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With all the vague claims about attacks and building a "bullet proof" system I have a hard time trusting them any more than a trader at a big bank selling their

With all the vague claims about attacks and building a "bullet proof" system I have a hard time trusting them any more than a trader at a big bank selling their own complicated financial instrument. He seems to be trying to manipulate the prices with these statements too. Good thing it is unregulated. Oh yeah, and "He warned bitcoin traders not to panic or invest more money than they're willing to lose." IMHO this is a straight up admission it is a speculative investment and not a real currency at the moment.

jimktrains2 14y ago
I'm pretty sure that Grade A bonds, CDs, and IRAs, among few others, accounts are the only types of investments that one should consider putting more money then they're willing to loose into. Bitcoins is a ForEx market, and like any ForEx market, you can lose money, quickly.
- gibybo 14y ago
  Technically speaking, an IRA is just a (brokerage|bank) account with a special tax designation. It won't stop you from putting all your money in a penny stock or out of the money options, for example.
  - jimktrains2 14y ago
    Ah. I thought they were a combination of various things that made them fairly stable, or more so than a 401(k) anyway. Thanks for the clarification.
- jbooth 14y ago
  Unless you do most of your financial transactions in bitcoin, you're treating it as a speculative investment. If you're buying bitcoins in order to make an online purchase, you're using it as a currency. If you're buying bitcoins, then selling them back to dollars/whatever when you need money, you're treating it as speculation.
rmrfrmrf 14y ago
> IMHO this is a straight up admission it is a speculative investment and not a real currency at the moment. Did anyone ever claim that it was? I mean...it's a real currency in the sense that people are using it to exchange goods and services, but IMO anyone who has the expectation that Bitcoin should have had all of its issues figured out right out of the gate has their standards set a wee bit high.
- SethMurphy 14y ago
  I am not a banker or an economist, but when I hear the word currency I have certain expectations, savings and spending come to mind first. Speculation is not something I immediately think of. In reality the use of it as a currency seems to be limited, at the moment, to high margin items (food, virtual goods). While I have personally seen virtual services accepting Bitcoins I have yet to see a local small business accept them myself. I would not feel comfortably saving or spending them at the moment, so I don't look at them as a true currency. I do highly stress "at the moment" though, anything is possible and this is fascinating to watch from the sidelines.
  - rmrfrmrf 14y ago
    It seems like you have more of an issue with the Bitcoin evangelists moreso than Bitcoin itself. I bought a few Bitcoin because I find the idea fascinating and like to see how the system works -- more to be a part of an experiment than to do actual business, but anyone who thinks that Bitcoin is ready right now as an alternative to fiat is out of their mind.
    - SethMurphy 14y ago
      You are probably right. While I am cynical in my judgment of the current state of Bitcoin I am optimistic in the theory as a whole, maybe too much so. I love the idea of a decentralized currency and see it as part of the natural evolution of globalization. Maybe I can afford to lose a little ...
  - zanny 14y ago

jimktrains2 14y ago

I'm pretty sure that Grade A bonds, CDs, and IRAs, among few others, accounts are the only types of investments that one should consider putting more money then they're willing to loose into. Bitcoins is a ForEx market, and like any ForEx market, you can lose money, quickly.

gibybo 14y ago
Technically speaking, an IRA is just a (brokerage|bank) account with a special tax designation. It won't stop you from putting all your money in a penny stock or out of the money options, for example.
- jimktrains2 14y ago
  Ah. I thought they were a combination of various things that made them fairly stable, or more so than a 401(k) anyway. Thanks for the clarification.
jbooth 14y ago
Unless you do most of your financial transactions in bitcoin, you're treating it as a speculative investment. If you're buying bitcoins in order to make an online purchase, you're using it as a currency. If you're buying bitcoins, then selling them back to dollars/whatever when you need money, you're treating it as speculation.

rmrfrmrf 14y ago

> IMHO this is a straight up admission it is a speculative investment and not a real currency at the moment. Did anyone ever claim that it was? I mean...it's a real currency in the sense that people are using it to exchange goods and services, but IMO anyone who has the expectation that Bitcoin should have had all of its issues figured out right out of the gate has their standards set a wee bit high.

SethMurphy 14y ago
I am not a banker or an economist, but when I hear the word currency I have certain expectations, savings and spending come to mind first. Speculation is not something I immediately think of. In reality the use of it as a currency seems to be limited, at the moment, to high margin items (food, virtual goods). While I have personally seen virtual services accepting Bitcoins I have yet to see a local small business accept them myself. I would not feel comfortably saving or spending them at the moment, so I don't look at them as a true currency. I do highly stress "at the moment" though, anything is possible and this is fascinating to watch from the sidelines.
- rmrfrmrf 14y ago
  It seems like you have more of an issue with the Bitcoin evangelists moreso than Bitcoin itself. I bought a few Bitcoin because I find the idea fascinating and like to see how the system works -- more to be a part of an experiment than to do actual business, but anyone who thinks that Bitcoin is ready right now as an alternative to fiat is out of their mind.
  - SethMurphy 14y ago
    You are probably right. While I am cynical in my judgment of the current state of Bitcoin I am optimistic in the theory as a whole, maybe too much so. I love the idea of a decentralized currency and see it as part of the natural evolution of globalization. Maybe I can afford to lose a little ...
- zanny 14y ago