecutors going into MtGox offices on a early morning raid, and coming out with card board boxes of computers and documents. This is what the Japanese prosecutors and police do.

[FlashUNC]

Originally Posted by Rada

What seems really scary about the mess with Mt. Gox and the whole Bitcoin/virtual currency thing is the refusal of the Japanese government to get involved. Seems like open season on hundreds of millions of dollars for anyone with the know how and moxy to steal a whole bunch of money and get away Scott free.

I guess the converse argument is not to invest in a highly speculative, unregulated virtual currency?

Latest appears Japanese authorities are investigating, but I wouldn't expect any kind of backstop for the funds lost.

http://www.reuters.com/article/2014/...A1P0D820140226

[akelman]

What incentives do nations have to backstop extra-national currencies?

[verticaldoug]

Originally Posted by akelman

What incentives do nations have to backstop extra-national currencies?

It is not a back stop on the currency, it is a back stop on the deposit. This is a big difference. But the back stop in deposits comes with regulations, depositor insurance, audits, segregated accounts etc etc. This adds friction to the system. Commerce doesn't exist without the rule of law. There will always be bad actors. You have to pay to have the rule of law.

[gavingould]

see, this is why i don't invest - i don't even have a 401k right now.

if the suits decide to screw you, they're gonna screw you, and they're most likely going to get away with it. this means banks, funds, stocks, bonds, gov't, private, whatever.

[akelman]

Commerce long predated the rule of law That bit of pedantry aside, I shouldn't have written my original comment. I don't care enough or know enough about bitcoin to get involved in the discussion. My apologies.

[chuckred]

Originally Posted by gavingould

see, this is why i don't invest - i don't even have a 401k right now.

if the suits decide to screw you, they're gonna screw you, and they're most likely going to get away with it. this means banks, funds, stocks, bonds, gov't, private, whatever.

Curious what criteria you use to decide how to protect and or build your livelihood and plan for the future? Nothing is totally safe but not sure I'd want a bunch of gold buried in the back yard of a place I haven't invested in. Not meaning to be flippant but I'm more worried about potential new and unproven investing vehicles than the old standards.

[R2D2]

Originally Posted by gavingould

see, this is why i don't invest - i don't even have a 401k right now.

if the suits decide to screw you, they're gonna screw you, and they're most likely going to get away with it. this means banks, funds, stocks, bonds, gov't, private, whatever.

So do you just barter? Have gold stuffed in a mattress?

[Ahneida Ride]

Originally Posted by pbarry

FRN's looking better all the time.

At least you know they shrink 6% per year.