Wall Street set to pour money into Bitcoin (NY Times)

[gla22]

I really doubt bitcoin speculators would get a bailout. Only 12B market cap. I don't think you guys realize how small bitcoin still is.

[The Dharma Bum]

Well, due to the nature of decentralized currency a bail out would be sort of a non-sequitur. What are they going to do, reimburse everyone for the bitcoin they lose during "bitcoin apocalypse"?

I think the interesting point is that cryptocurrencies represent an evolution in transacting business and people are still thinking in terms of what they understand about the current economy. With these currencies there is no need to store your money in a bank and it's totally free to send it back and forth. No ATM fees, no hidden charges, it can all be transacted over your mobile device. So many of the institutions we are used to will become irrelevant.

Even if the ultimate value of one XBT stabilizes at a much lower level, which I fully expect it will, I think it is here to stay because it is a totally useful application.

I'm playing the XBT/LTC currency pair short right now, for example. When my next trade executes I will have almost 100% profit after series of smaller trades back in forth to get into position to profit. Now all I have to do is wait for LTC to drop a bit and trigger my trade. It's only a matter of time until I get my target on that order.

[eric]

"What are they going to do, reimburse everyone for the bitcoin they lose during "bitcoin apocalypse? "

f**k lol

[spacemonkey]

Will investors in bitcoin who actually profit be paid in bitcoin, or regular fake money?

[The Dharma Bum]

[The Dharma Bum]

http://www.zerohedge.com/news/2013-12-0 ... as-arrived

XBT derivative market has arrived. So solutions to volatility are already being developed.

Nice.

[The Dharma Bum]

Cameron Winklevoss says that he looks at XBT not as a currency or a speculative vehicle, but a "commodity currency". He also predicts that if XBT goes to a 400 BN market cap XBT will se 40K or higher.

http://www.coindesk.com/cameron-winklev ... price-40k/

A very interesting assessment. I think "commodity currency" describes the XBT phenomena quite well. It probably won't be the digital currency that goes online for general use but it will be the standard against which all other cryptos are valued.

In the short term:
XBT is cheap today so you can get a bargain.

[The Dharma Bum]

If you don't like cryptocurrency but you want to learn to trade for real on the world currency market through FOREX this course is pretty cool:
http://www.babypips.com/school

I'm taking it right now. It's free

[Winchester]

Other than as a currency hedge (for those doing business/trade with foreign partners) why would one want to trade for real on the world currency market because I can guarantee the average Joe, even if they took an online course, will be swimming with the sharks and will get eaten alive. Sure one might get lucky, but that's all it is.

Hubris goeth before a fall.

[eric]

Yeah basically trading currency or stocks, and not being able to devote full time for it is for fools over the long term. You can't keep up with professionals. You'll get your ass handed to you.