Bitcoin?

[Egidijus Zeromskis]

Re: Bitcoin?

How much is the CFC membership in those bits? LOL

[Ken MacDonald]

Re: Bitcoin?

I have never understood BITCOIN currency, but, somehow it feels like a bubble of some kind. What happens when no one will accept payment that way any longer and what would it take to have that happen? If no entity stands behind the currency, where are the guarantees? What am I missing? Tutorial wanted.

Thanks!

An interesting commentary from CNBC!

http://www.cnbc.com/id/101192216

[Andy Shaw]

Re: Bitcoin?

What exactly is bitcoin mining? What do you actually need to do to acquire bitcoin?

[David Ottosen]

Re: Bitcoin?

What exactly is bitcoin mining? What do you actually need to do to acquire bitcoin?

http://lmgtfy.com/?q=what+is+bitcoin+mining

[Andy Shaw]

Re: Bitcoin?

http://lmgtfy.com/?q=what+is+bitcoin+mining

It doesn't tell me exactly what bitcoin mining actually is. The physical process of what I am doing.

[Ken MacDonald]

Re: Bitcoin?

It doesn't tell me exactly what bitcoin mining actually is. The physical process of what I am doing.

I read somewhere that it involves computer mathematical calculations (mining?). I also read that specific computers were being offered/sold with amazing power to do these calculations, very powerful. My memory being what it is, I think I also read that even those very powerful computers were not paying their way, i.e., not able to earn enough to pay for the cost of the computer. I have no idea where I read all this, maybe even from some link posted above?

[Andy Shaw]

Re: Bitcoin?

I read somewhere that it involves computer mathematical calculations (mining?). I also read that specific computers were being offered/sold with amazing power to do these calculations, very powerful. My memory being what it is, I think I also read that even those very powerful computers were not paying their way, i.e., not able to earn enough to pay for the cost of the computer. I have no idea where I read all this, maybe even from some link posted above?

Yes, I guess the crux of my question was what exactly these "computer mathematical calculations" were. Google isn't cooperating with me.

[Ken MacDonald]

Re: Bitcoin?

Folks, any thoughts on bitcoin?

On the news last night, the first ever Bitcoin ATM goes into service today in Vancouver!

http://video.foxbusiness.com/v/28984...tcmp=obnetwork

[Rene Preotu]

Re: Bitcoin?

China has banned its banks from handling transactions involving the Bitcoin virtual currency.

http://www.bbc.co.uk/news/technology-25233224

[Bob Armstrong]

Bitcoin Explained

From Wikipedia:

"Bitcoin" is an open source peer-to-peer payment network and digital currency introduced in 2009 by pseudonymous developer "Satoshi Nakamoto".[7] Bitcoin has been called a cryptocurrency because it uses cryptography to secure funds.[8][9] Transactions transfer bitcoins, the unit of currency, between Bitcoin addresses derived from crytographic public keys. To spend the funds associated with an address, a user must broadcast a payment message digitally signed with the associated private key. Transactions are verified by a decentralized network of computers all over the world.[10] Specialized computers use a proof-of-work system to prevent people from copying and spending the same bitcoin multiple times, a problem for digital currencies known as double-spending. The operators of these computers, known as "miners", are rewarded with transaction fees and newly minted bitcoins.[11]

A collection of addresses and their associated private keys is known as a wallet. These may be stored online on the web, on local hardware (like a personal computer or mobile device), or on paper print-outs. Thefts of bitcoins from online wallets have been covered in the media, prompting assertions that the safest way to store bitcoins is in a paper wallet generated by the owner on an uncompromised computer[12].

In 2012, The Economist reasoned that Bitcoin has been popular because of "its role in dodgy online markets",[13] and in 2013 the FBI shut down one such service, Silk Road, which specialized in illegal drugs (whereupon the FBI took control of approximately 1.5% of all bitcoins in circulation).[14] However, Bitcoins are increasingly used as payment for legitimate products and services, and merchants have an incentive to accept the currency because transaction fees are lower than the 2 to 3% typically imposed by credit card processors.[15] Notable vendors include OkCupid, Reddit, and WordPress.

Speculators have been attracted to Bitcoin, fueling volatility and price swings. As of November 2013, the use of Bitcoin in the retail and commercial marketplace is relatively small compared with a relatively large use by speculators.[16]

Bob A

[Neal Pan]

Re: Bitcoin Explained

So, nothing is backing BitCoin up? I guess it could be like a tulip craze, except that it doesn't physically exist.
who knows....

[Bob Armstrong]

Bitcoin Backing

So, nothing is backing BitCoin up? I guess it could be like a tulip craze, except that it doesn't physically exist.
who knows....

Hi Neal:

I surmise that what is backing it up is the will of the collectivity (all those using it) to go outside the traditional monetary system. It flies because every user commits to accepting and using its designated value at any time (and it is very fluctuating, due to speculators). This has wings, I think.

But the collective must find a way of dampening the effect of speculation as a driver of value. This would engender confidence in a conservative public that is skeptical of the new system, due to "risk" (associated with wide fluctuation, like penny stocks, I think).

Bob A

[Ken MacDonald]

Re: Bitcoin?

Folks, any thoughts on bitcoin?

On the news last night, the first ever Bitcoin ATM goes into service today in Vancouver!

http://www.foxnews.com/tech/2013/12/...ntcmp=features

[Ken MacDonald]

Re: Bitcoin?

http://www.foxnews.com/us/2013/12/14...n-for-bitcoin/

[Jedup I]

Re: Bitcoin?

I want to be given a currency that doesn't include having 75% taken away in (in)direct taxation.