Welcome to the Hardcore Husky Forums. Folks who are well-known in Cyberland and not that dumb.

Tesla buys $1.5 billion in Bitcoin

135

Comments

  • GreenRiverGatorz
    GreenRiverGatorz Member Posts: 10,168
    HoustonHusky said:

    The scarcity issue with bitcoin is fine (there is a finite number of them) and the concept in theory is fine as a digital equivalent to gold.

    My problem with bitcoin is two-fold. 1) The holders...5 Chinese companies generate over half of the new bitcoin...in theory its brilliant as a transfer of assets. China burns coal to generate a shiteton of electricity to mine bitcoin, sell it on the open market to a bunch of Westerners for $$$. The concentration of assets of it as well is not comforting...most of the bitcoin are held by a relatively small number of people . 2) Security. Have a breach where a bunch of bitcoin get "stolen" and you'll see a massive correction in the price. I'm not a computer security guy, but it seems like stealing bitcoin electronically is a heck of a lot easier than trying to make off with a ton of gold, and as price appreciates the creativity of the crooks trying to do it goes up exponentially.

    With all of these assets they will go up in uncertain and/or money-printing times and go down when things are nice and stable. Seems like a good bet they won't be going down anytime soon...

    Interesting point of discussion. We're probably equally clueless when it comes to technical matters of cyber security, but my impression has always been that bitcoin can only be hacked to the extent that an individual exchange allows it to be. Genuine question to any of our lurking comp sci nerds on the board, but is it any different than "hacking" someone's stock portfolio (and I realize I sound like a bad Hollywood screenwriter with how that question was posed)?

    Now granted I'm sure Coinbase and Kraken and whatever other rinky-dink exchanges are out there lack the cyber security infrastructure of your Fidelitys and Vanguards. But I would also expect that as bitcoin becomes more mainstream that that vulnerability begins to correct itself.
    · Share on FacebookShare on Twitter
  • backthepack
    backthepack Member Posts: 19,942
    creepycoug said:

    backthepack said:

    creepycoug said:

    Goduckies said:

    My reasoning is that gold is useful. Bitcoin can be replaced at any time and go to zero easily. Most other investment vehicles are either a product or commodity. Bit coin is neither. It's biggest advantage was to be able to hide the transaction from the feds, but they can even track it now. Also the growth is not based on anything real. It's just demand rises because people hear about it. Very much like a ponzi scheme.

    I would say the only difference between gold and Crypto is that gold has a natural supply limit and thus scarcity.

    Crypto? I have no idea. But it doesn’t sound like it.
    Different cryptos has different supply levels. Some are infinite. Some are set.
    Set how? By whom?
    The coders/creators of the currency. They set it how they want the crypto to behave.
    · Share on FacebookShare on Twitter
  • Bob_C
    Bob_C Member, Swaye's Wigwam Posts: 13,252 Founders Club
    Goduckies said:

    And again what is the purpose of bit coin? To hide transactions... well it can be tracked now so that purpose is more useless. There are plenty of other ways to money that are less costly and volatile. Problem with bitcoin is once a sell off starts there is no downside protection if you have a limit placed and it drops 20 to 30% there will be a lot more sell offs and you may not get your price and be left holding the bag, so you can't even 100% protect yourself that way. Add in the fact that it never turns off in trading and can go south any time 247 and it is a very dangerous investment imo.

    If it does become real competition for the dollar, which is plausible, what is preventing the US government from just deciding to shut it down? Not with laws, but by sabotage.
    · Share on FacebookShare on Twitter
  • Goduckies
    Goduckies Member Posts: 8,078 Standard Supporter
    GreenRiverGatorz said:

    HoustonHusky said:

    The scarcity issue with bitcoin is fine (there is a finite number of them) and the concept in theory is fine as a digital equivalent to gold.

    My problem with bitcoin is two-fold. 1) The holders...5 Chinese companies generate over half of the new bitcoin...in theory its brilliant as a transfer of assets. China burns coal to generate a shiteton of electricity to mine bitcoin, sell it on the open market to a bunch of Westerners for $$$. The concentration of assets of it as well is not comforting...most of the bitcoin are held by a relatively small number of people . 2) Security. Have a breach where a bunch of bitcoin get "stolen" and you'll see a massive correction in the price. I'm not a computer security guy, but it seems like stealing bitcoin electronically is a heck of a lot easier than trying to make off with a ton of gold, and as price appreciates the creativity of the crooks trying to do it goes up exponentially.

    With all of these assets they will go up in uncertain and/or money-printing times and go down when things are nice and stable. Seems like a good bet they won't be going down anytime soon...

    Interesting point of discussion. We're probably equally clueless when it comes to technical matters of cyber security, but my impression has always been that bitcoin can only be hacked to the extent that an individual exchange allows it to be. Genuine question to any of our lurking comp sci nerds on the board, but is it any different than "hacking" someone's stock portfolio (and I realize I sound like a bad Hollywood screenwriter with how that question was posed)?

    Now granted I'm sure Coinbase and Kraken and whatever other rinky-dink exchanges are out there lack the cyber security infrastructure of your Fidelitys and Vanguards. But I would also expect that as bitcoin becomes more mainstream that that vulnerability begins to correct itself.
    Stock portfolios are guaranteed by SIPC for hacks and fraud etc bitcoin you are just screwed... no help desk.
    · Share on FacebookShare on Twitter
  • Goduckies
    Goduckies Member Posts: 8,078 Standard Supporter
    Bob_C said:

    Goduckies said:

    And again what is the purpose of bit coin? To hide transactions... well it can be tracked now so that purpose is more useless. There are plenty of other ways to money that are less costly and volatile. Problem with bitcoin is once a sell off starts there is no downside protection if you have a limit placed and it drops 20 to 30% there will be a lot more sell offs and you may not get your price and be left holding the bag, so you can't even 100% protect yourself that way. Add in the fact that it never turns off in trading and can go south any time 247 and it is a very dangerous investment imo.

    If it does become real competition for the dollar, which is plausible, what is preventing the US government from just deciding to shut it down? Not with laws, but by sabotage.
    It's already being manipulated now by the chicoms
    · Share on FacebookShare on Twitter
  • PurpleThrobber
    PurpleThrobber Member Posts: 48,511 Standard Supporter
    Goduckies said:

    Bob_C said:

    Goduckies said:

    And again what is the purpose of bit coin? To hide transactions... well it can be tracked now so that purpose is more useless. There are plenty of other ways to money that are less costly and volatile. Problem with bitcoin is once a sell off starts there is no downside protection if you have a limit placed and it drops 20 to 30% there will be a lot more sell offs and you may not get your price and be left holding the bag, so you can't even 100% protect yourself that way. Add in the fact that it never turns off in trading and can go south any time 247 and it is a very dangerous investment imo.

    If it does become real competition for the dollar, which is plausible, what is preventing the US government from just deciding to shut it down? Not with laws, but by sabotage.
    It's already being manipulated now by the chicoms
    Are we talking bitcoin or election results?

    I know - take that to the Tug

    · Share on FacebookShare on Twitter
  • Goduckies
    Goduckies Member Posts: 8,078 Standard Supporter
    Bob_C said:

    Goduckies said:

    And again what is the purpose of bit coin? To hide transactions... well it can be tracked now so that purpose is more useless. There are plenty of other ways to money that are less costly and volatile. Problem with bitcoin is once a sell off starts there is no downside protection if you have a limit placed and it drops 20 to 30% there will be a lot more sell offs and you may not get your price and be left holding the bag, so you can't even 100% protect yourself that way. Add in the fact that it never turns off in trading and can go south any time 247 and it is a very dangerous investment imo.

    If it does become real competition for the dollar, which is plausible, what is preventing the US government from just deciding to shut it down? Not with laws, but by sabotage.
    It's already being manipulated now by the chicoms
    PurpleThrobber said:

    Goduckies said:

    Bob_C said:

    Goduckies said:

    And again what is the purpose of bit coin? To hide transactions... well it can be tracked now so that purpose is more useless. There are plenty of other ways to money that are less costly and volatile. Problem with bitcoin is once a sell off starts there is no downside protection if you have a limit placed and it drops 20 to 30% there will be a lot more sell offs and you may not get your price and be left holding the bag, so you can't even 100% protect yourself that way. Add in the fact that it never turns off in trading and can go south any time 247 and it is a very dangerous investment imo.

    If it does become real competition for the dollar, which is plausible, what is preventing the US government from just deciding to shut it down? Not with laws, but by sabotage.
    It's already being manipulated now by the chicoms
    Are we talking bitcoin or election results?

    I know - take that to the Tug

    Both
    · Share on FacebookShare on Twitter
  • doogie
    doogie Member Posts: 15,072
    Goduckies said:

    GreenRiverGatorz said:

    HoustonHusky said:

    The scarcity issue with bitcoin is fine (there is a finite number of them) and the concept in theory is fine as a digital equivalent to gold.

    My problem with bitcoin is two-fold. 1) The holders...5 Chinese companies generate over half of the new bitcoin...in theory its brilliant as a transfer of assets. China burns coal to generate a shiteton of electricity to mine bitcoin, sell it on the open market to a bunch of Westerners for $$$. The concentration of assets of it as well is not comforting...most of the bitcoin are held by a relatively small number of people . 2) Security. Have a breach where a bunch of bitcoin get "stolen" and you'll see a massive correction in the price. I'm not a computer security guy, but it seems like stealing bitcoin electronically is a heck of a lot easier than trying to make off with a ton of gold, and as price appreciates the creativity of the crooks trying to do it goes up exponentially.

    With all of these assets they will go up in uncertain and/or money-printing times and go down when things are nice and stable. Seems like a good bet they won't be going down anytime soon...

    Interesting point of discussion. We're probably equally clueless when it comes to technical matters of cyber security, but my impression has always been that bitcoin can only be hacked to the extent that an individual exchange allows it to be. Genuine question to any of our lurking comp sci nerds on the board, but is it any different than "hacking" someone's stock portfolio (and I realize I sound like a bad Hollywood screenwriter with how that question was posed)?

    Now granted I'm sure Coinbase and Kraken and whatever other rinky-dink exchanges are out there lack the cyber security infrastructure of your Fidelitys and Vanguards. But I would also expect that as bitcoin becomes more mainstream that that vulnerability begins to correct itself.
    Stock portfolios are guaranteed by SIPC for hacks and fraud etc bitcoin you are just screwed... no help desk.
    GUARANTEED by the SIPC

    LOL

    sure.gif
    · Share on FacebookShare on Twitter
  • creepycoug
    creepycoug Member Posts: 24,278
    backthepack said:

    creepycoug said:

    backthepack said:

    creepycoug said:

    Goduckies said:

    My reasoning is that gold is useful. Bitcoin can be replaced at any time and go to zero easily. Most other investment vehicles are either a product or commodity. Bit coin is neither. It's biggest advantage was to be able to hide the transaction from the feds, but they can even track it now. Also the growth is not based on anything real. It's just demand rises because people hear about it. Very much like a ponzi scheme.

    I would say the only difference between gold and Crypto is that gold has a natural supply limit and thus scarcity.

    Crypto? I have no idea. But it doesn’t sound like it.
    Different cryptos has different supply levels. Some are infinite. Some are set.
    Set how? By whom?
    The coders/creators of the currency. They set it how they want the crypto to behave.
    Can they reset it?
    · Share on FacebookShare on Twitter
  • Goduckies
    Goduckies Member Posts: 8,078 Standard Supporter
    doogie said:

    Goduckies said:

    GreenRiverGatorz said:

    HoustonHusky said:

    The scarcity issue with bitcoin is fine (there is a finite number of them) and the concept in theory is fine as a digital equivalent to gold.

    My problem with bitcoin is two-fold. 1) The holders...5 Chinese companies generate over half of the new bitcoin...in theory its brilliant as a transfer of assets. China burns coal to generate a shiteton of electricity to mine bitcoin, sell it on the open market to a bunch of Westerners for $$$. The concentration of assets of it as well is not comforting...most of the bitcoin are held by a relatively small number of people . 2) Security. Have a breach where a bunch of bitcoin get "stolen" and you'll see a massive correction in the price. I'm not a computer security guy, but it seems like stealing bitcoin electronically is a heck of a lot easier than trying to make off with a ton of gold, and as price appreciates the creativity of the crooks trying to do it goes up exponentially.

    With all of these assets they will go up in uncertain and/or money-printing times and go down when things are nice and stable. Seems like a good bet they won't be going down anytime soon...

    Interesting point of discussion. We're probably equally clueless when it comes to technical matters of cyber security, but my impression has always been that bitcoin can only be hacked to the extent that an individual exchange allows it to be. Genuine question to any of our lurking comp sci nerds on the board, but is it any different than "hacking" someone's stock portfolio (and I realize I sound like a bad Hollywood screenwriter with how that question was posed)?

    Now granted I'm sure Coinbase and Kraken and whatever other rinky-dink exchanges are out there lack the cyber security infrastructure of your Fidelitys and Vanguards. But I would also expect that as bitcoin becomes more mainstream that that vulnerability begins to correct itself.
    Stock portfolios are guaranteed by SIPC for hacks and fraud etc bitcoin you are just screwed... no help desk.
    GUARANTEED by the SIPC

    LOL

    sure.gif
    I bet you don't even know what SIPC is, Mut
    · Share on FacebookShare on Twitter