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I don't have super high confidence BTC will survive in the mainstream more than a few years. It's too easy to shut it out by putting pressure on banks not to op

I don't have super high confidence BTC will survive in the mainstream more than a few years. It's too easy to shut it out by putting pressure on banks not to open accounts for the companies running exchanges. [1] I had bought some BTC long ago for a few dollars a coin, and spent most of it on domain names and other purchases at sites that started taking it, just to understand the ecosystem. I had my own wallet, tried some cloud wallets and both MtGox and Coinbase. I sold what was left a few days ago in the $400s/BTC. That'll cover my Christmas gifts for family this year. 1: http://www.forbes.com/sites/kashmirhill/2013/11/15/bitcoin-companies-and-entrepreneurs-cant-get-bank-accounts/ http://www.forbes.com/sites/kashmirhill/2013/11/15/bitcoin-c...

yeukhon 13y ago
I am not sure if that's the case: I think banks and government are starting to enjoying this new competition. If there is a room for new investment and new way to generate tax revenue, they two will go forward with Bitcoin. The adoption might take a couple years to mature but I am sure they are all looking at it (Congress is already planning to regulate bitcon at some point as a bill, and government agencies like FBI is targeting at deep web which is fueled by bitcoin now). I do however agree that bitcoin can't be a long term investment. Bitcoin is a short-term investment. You should buy and sell as soon as a target price is up.
Aqueous 13y ago
The companies running exchanges have already been shut out and are currently doing just fine without bank accounts. The main thing a bank offers you is security of your assets; they have vaults for their dollar and BitCoin reserves. The other thing about financial institutions is that if there is an investment opportunity that gives them the possibility of making a ton of money they will take it. As soon as they see that they can make money off of BitCoin they will welcome the exchanges with open arms. I would have agreed that it wouldn't survive the mainstream if there was a danger of a serious attempt by the United States, the EU or China to ban its use. But it appears that government agencies are smiling on BitCoin, and both the United States government and the Chinese government appear to be embracing it. I suspect because if it becomes the world reserve currency it neutralizes the advantage that both parties have in manipulating financial markets (China by not allowing its currency to float and the US by, well, bailing out its financial system every time it leverages itself to the hilt and crashes which sends ripples through the world banking system.) The US and China want to neutralize the others' ability to manipulate their economies through monetary policy, and BitCoin gives them that opportunity.
themusicgod1 13y ago
> It's too easy to shut it out by putting pressure on banks not to open accounts for the companies running exchanges. That would have worked last year, but right now we have ripple(http://www.ripple.com http://www.ripple.com) up and running exchanges are no longer a point of failure. Ripple interprets exchanges getting shut down as network damage and routes around them efficiently. There's plenty of choke points left, but exchanges are not one of them. Price might take a hit but it'd bounce back when people realize that the solution is in their hands.

yeukhon 13y ago

I am not sure if that's the case: I think banks and government are starting to enjoying this new competition. If there is a room for new investment and new way to generate tax revenue, they two will go forward with Bitcoin. The adoption might take a couple years to mature but I am sure they are all looking at it (Congress is already planning to regulate bitcon at some point as a bill, and government agencies like FBI is targeting at deep web which is fueled by bitcoin now). I do however agree that bitcoin can't be a long term investment. Bitcoin is a short-term investment. You should buy and sell as soon as a target price is up.

Aqueous 13y ago

The companies running exchanges have already been shut out and are currently doing just fine without bank accounts. The main thing a bank offers you is security of your assets; they have vaults for their dollar and BitCoin reserves. The other thing about financial institutions is that if there is an investment opportunity that gives them the possibility of making a ton of money they will take it. As soon as they see that they can make money off of BitCoin they will welcome the exchanges with open arms. I would have agreed that it wouldn't survive the mainstream if there was a danger of a serious attempt by the United States, the EU or China to ban its use. But it appears that government agencies are smiling on BitCoin, and both the United States government and the Chinese government appear to be embracing it. I suspect because if it becomes the world reserve currency it neutralizes the advantage that both parties have in manipulating financial markets (China by not allowing its currency to float and the US by, well, bailing out its financial system every time it leverages itself to the hilt and crashes which sends ripples through the world banking system.) The US and China want to neutralize the others' ability to manipulate their economies through monetary policy, and BitCoin gives them that opportunity.

themusicgod1 13y ago

> It's too easy to shut it out by putting pressure on banks not to open accounts for the companies running exchanges. That would have worked last year, but right now we have ripple(http://www.ripple.com http://www.ripple.com) up and running exchanges are no longer a point of failure. Ripple interprets exchanges getting shut down as network damage and routes around them efficiently. There's plenty of choke points left, but exchanges are not one of them. Price might take a hit but it'd bounce back when people realize that the solution is in their hands.