What's amazing is that someone apparently fabbed $400 million worth of custom chips to mine bitcoins.
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John Larkin Highland Technology, Inc picosecond timing precision measurement
jlarkin att highlandtechnology dott com
Should I be selling bitcoins (I don't own any, I could short them, but money-wise I'm conservative.)
George H.
If you are an investment conservative you should *never* short anything. When you invest by buying a stock you have a limited loss of your investment, but in theory unlimited potential for profit. When you short a stock the opposite is true, you can only make as much profit as you have sold (by buying it back at zero cost) but the potential for loss is
*unlimited*!!! If the stock doubles or triples in value you will lose that amount.There is nothing conservative about selling a stock short. It is a high risk investment.
Anyway, I don't think mining bitcoins makes the rest less valuable. Each bitcoin they find makes any new finds that much harder. So the effort required to find new bitcoin will always increase as the supply expands.
Do you really think the people ponying up $400 million to mine bitcoin hasn't done their homework and is just doing this on a lark?
-- Rick C Viewed the eclipse at Wintercrest Farms, on the centerline of totality since 1998
you can always buy a hedge to limit your losses.
(IIRC!!!!) At the moment bit coin is at a low. So if anything you should buy and hold. Note the 'if anything', bit coin is being plagued by Internet theft which adds more uncertainty to their value AND with the FBI, Interpol etc confiscating and retiring large amounts in raids on deep web black markets it also reduces the desirability of the coin for transactions, hence reducing upward pressure on the price. But all said and done free financial advice is often worth exactly what it costs.
If it was me I would get in on the newest digital currency. Mine it while it is still not expensive to do and then dump it as the price had up-ticked enough to make a reasonable profit.
-- The latest set of Shadow Broker tools shows the UK, USA, Canada, Australian and New Zealand spy agencies were hacking into domestic home routers. Who gave them permission to spy on our kids?
A very basic law discovered by Marx kicks in. A commodity commands a price that equals the labour that goes into it, at least in the long(ish) run. So a bitcoin will cost about as much as the electricity spent in producing it. Bitcoins value is much more stable as you may think.
Groetjes Albert
-- Albert van der Horst, UTRECHT,THE NETHERLANDS Economic growth -- being exponential -- ultimately falters. albert@spe&ar&c.xs4all.nl &=n http://home.hccnet.nl/a.w.m.van.der.horst
Such as land? Or gold? Or an untapped oil field? And of course
10-year-old cars are worth more than new ones, for the same reason--all those repairs add value, don't they?If anybody wants it in 5 years. Once governments get their hands on it, it ceases to allow escape from capital controls and rigged exchange rates, so (apart from crime) what use is it?
Cheers
Phil Hobbs
-- Dr Philip C D Hobbs Principal Consultant ElectroOptical Innovations LLC / Hobbs ElectroOptics Optics, Electro-optics, Photonics, Analog Electronics Briarcliff Manor NY 10510 http://electrooptical.net http://hobbs-eo.com
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