Bitcoin Just Completely Crashed!............. V

[Ponce]

I do believe that Ponce deserves anther brownie point on this..........sorry Franks.
=====================================

(Before It's News)<---------------- go here for more.

In these just released videos from Dahboo7 and Blaine Cooper and story from Business Insider we learn that Bitcoin has just completely crashed and there is a massive sell-off in progress. With Bitcoin now going down the tubes, what’s next? Is this just another symptom of the global financial collapse that should be telling us that the ‘endgame’ is getting much closer?

Bitcoin just completely fell out of bed. The chart below, via BitcoinWisdom, shows the move.

The news comes as major trading exchange Mt. Gox says in a new press release that Bitcoin withdrawals remain halted. (On Friday, Mt. Gox issued a statement that amid the volume of withdrawals it was seeing, that it was suspending withdrawals until it could address a technical issue). Mt. Gox was at one point the foremost Bitcoin market site, though its volume and share of Bitcoin activity has declined considerably.

Withdrawals in actual currency are working, so traders can get cash out of the site, which is good news.

The bad news is that in addition to the direct matter of users not being able to withdraw Bitcoins, they say the technical issue that they’re dealing with is something that pertains to the broader Bitcoin community:

The problem we have identified is not limited to MtGox, and affects all transactions where Bitcoins are being sent to a third party. We believe that the changes required for addressing this issue will be positive over the long term for the whole community. As a result we took the necessary action of suspending bitcoin withdrawals until this technical issue has been resolved.

[Shami-Amourae]

There's a bunch of other threads on it. Here's the oldest:
http://gold-silver.us/forum/showthread.php?75703-Bitcoin-Flashcrash

Time to buy Potcoin guys.
:rolleyes:

[Ponce]

Nawwwwwwwwwwww tp is more secure.......everyone uses it.

V

[Sparky]

Seems to be approaching the key level established at $450. That will be an important test.

6027

[Hitch]

Seems to be approaching the key level established at $450. That will be an important test.

6027

It doesn't matter if a ship sinks in 100 feet of water, or 1000 feet of water. It sank. It's gone.

When you think of matter, tangibles. Bang bitcoin was created and poof it will be gone. All that happens, is wealth changes hands. We've all seen this before. This is nothing new.

[EE_]

Death to bitcoin! Death to the NWO!

[Ponce]

Death to bitcoin! Death to the NWO!

Careful now, you know how much Franks loves his bitcoins...... There is a racket going on every minute of the day, this one here is to keep on draining the suckers of their money.

V

[Jewboo]

http://images.dailytech.com/nimage/Bank_Run_Berlin_1931_Wide.jpg

Goyim with long faces


:rolleyes:

[aeondaze]

I winder if somehting is realy brewing.

All this talk of Bail-ins, bankers getting suicided, JPM attempting to introduce their own digital crypto even talk of JPM behind DDOS attacks to MtGox, make sone wonder of this is a play to destroy bitcoin like Au/Ag or at least destroy sentiment then conduct the great grab for cash from the peons...??

[Shami-Amourae]

Seems to be approaching the key level established at $450. That will be an important test.

6027

The price of Mt. Gox doesn't reflect the overall Bitcoin price currently. Mt. Gox was pulled recently from CoinDesk's BPI (http://www.coindesk.com/price/) (Bitcoin Price Index - The average price between exchanges.)

Mt. Gox lost a lot of Bitcoins from a hack back in 2011. They've been fucking around with the market to artificially have higher prices than other exchanges to try to accumulate Bitcoins back that were stolen. In other orders there's less Bitcoins on their exchange than what customers deposited. What I'm saying cannot be proved or cited, but it's sort of something many people already know offhand. For a while now Mt. Gox has had prices about $100 more than other exchanges. This causes the BPI to be higher than what it really should have been. Your graph shows a price of $450 when the current price of Bitcoin really is $650. See so yourself. (http://www.coindesk.com/price/)

Mt. Gox recently announced they were INDEFINITELY stopping all Bitcoin withdrawls. Basically, Mt. Gox is run by retards.

This is NOT a problem with Bitcoins. It is a problem with exchanges.

This will help explain:

http://www.youtube.com/watch?v=_zOlOtVxowg

[ShortJohnSilver]

The problem as I understand it:

1. There are 2 ways to confirm a transaction. The "regular" way and the more arcane, "safer and slower" way. There is a bug in the "regular" way, where if you have control over many computers you can cause turmoil and corrupt the results. Another Bitcoin exchange called BitStamp (I think) also was using the regular way, and they too stopped until they can fix the issue.

2. MtGox has always been crappily programmed and they have had problems getting good programmers to help them fix the issues.

Other exchanges have different safeguards in use, which is why they are still running their exchanges.

My take: I went whole-hog into Dogecoin, instead. BTC is for the vainglorious nerds, Dogecoin is more likely to be used by real people.

[Horn]

http://bitcoincharts.com/charts/chart.png?width=940&m=bitstampUSD&SubmitButton=Draw&r=60&i=&c=0&s=&e=&Prev=&Next=&t=S&b=&a1=&m1=10&a2=&m2=25&x=0&i1=&i2=&i3=&i4=&v=1&cv=0&ps=0&l=0&p=0&

6028

[ShortJohnSilver]

On Tuesday, Slovenia-based Bitstamp became the second major bitcoin exchange to halt customer withdrawals in the past several days, citing "inconsistent results", and blaming a denial-of-service attack.

http://www.reuters.com/article/2014/02/12/us-usa-bitcoin-idUSBREA1A20X20140212

derp de derp derp de derp ...

[mick silver]

"If you don't hold it, you don't own it"... Ponce

[Horn]

Bitcoin/USD: Bill Gates doesn’t think digital money is about bitcoin


Last week Microsoft announced that its founder and inaugural CEO, Bill Gates, is stepping down from his last formal post, as chairman of the board, and will henceforth be just a consultant to the behemoth he created. And today, perhaps with more time on his hands, Gates decided to spend some on social news and entertainment website Reddit, in a second appearance on the Ask Me Anything (AMA) session.

One participant asked Gates for his thoughts about digital currencies like bitcoin.

The standing contender for world’s richest human being shared that the charitable foundation to which he devotes much of his energy these years “is involved in digital money but unlike Bitcoin it would not be anonymous digital money”.
Gates instanced instead the mobile payment system ‘M-pesa’, which he said is used for almost half of all transactions in Kenya. Gates explained that M-Pesa is a mobile phone-based funds transfer and micro-financing service, which allows users with a national ID card or passport to deposit, withdraw, and transfer money easily and simply with a standard mobile device.

In Bill Gates’ words: “Digital money has low transaction costs which is great for the poor because they need to do financial transactions with small amounts of money. Over the next 5 years I think digital money will catch on in India and parts of Africa and help the poorest a lot.”Poor people in Africa or Asia can’t of course afford to buy bitcoins at around $700 a time but Bill Gates is already on record with the view that e-money technology will play a central role in poverty eradication in the poorest regions of the world.

In the meantime, Microsoft has added bitcoin to the currency converter in its Bing search engine.
Right now, bitcoin is trading at around $699.50, up 2.91 percent intraday, according to the CoinDesk Bitcoin Price Index (BPI), which averages prices from the two leading bitcoin exchanges in volume terms.

They were using three but Coindesk yesterday removed MtGox from the BPI after the once pre-eminent bitcoin exchange announced a suspension of withdrawals and, in Coindesk’s view, defaulted in meeting the Index’s criteria for inclusion.

http://invezz.com/news/forex/8778-bitcoin-usd-bill-gates-doesnt-thinks-digital-money-is-about-bitcoin

Was Bitstamp also removed?

[Ares]

Bitcoin/USD: Bill Gates doesn’t think digital money is about bitcoin


Was Bitstamp also removed?

According to Coindesk BPI, no looks like they are using btc-e and bitstamp as an average.

[madfranks]

Ponce is giving me a hard time, but just like he bought his silver cheap and is still ahead, I bought my bitcoins cheap so I'm still ahead too. :)

[mick silver]

ponce traded his silver for TP he just waiting for the doom to buy his silver back with butt paper

[Ponce]

Ponce is giving me a hard time, but just like he bought his silver cheap and is still ahead, I bought my bitcoins cheap so I'm still ahead too. :)

Sure, but do you hold yours? or what you have are only dots and dashes in your comp?, by the way, I DON'T DRINK.

V

[Horn]

Buy, Buy, Buy


Bitcoin Exchange Mt. Gox Is Finished
Just in case one was wondering for a reason not to take "Magic: The Gathering Online Exchange" too seriously, here is the latest news that has largely slammed the coffin shut on what was once the largest Bitcoin exchange. From MtGox: (https://www.mtgox.com/img/pdf/20140220-Announcement.pdf)

Dear MtGox Customers,

Thank you for your patience this week while we are working on re-initiating bitcoin withdrawals. In addition to the technical issue, this week we have experienced some security problems, and as a result we had to relocate MtGox to our previous office building in Shibuya. The move, combined with some other security and technical challenges, pushed back our progress.

As much as we didn’t want to only provide an “update on an update”, this is the current status. We are committed to solving this issue and will provide more information as soon as possible to keep everyone in the loop.

We are very sorry for the delays and deeply appreciate your kind understanding and continuous support.

Best regards,

MtGox Team
This is what a dying virtual currency exchange looks like...

6057

http://www.zerohedge.com/news/2014-02-20/bitcoin-exchange-mt-gox-finished

[Silver Rocket Bitches!]

It's still trading over $500 over at BTC-E.com. Mt.Gox as a trading exchange appears finished. "Magic the gathering online exchange" lol. Oh well, such is the market.

[Shami-Amourae]

100% of this is caused by Mt Gox. They are retarded and dragging everything else down. Stop misleading everyone about what's going on.

http://www.youtube.com/watch?v=wxhLP8BWTEo

http://www.youtube.com/watch?v=w_ASDPfspKU

Personally I want Mt Gox to die so they can't hurt the crypto-world anymore. They are a cancer.

[EE_]

http://www.youtube.com/watch?v=SBClImpnfAg

[madfranks]

Stop misleading everyone about what's going on.

Actually, if you read Horn's link, it says this:


This is what a dying virtual currency exchange looks like

Note, he is not saying a dying currency, but a dying exchange, which it really is. This is what happens when a couple of nerds create a site to trade magic cards and their company gets swept up into an insanely profitable currency exchange, but none of them have any expertise in the area of finances, managing a large company, or even how to properly market a company. Their announcements are so poorly written, anyone with common sense could try to get some positive spin in there. Anyone who trades with gox after this fiasco is an idiot.

[Horn]

Sparky calls it "price finding".

All part of natural and free market... buy, buy, buy

[Cebu_4_2]

Short, short, short

[Shami-Amourae]

Actually, if you read Horn's link, it says this:



Note, he is not saying a dying currency, but a dying exchange, which it really is. This is what happens when a couple of nerds create a site to trade magic cards and their company gets swept up into an insanely profitable currency exchange, but none of them have any expertise in the area of finances, managing a large company, or even how to properly market a company. Their announcements are so poorly written, anyone with common sense could try to get some positive spin in there. Anyone who trades with gox after this fiasco is an idiot.

I stopped trading with them after the 2011 fiasco. My Bitcoins/USD got locked up and I had to literally talk to MagicalTux (the CEO) himself to get them free.

[Horn]

I stopped trading with them after the 2011 fiasco. My Bitcoins/USD got locked up and I had to literally talk to MagicalTux (the CEO) himself to get them free.

Mt. Gox had those first movers rights that every Bitcoin junky finds attractive. Well that and probably the only exchange that was being used for its intended purpose.

[Ponce]

If the "exchange" cannot carry the weight you better then trade horses......or it will die on you.

V

[madfranks]

Mt. Gox had those first movers rights that every Bitcoin junky finds attractive. Well that and probably the only exchange that was being used for its intended purpose.

What are "first movers rights"?

I think you mean first mover advantage, which they most certainly did have, but flushed it down the toilet after wiping their asses with their customers' trust.

[Ares]

What are "first movers rights"?

I think you mean first mover advantage, which they most certainly did have, but flushed it down the toilet after wiping their asses with their customers' trust.

REPEATEDLY I might add.

[chad]

I stopped trading with them after the 2011 fiasco. My Bitcoins/USD got locked up and I had to literally talk to MagicalTux (the CEO) himself to get them free.

i'm not trying to be a smartass, but how do your coins get "locked up" in an exchange? i thought the whole point of it was that only you had the wallet so nobody could ever "lock up" anything. what am i missing here? this doesn't sound like a very good system if an exchange can lock up your coins and you have to get some guy called magicaltux on the phone to unlock them. isn't bitcoin supposed to not be able to be locked up? i guess i don't understand.

[Shami-Amourae]

i'm not trying to be a smartass, but how do your coins get "locked up" in an exchange? i thought the whole point of it was that only you had the wallet so nobody could ever "lock up" anything. what am i missing here? this doesn't sound like a very good system if an exchange can lock up your coins and you have to get some guy called magicaltux on the phone to unlock them. isn't bitcoin supposed to not be able to be locked up? i guess i don't understand.

If you want to buy/sell cryptos you will send some Bitcoins onto an exchange's wallet. When you want to deposit you basically click a button which generates a deposit address unique to your account. Wallets can have almost infinite addresses generated for them, so they do this so every account can have it's own unique deposit address associated with their account. You or anyone can send cryptos to the specific address and it then gets credited to your account. Once it's on the exchange's wallet you have that amount credited to your account. Then you can trade or whatever. When you want to "cash out" you do a withdraw request and the amount is removed from the exchange's wallet to your own private wallet or whatever Bitcoin address you send it to. When Mt Gox has issues they shut off withdrawls, sometimes including USD. Other exchanges usually don't do this.

In 2011 this stuff was brand new to the public and Mt Gox had grown from obscurity into the world spotlight overnight and they couldn't keep up. It made sense to me, but the fact they haven't really changed much since then is the real problem.

Also I didn't call MagicalTux, I talked to him over IRC.

Bitcoin acts like cash. Just online. Nearly all of the issues coming up are with exchanges, not Bitcoin. The Bitcoins have always operated like they were meant too.

By the way, I had both my cash and Bitcoins locked up at Mt Gox. It wasn't something exclusive just to Bitcoin. I ended up being able to get out my Bitcoins out before I was able to get out my USD.

The best/most secure way to buy/sell Bitcoins now is through Coinbase IMO.

http://i.imgur.com/9fEN4EO.jpg

https://ip.bitcointalk.org/?u=http%3A%2F%2Fkculshare.com%2Fwp-content%2Fuploads%2F2014%2F02%2F4223-thumb-672x372.png&t=537&c=Hvuq9DozbgwH_g

[Silver Rocket Bitches!]

omg is that magicaltux? he looks like a brony.

[madfranks]

i'm not trying to be a smartass, but how do your coins get "locked up" in an exchange? i thought the whole point of it was that only you had the wallet so nobody could ever "lock up" anything. what am i missing here? this doesn't sound like a very good system if an exchange can lock up your coins and you have to get some guy called magicaltux on the phone to unlock them. isn't bitcoin supposed to not be able to be locked up? i guess i don't understand.

chad, it'd be like you sending a few grand to APMEX to buy some gold or silver. They are an exchange. Imagine they were so inept at their business that they suspended all activity, meaning any FRN you sent wouldn't be refunded or any gold/silver that you purchased were "locked up" and not being shipped to you. Gox is an exchange where people send their fiat to buy bitcoins. Right now Gox is holding hostage all their customers purchases. So it's not bitcoin that's at fault, it's this retarded exchange which can't get their shit together.

[Ponce]

Hehehehehehehehehe........I like the way that some people around here like to dream.

V

[Horn]

What are "first movers rights"?

I think you mean first mover advantage, which they most certainly did have, but flushed it down the toilet after wiping their asses with their customers' trust.

Must be the fault of what was being exchanged, their first movers advantage was too great to slip away so quickly...

there is no other explanation.

[Neuro]

Could Mt. Gox, or rather it's owners, have done this as a scam? They short sold a lot of coins, and then they discredit themselves, and thus the price of bitcoins on their exchange plunges, and they can buy back the short sold coins at a fraction of their sold price, making 75% of a lump of trades certainly beats making a fraction of a percent of every trade even if you do it for many years...

[Sparky]

Mt. Gox price seems to be bouncing nicely off the $92 low from earlier this evening. <sarcasm>

[Sparky]

You can say this is really a Mt. Gox problem, but as soon as the next exchange has a problem (which you know one of them will) it will signal contagion.

Still not sure I understand how the exchange can determine the currency value so dramatically. If I have 500 USD in a Cyprus bank and they tell me I can't withdraw it, it's still valued at 500 USD. Can I go buy a bitcoin at Mt. Gox now for 100 USD, then hope to get it out at some future time, and then go deposit it somewhere else for 500 USD? What does the current 100 USD price really mean?

[Shami-Amourae]

You can say this is really a Mt. Gox problem, but as soon as the next exchange has a problem (which you know one of them will) it will signal contagion.

Still not sure I understand how the exchange can determine the currency value so dramatically. If I have 500 USD in a Cyprus bank and they tell me I can't withdraw it, it's still valued at 500 USD. Can I go buy a bitcoin at Mt. Gox now for 100 USD, then hope to get it out at some future time, and then go deposit it somewhere else for 500 USD? What does the current 100 USD price really mean?

Try buying $500 USD worth of Bitcoin from Mt Gox. Good luck.
:rolleyes:

[Neuro]

You can say this is really a Mt. Gox problem, but as soon as the next exchange has a problem (which you know one of them will) it will signal contagion.

Still not sure I understand how the exchange can determine the currency value so dramatically. If I have 500 USD in a Cyprus bank and they tell me I can't withdraw it, it's still valued at 500 USD. Can I go buy a bitcoin at Mt. Gox now for 100 USD, then hope to get it out at some future time, and then go deposit it somewhere else for 500 USD? What does the current 100 USD price really mean?
Quite possibly, once they have bought back their short sold coins, and some more, they will lift the withdrawal restriction, and you could make a windfall, just like they did. The funny thing is, I am not even sure if this is what they are doing if it is even against any law! They probably have it in their contract terms that they can stop withdrawals of bitcoins in their wallet whenever they have technical problems. They can't be made responsible for rumors their pals are spreading on the Internet that they are finished, will never open again, etc. FANTASTIC SCAM!

[madfranks]

What does the current 100 USD price really mean?

Assuming an average price of $500 on the other exchanges, gox coins are trading for approximately 20% of prevailing prices, which means that approximately 80% of frozen gox account holders feel they will never see their coins again and are willing to sell just to get out.

[Horn]

You can say this is really a Mt. Gox problem, but as soon as the next exchange has a problem (which you know one of them will) it will signal contagion.

Reason for the derivatives to Bitcoin market, the same would hold true in a real gold market or of any other commodity. Its the finite meeting infinity of fiat that is unable to be processed. Not only at Mt.Gox but any other exchange that may popup. Half of the failures of Mt.Gox are due to supply.

There oughtta be a law against figurative fiat trading in commodities. :)

[mick silver]

i just order my first bitcoin today . in a few days they will be here in the mail . i hope i didnt over pay for them

[Horn]

You need to this, mick [sarc. off]