Bitcoin Flash Crashes, Drops By 80% In Seconds by Tyler Durden
Now that Bitcoin exchange Mt.Gox has terminally discredited itself following the latest, and likely last, withdrawal halt announced late last week which sent the value of Bitcoin tumbling by 25%, Bitcoin traders are left with just two exchange options on which to transact: BTC-e and Bitstamp.
And for those using the former to buy and sell the virtual digital currency, things went from bad to worse a few short hours ago, when Bitcoin had its very own "Waddell and Reed" moment, when the price of Bitcoin cratered by over 80% in the span of seconds, after a modest block of just under 6000 Bitcoins sent the price plunging from over $600 to $102.
source: Zero Hedge
http://www.zerohedge.com/news/2014-02-1 ... 80-seconds
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Digital Currencies incl NFT etc. 01; (Feb 14 - Apr 21)
Digital Currencies incl NFT etc. 01; (Feb 14 - Apr 21)
by winston » Tue Feb 11, 2014 6:39 am
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
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Bitcoins
by iam802 » Tue Feb 25, 2014 10:53 pm
Apparent collapse of Mt. Gox exchange threatens Bitcoin economy
http://www.latimes.com/business/technol ... z2uLV1GyU5
http://www.latimes.com/business/technol ... z2uLV1GyU5
1. Always wait for the setup. NO SETUP; NO TRADE
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
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Re: Bitcoins
by iam802 » Wed Feb 26, 2014 11:12 pm
Bitcoin's Mt. Gox Goes Offline, Loses $409M -- Recovery Steps and Taking Your Tax Losses
http://www.forbes.com/sites/cameronkeng ... ax-losses/
[quote]
Mt. Gox’s recent troubles are circulating like wildfire. Its repercussions are being felt throughout the world. Mt. Gox was the most public and well-known brand that represented Bitcoin’s exchange market. The company’s shutdown is rumored to be caused by a “hack” or “security breach” that resulted in a loss up to 744,000 BTC or $409,200,000. (Based on the approximate value just hours ago from Coindesk.com) This is truly an unfortunate event that has caused the international community to shake its trust in Bitcoin as evidenced by the massive price drop. This is par for the course, when a pillar in the community falls in such a funeral pyre. The best parallel would be the Bear Stearns’ failure during the 2008 global financial crisis. Hopefully, Bitcoin won’t follow in the financial system’s footsteps post-Bear Stearns.
This Not The First Time
Mt. Gox was suspected to be hacked before to the tune of 400,000 Bitcoins (Today worth $220,000,000) in 2011. At the time of the incident the bitcoins were only worth $9 million, Hackers attempted to sell $9 million worth of bitcoins simultaneous on the Mt. Gox network and it caused the market price crashing to zero, before Mark Karpeles, CEO of Mt. Gox, shutdown the exchange. Mt. Gox was able to recover from this by publicly apologizing and by reimbursing the lost funds. This was an amount that the company was able to reimburse, but the most recent breach eclipses the 2011 incident and the company is unable to make the same promise again.
Mt. Gox is not the only company to face these problems. Companies such as MyBitcion lost 154,406 Bitcoins (Today worth $84,923,300) in an attack in 2011 and Bitcoinica lost 43,554 (Today worth $23,954,700) in an attack in 2012. There are a multitude of these incidents, so it is unfair to lay the blame solely on Mt.Gox. Financial institutions are targets that constantly under attack by unscrupulous individuals. It is a difficult position for any person or company to withstand.
Focusing On Next Steps
Insurance
Over one million people were Mt. Gox customers and they need to know what their immediate options are to deal with their financial losses. First, it’s important to understand that Mt. Gox is not a bank and it does not protect its users with a system similar to the FDIC or Federal Deposit Insurance Corporation. This means that there isn’t a neutral third-party protecting the money you held at Mt. Gox. The FDIC provides insurance up to $250,000 on deposits in bank accounts to help assure us that our money won’t evaporate, if the bank shuts down like Mt. Gox.
Mt. Gox. could have provided the same service by purchasing a separate insurance policy on their BTC deposits. The insurance would’ve been on behalf of the one million users that have lost $409.2 million overnight. Unfortunately, Mt. Gox does not provide insurance or any assurances for a user’s account. Thus, we’re left in the wind – cold and unprotected.
Lawsuit
Can we sue or file a claim against Mt. Gox? Suing Mt. Gox would require an international lawsuit filed under Japanese law, where the company is headquartered and registered by the Tokyo Chamber of Commerce. Realistically, it won’t be worth our time or money to go after the company. It’s unlikely that there will be enough assets held within the company to pay off any substantial or meaningful portion of the lost bitcoins. The legal fees would probably balloon into the millions and swallow what’s left of the fallen company.
What about the officers like Mark Karpeles, CEO? It would really depend on how Japanese laws would handle the situation. In the United States, we wouldn’t be able to pierce the corporate veil unless we were able to show gross negligence or some sign of personal fault. Assuming we were able to obtain a judgment against officers like Mark Karpeles, it is still unlikely that we’d be able to reclaim any amount even close to the $409.2 million.
What Now? Taking Your Losses And Tax Benefits
The single silver lining here is that Americans that fell in this disaster will at least be able to use their losses to help lower their tax burdens. United States tax law allows capital gain losses to be rolled forward without a statute of limitation. Thus, your Bitcoin losses will be deductible forever until you’ve used them all. This means that the $409.2 million is worth a potential $122.8 million in tax refunds.
We’ve already discussed in previous articles that bitcoins are classified as assets used as an investment by most of the Bitcoin community. Thus, taking your capital gain losses is just part of that process. You’re permitted to take up to $3,000 in capital losses per year to deduct against your personal income “above the line,” until you’ve exhausted all of your capital losses. (This is a very good thing!) I can’t say that this will give much solace to people that lost their accounts at Mt. Gox or the bitcoin community, but I hope that this gives them some measure of good news.
Conclusion
Mt. Gox’s failure is not the end of Bitcoin. It is a single company failing in a large ecosystem. The other major pillars in the community such as Coinbase, Kraken, Bitstamp, BTC China, Blockchain.info and Circle have issued public statements reiterating my thoughts. Bitcoin has taken a stumble, but it is up to the community to determine whether this is a scrape they can recover from. But, it’s important to realize that all wounds heal given enough time.
http://www.forbes.com/sites/cameronkeng ... ax-losses/
[quote]
Mt. Gox’s recent troubles are circulating like wildfire. Its repercussions are being felt throughout the world. Mt. Gox was the most public and well-known brand that represented Bitcoin’s exchange market. The company’s shutdown is rumored to be caused by a “hack” or “security breach” that resulted in a loss up to 744,000 BTC or $409,200,000. (Based on the approximate value just hours ago from Coindesk.com) This is truly an unfortunate event that has caused the international community to shake its trust in Bitcoin as evidenced by the massive price drop. This is par for the course, when a pillar in the community falls in such a funeral pyre. The best parallel would be the Bear Stearns’ failure during the 2008 global financial crisis. Hopefully, Bitcoin won’t follow in the financial system’s footsteps post-Bear Stearns.
This Not The First Time
Mt. Gox was suspected to be hacked before to the tune of 400,000 Bitcoins (Today worth $220,000,000) in 2011. At the time of the incident the bitcoins were only worth $9 million, Hackers attempted to sell $9 million worth of bitcoins simultaneous on the Mt. Gox network and it caused the market price crashing to zero, before Mark Karpeles, CEO of Mt. Gox, shutdown the exchange. Mt. Gox was able to recover from this by publicly apologizing and by reimbursing the lost funds. This was an amount that the company was able to reimburse, but the most recent breach eclipses the 2011 incident and the company is unable to make the same promise again.
Mt. Gox is not the only company to face these problems. Companies such as MyBitcion lost 154,406 Bitcoins (Today worth $84,923,300) in an attack in 2011 and Bitcoinica lost 43,554 (Today worth $23,954,700) in an attack in 2012. There are a multitude of these incidents, so it is unfair to lay the blame solely on Mt.Gox. Financial institutions are targets that constantly under attack by unscrupulous individuals. It is a difficult position for any person or company to withstand.
Focusing On Next Steps
Insurance
Over one million people were Mt. Gox customers and they need to know what their immediate options are to deal with their financial losses. First, it’s important to understand that Mt. Gox is not a bank and it does not protect its users with a system similar to the FDIC or Federal Deposit Insurance Corporation. This means that there isn’t a neutral third-party protecting the money you held at Mt. Gox. The FDIC provides insurance up to $250,000 on deposits in bank accounts to help assure us that our money won’t evaporate, if the bank shuts down like Mt. Gox.
Mt. Gox. could have provided the same service by purchasing a separate insurance policy on their BTC deposits. The insurance would’ve been on behalf of the one million users that have lost $409.2 million overnight. Unfortunately, Mt. Gox does not provide insurance or any assurances for a user’s account. Thus, we’re left in the wind – cold and unprotected.
Lawsuit
Can we sue or file a claim against Mt. Gox? Suing Mt. Gox would require an international lawsuit filed under Japanese law, where the company is headquartered and registered by the Tokyo Chamber of Commerce. Realistically, it won’t be worth our time or money to go after the company. It’s unlikely that there will be enough assets held within the company to pay off any substantial or meaningful portion of the lost bitcoins. The legal fees would probably balloon into the millions and swallow what’s left of the fallen company.
What about the officers like Mark Karpeles, CEO? It would really depend on how Japanese laws would handle the situation. In the United States, we wouldn’t be able to pierce the corporate veil unless we were able to show gross negligence or some sign of personal fault. Assuming we were able to obtain a judgment against officers like Mark Karpeles, it is still unlikely that we’d be able to reclaim any amount even close to the $409.2 million.
What Now? Taking Your Losses And Tax Benefits
The single silver lining here is that Americans that fell in this disaster will at least be able to use their losses to help lower their tax burdens. United States tax law allows capital gain losses to be rolled forward without a statute of limitation. Thus, your Bitcoin losses will be deductible forever until you’ve used them all. This means that the $409.2 million is worth a potential $122.8 million in tax refunds.
We’ve already discussed in previous articles that bitcoins are classified as assets used as an investment by most of the Bitcoin community. Thus, taking your capital gain losses is just part of that process. You’re permitted to take up to $3,000 in capital losses per year to deduct against your personal income “above the line,” until you’ve exhausted all of your capital losses. (This is a very good thing!) I can’t say that this will give much solace to people that lost their accounts at Mt. Gox or the bitcoin community, but I hope that this gives them some measure of good news.
Conclusion
Mt. Gox’s failure is not the end of Bitcoin. It is a single company failing in a large ecosystem. The other major pillars in the community such as Coinbase, Kraken, Bitstamp, BTC China, Blockchain.info and Circle have issued public statements reiterating my thoughts. Bitcoin has taken a stumble, but it is up to the community to determine whether this is a scrape they can recover from. But, it’s important to realize that all wounds heal given enough time.
1. Always wait for the setup. NO SETUP; NO TRADE
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
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iam802 - Big Boss
- Posts: 6353
- Joined: Wed May 07, 2008 1:14 am
Re: Bitcoins
by iam802 » Sat Mar 01, 2014 8:49 pm
1. Always wait for the setup. NO SETUP; NO TRADE
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
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iam802 - Big Boss
- Posts: 6353
- Joined: Wed May 07, 2008 1:14 am
Re: Bitcoins
by behappyalways » Tue Mar 04, 2014 8:17 pm
Who is the reclusive billionaire creator of Bitcoin?
http://www.telegraph.co.uk/technology/1 ... tcoin.html
http://www.telegraph.co.uk/technology/1 ... tcoin.html
血要热 头脑要冷 骨头要硬
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Re: Bitcoins
by iam802 » Fri Mar 07, 2014 10:25 am
My reading for Bitcoin. Vested with stop-loss in place.
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1. Always wait for the setup. NO SETUP; NO TRADE
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
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iam802 - Big Boss
- Posts: 6353
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Re: Bitcoins
by winston » Sat Mar 08, 2014 8:31 pm
Bitcoin: 10 things you need to know about the virtual currency
.
Bitcoin has attracted a lot of attention in recent months, for the wrong reasons. Wild price fluctuations, the collapse of Mt Gox, a leading bitcoin exchange, and more recently the death of Ms Autumn Radtke, the chief executive officer of bitcoin trader First Meta in Singapore, have thrown up serious doubts over its viability.
For better or worse, it looks like the crypto-currency is here to stay, at least for the foreseeable future, with the first bitcoin ATMs set up here and more retailers likely to accept it as payment.
1. Bitcoin is a virtual currency “minted” in 2009 by a computer programmer, or group of programmers, known only as Satoshi Nakamoto.
2. A computer programme controls the creation of bitcoins and all the transactions. It is not controlled by a central bank or governing body.
3. There are 12.2 million bitcoins in circulation and, according to how the programme is written, a maximum of 21 million bitcoins will be created.
4. Those who are part of the network that helps to verify bitcoin transactions are called miners, and they are rewarded for their services with bitcoins.
5. Regular consumers may also buy bitcoins online through exchanges or directly from other owners of the virtual currency. At the moment, 1 BTC (bitcoin) is selling for around US$670 (S$850).
6. Owners of bitcoins can trade them to make profits on the wild value fluctuations. When it was created in 2009, 1 BTC was worth less than 10 US cents. At the end of 2011, it was worth almost US$5. The price crossed the US$1,000 mark in November 2013, largely due to demand in China.
7. At the same time, owning bitcoins is risky as the currency is not guaranteed by any central bank. So 10 BTC today may be worth nothing tomorrow if online exchanges suddenly shut down, or buyers and businesses stop accepting them.
8. At least eight merchants in Singapore, including cafe Artistry in Jalan Pinang and 3-D printing company Meka, accept the digital currency as payment.
9. Payment involves launching an app on your mobile phone or computer and transferring bitcoins from your virtual wallet to the cafe’s virtual wallet.
10. The bitcoin is just one of many virtual currencies in the market. Others include peercoin, litecoin and ripple. Even the Royal Canadian Mint is jumping on the bitcoin bandwagon with its own MintChip, backed by the Canadian dollar.
SOURCES: THE STRAITS TIMES, THE BUSINESS TIMES, MY PAPER, HUFFINGTON POST
.
Bitcoin has attracted a lot of attention in recent months, for the wrong reasons. Wild price fluctuations, the collapse of Mt Gox, a leading bitcoin exchange, and more recently the death of Ms Autumn Radtke, the chief executive officer of bitcoin trader First Meta in Singapore, have thrown up serious doubts over its viability.
For better or worse, it looks like the crypto-currency is here to stay, at least for the foreseeable future, with the first bitcoin ATMs set up here and more retailers likely to accept it as payment.
1. Bitcoin is a virtual currency “minted” in 2009 by a computer programmer, or group of programmers, known only as Satoshi Nakamoto.
2. A computer programme controls the creation of bitcoins and all the transactions. It is not controlled by a central bank or governing body.
3. There are 12.2 million bitcoins in circulation and, according to how the programme is written, a maximum of 21 million bitcoins will be created.
4. Those who are part of the network that helps to verify bitcoin transactions are called miners, and they are rewarded for their services with bitcoins.
5. Regular consumers may also buy bitcoins online through exchanges or directly from other owners of the virtual currency. At the moment, 1 BTC (bitcoin) is selling for around US$670 (S$850).
6. Owners of bitcoins can trade them to make profits on the wild value fluctuations. When it was created in 2009, 1 BTC was worth less than 10 US cents. At the end of 2011, it was worth almost US$5. The price crossed the US$1,000 mark in November 2013, largely due to demand in China.
7. At the same time, owning bitcoins is risky as the currency is not guaranteed by any central bank. So 10 BTC today may be worth nothing tomorrow if online exchanges suddenly shut down, or buyers and businesses stop accepting them.
8. At least eight merchants in Singapore, including cafe Artistry in Jalan Pinang and 3-D printing company Meka, accept the digital currency as payment.
9. Payment involves launching an app on your mobile phone or computer and transferring bitcoins from your virtual wallet to the cafe’s virtual wallet.
10. The bitcoin is just one of many virtual currencies in the market. Others include peercoin, litecoin and ripple. Even the Royal Canadian Mint is jumping on the bitcoin bandwagon with its own MintChip, backed by the Canadian dollar.
SOURCES: THE STRAITS TIMES, THE BUSINESS TIMES, MY PAPER, HUFFINGTON POST
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
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Re: Bitcoins
by iam802 » Thu Mar 13, 2014 10:49 pm
Singapore government changes its mind, will regulate Bitcoin after all
http://www.techinasia.com/singapore-gov ... e-bitcoin/
http://www.techinasia.com/singapore-gov ... e-bitcoin/
1. Always wait for the setup. NO SETUP; NO TRADE
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
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iam802 - Big Boss
- Posts: 6353
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Re: Bitcoins
by iam802 » Thu Mar 13, 2014 10:51 pm
Google’s Jared Cohen: It’s “Obvious” Bitcoin-Like Currencies Are “Inevitable”
http://techcrunch.com/2014/03/08/google ... nevitable/
http://techcrunch.com/2014/03/08/google ... nevitable/
1. Always wait for the setup. NO SETUP; NO TRADE
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
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iam802 - Big Boss
- Posts: 6353
- Joined: Wed May 07, 2008 1:14 am
Re: Bitcoins
by iam802 » Sat Mar 15, 2014 2:57 am
Bitcoin turmoil hasn’t turned off the VC investment tap
http://blogs.ft.com/tech-blog/2014/03/b ... tment-tap/
http://blogs.ft.com/tech-blog/2014/03/b ... tment-tap/
1. Always wait for the setup. NO SETUP; NO TRADE
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
2. The trend will END but I don't know WHEN.
TA and Options stuffs on InvestIdeas:
The Ichimoku Thread | Option Strategies Thread | Japanese Candlesticks Thread
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iam802 - Big Boss
- Posts: 6353
- Joined: Wed May 07, 2008 1:14 am
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