We gonna talk about BitCoin?

If you want a good gold stock, I suggest Bre-X.

Aviation angle too even.
 
TangoWhiskey said:
Silkroad 2 hacked. $2M of bitcoins in escrow stolen.

http://techcrunch.com/2014/02/13/silk-road-2-hacked-88000-bitcoin-allegedly-stolen/
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Update 2:

As the time passes there are more and more suspicions that this was in fact a SCAM by the Silk Road staff – and not a hack, we will post more details about it once, and if we get the full picture.
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Source (slow to load): http://www.deepdotweb.com/2014/02/13/silk-road-2-hacked-bitcoins-stolen-unknown-amount/
 
So, anonymous administrators of anonymous sites managing anonymous digital currency are making off with real money from anonymous clients? I'm shocked I tell you...SHOCKED!


Sent from my iPad using Tapatalk
 
ggroves said:
So, anonymous administrators of anonymous sites managing anonymous digital currency are making off with real money from anonymous clients? I'm shocked I tell you...SHOCKED!


Sent from my iPad using Tapatalk
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Who could have seen that coming? :dunno: :yikes:

John
 
ggroves said:
So, anonymous administrators of anonymous sites managing anonymous digital currency are making off with real money from anonymous clients? I'm shocked I tell you...SHOCKED!


Sent from my iPad using Tapatalk
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Damn you...you stole my response!

Except, I would have said "anonymous sites, designed to break the law"
 
As the time passes there are more and more suspicions that this was in fact a SCAM by the Silk Road staff – and not a hack, we will post more details about it once, and if we get the full picture.
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Yeah, because people who run illegal operations are ALWAYS careful about documenting where the money (real or virtual) of their criminal customers ends up.
 
JeffDG said:
Damn you...you stole my response!

Except, I would have said "anonymous sites, designed to break the law"
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Who would have thought that websites and a currency that supports criminals would be ripped off by criminals.
 
Henning said:
Who would have thought that websites and a currency that supports criminals would be ripped off by criminals.
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It's not like criminals didn't rip off other criminals with regular currency, or hell, even good old fashioned Au and Ag.
 
MAKG1 said:
It's a decent bet that "gold stocks" will amplify the behavior. I.e., gold itself may lose half its value in a "correction," but that stock will become utterly worthless.
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Stock is technically always worthless. Or more accurately, only worth what someone believes it's worth.

Of course, same thing with currency of any sort.
 
denverpilot said:
Stock is technically always worthless. Or more accurately, only worth what someone believes it's worth.

Of course, same thing with currency of any sort.
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Not quite......

Stock should represent the owner's equity of the organization, at a minimum. Sell the assets, pay the liabilities, and the leftover $$$$ are the value of the stock. Sometimes known as Book Value.

I own stock in private, non-traded companies and we can calculate value without having to find another party to see what they "believe" it to be worth.
 
Ah, the demise of bitcoin is being greatly exaggerated. My understanding of some of these sites is that they are used for..... ahem...... less than legal endeavors. The premise of bitcoin is that you control the security of your bitcoin via a schema that is nearly impossible to crack.

These less than scrupulous sites, catering to a tough crowd, agree to manage your "transactions" with the caveat that you give them full control over your bitcoin, almost like a broker/client relationship. What happens is you have a criminal element in charge of your criminal booty when lo and behold their site gets hacked, something that is nearly impossible to do. Your booty is gone, generally taken by those you entrusted it to.

There is a moral to this story, I'll leave it to you to figure out. Some will say the moral is to avoid bitcoin, which may be correct, but it is looking like bitcoin, or some derivative is here to stay, time will tell.
 
denverpilot said:
Stock is technically always worthless. Or more accurately, only worth what someone believes it's worth.
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By that logic, everything is technically always worthless, because everything is only worth what someone believes it's worth.
 
The first publicly trade bitcoin ETFs are being created for sale in a couple of months.
 
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JoseCuervo said:
Not quite......

Stock should represent the owner's equity of the organization, at a minimum. Sell the assets, pay the liabilities, and the leftover $$$$ are the value of the stock. Sometimes known as Book Value.

I own stock in private, non-traded companies and we can calculate value without having to find another party to see what they "believe" it to be worth.
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Bonds are paid before stocks in almost all cases, if and when a company utilizes them.

Stockholders get what's left. Or they send big money lawyers to the bankruptcy car wash court to argue for a little bigger piece of the dead entity when it goes Tango Uniform.

Plus few public stocks trade at 1:1 P/E. They're almost all "valued" at well more than the company's assets are worth, and even multiples more than the company's predicted future earnings are expected to be.

It's really really rare to see a public stock valued where the investor would expect to receive anything but pennies on the dollar if the company folds.
 
denverpilot said:
Bonds are paid before stocks in almost all cases, if and when a company utilizes them.

Stockholders get what's left. Or they send big money lawyers to the bankruptcy car wash court to argue for a little bigger piece of the dead entity when it goes Tango Uniform.

Plus few public stocks trade at 1:1 P/E. They're almost all "valued" at well more than the company's assets are worth, and even multiples more than the company's predicted future earnings are expected to be.

It's really really rare to see a public stock valued where the investor would expect to receive anything but pennies on the dollar if the company folds.
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You are mixing all sorts of things in here now. Bonds are in the liabilities section of the Balance Sheet, so, if you look at my post, they are subtracted from the Assets, resulting in the Equity number.

You can also have companies that seriously understate the assets (lots of old line retail is like that due to Real Estate being on the books at cost).

And there is no requirement to now discuss "public stocks" as all companies, public and private have stock, and it makes your original comment not too accurate. I am involved in several private companies that the stock hAS value and there is no requirement to find another party to say what it is worth or make a bid, nor would it be "pennies on the dollar". We could easily convert the inventory to cash in a very short time period, pay the Acccounts Payable, and disperse the remainder to the shareholders without taking any sort of loss.

And I can't imagine why you mention 1:1P/E companies and then explain it as a measure of the company's assets.

Again, thee is no need to think all shares are worthless and only value is what somebody else will pay you for them. Unlike a currency / bit coin, there can be an intrinsic value to stock, each company would be unique, but they share the same traits that allow one to assign a value.
 
More bad news. There is finally admission millions of bit coins were stolen over a year ago!
Remember, there is never one cockroach.

Best,

Dave
 
:popcorn:Hmmmm.

http://news.yahoo.com/bitcoin-exchange-mt-gox-39-website-down-053727771--sector.html

OKYO (Reuters) - Mt. Gox, once the world's biggest bitcoin exchange, looked to have essentially disappeared on Tuesday, with its website down, its founder unaccounted for and a Tokyo office empty bar a handful of protesters saying they had lost money investing in the virtual currency.
The digital marketplace operator, which began as a venue for trading cards, had surged to the top of the bitcoin world, but critics - from rival exchanges to burned investors - said Mt. Gox had long been lax over its security.
It was not clear what has become of the exchange, which this month halted withdrawals indefinitely after detecting "unusual activity." A global bitcoin organization referred to the exchange's "exit," while angry investors questioned whether it was still solvent.
 
Don't think we are ready for another currency just yet.
 
I don't want to talk about BitCoin anymore.


:hairraise:
 
bnt83 said:
its founder unaccounted for
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I'd bet a BitCoin that over the course of the previous year, it's "founder" figured out a way to monetize the holdings into offshore, island bank accounts. He's probably sipping champagne, at 40,000 feet, winging his way to a predetermined, isolated island retreat somewhere without extradition laws.

Personally, I'd start in the Maldives.

Suckers......
 
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Eh...badly run banks run using traditional currencies fail, too. If there were early warnings about lax security or questionable management, depositors should have acted sooner.

I suspect we'll see more stories like this, but I also believe the day will soon come when independent, digital currencies are considered as safe as traditional currencies managed by corrupt governments inflating their way out of debt.
 
Yeah, it hurts to watch your money get swindled and then imagining some guy is laughing at you while he's doing the best coke off a bunch of gorgeous hookers tits with your money.

Gold and silver won't do that to you. Bankers and Bitcoiners will.
 
400 million missing??? Someone is having a good time.
 
Is it really missing or did it ever exist? It was just computerized money, no real value, right? Wasn't it worth almost nothing a couple years ago, before drug dealers and other crimminals figured out a way to use it for their transactions??:confused:
I mean if I start "John Money" and people paid $1.00 per coin and 5 years later people were paying $100,000.00 per coin, what is it really worth, $1.00 or $100,000.00 and if it's gone how much are you out? :D
I'm glad I didn't get into this mess, not that most folks didn't see this coming at some point. :rolleyes:
frfly172 said:
400 million missing??? Someone is having a good time.
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lionclaw said:
...Basically, there are only 3 ways someone can steal your bitcoins. They can (1) hack your computer or trick you into providing them your wallet file, they can (2) forge transactions in the block chain if they can take over 51%+ of the network (unlikely), or they can (3) find a method of deriving the prime numbers used to generate the private key from the public key (also unlikely)...
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lionclaw said:
...I challenge anyone to develop a convincing argument that bitcoin is inferior to USD...
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:rofl:
 
lionclaw said:
Basically, there are only 3 ways someone can steal your bitcoins. They can (1) hack your computer or trick you into providing them your wallet file, they can (2) forge transactions in the block chain if they can take over 51%+ of the network (unlikely), or they can (3) find a method of deriving the prime numbers used to generate the private key from the public key (also unlikely).
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Apparently, there was a fourth way.

Basically, there was a weakness at Mt. Gox that would allow a double-withdrawl on a transaction. Think of an ATM that hands out two $20 bills when you've only asked for one. How long do you think it would take for people to empty it out?

I bet Mt. Gox is empty. Whether or not Fort Knox is, that's another question. :rofl:

More nerdery, for those inclined:

http://developers.slashdot.org/stor...in-protocol-flaw-to-blame-for-mt-gox-problems

http://blog.blockchain.info/2014/02/10/dear-blockchain-users/
 
Imagine that, thieves stealing from thieves as well as the stupid and greedy. Everybody loses all their money eventually.
 
The best part of the article!!:rofl::rofl:

Investors with bitcoins tied up at Mt. Gox have flown from as far away as the U.K. to protest outside the exchange’s offices. Some investors say they have contacted the Financial Services Agency, Japan’s banking watchdog, to ask regulators whether there are any rules protecting Mt. Gox customers. :mad2:




Dave Siciliano said:
Mr. Gox receives Subpoena from Federal prosecutor according to WSJ. Some of the folks that have funds at risk are asking if there is any protection for them from the government agency in Japan (g)
http://www.forexlive.com/blog/2014/02/26/mt-gox-served-with-u-s-federal-subpoena-wsj/

Best,

Dave
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