Bitcoins at $75



cpauser said:
it's called dollar fixed exchange rate...If a bitcoin is worth $50 and a TV is $500 then it's 10 coins. If it rises to $100 then it's 5 coins. etc

I was skeptical initially but I emphatically believe bitcoin is going a lot higher based on the chart and the underlying story. I don;t see it as hedge against inflation but simply as a secure, easy alternative to transacting online. All we need are some bigger merchants accepting the coins plus news coverage and the price will skyrocket. $80 soon
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Translating the prices is a simple enough equation, but still a hassle for accepting merchants. If the bitcoin/dollar price is fluctuating daily in a material manner, who wants the hassle of having to daily update your pricing? I suppose you could automate the process, but it's still an increased cost to doing business.
 
bodiddley said:
Translating the prices is a simple enough equation, but still a hassle for accepting merchants.
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That's why all of the decent merchant solutions do this for the merchants automatically.

From Bitpay's site:

[ame="http://www.youtube.com/watch?v=QHwB5fOvyr0"]http://www.youtube.com/watch?v=QHwB5fOvyr0[/ame]

(These guys process both Namecheap.com and the Amazon.com bitcoin solutions.)
 
bodiddley said:
I thought Bitcoins were supposed to be stable. What merchant is going to want to accept bitcoins if they're constantly having to readjust prices?
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Loads. That's a non-issue. For example, if you're online shopping outside of the US, and go to purchase something from in USD, many times the cart / processor will automatically pull the price in your local currency based on current exchange rates.

So if you're in Hungary, you'll see the price in Forints, if you're in Thailand in Baht, and so on. Loads of shops / payment processors already do this, and adding one extra currency to it all is nothing.
 
bodiddley said:
Translating the prices is a simple enough equation, but still a hassle for accepting merchants. If the bitcoin/dollar price is fluctuating daily in a material manner, who wants the hassle of having to daily update your pricing? I suppose you could automate the process, but it's still an increased cost to doing business.
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A merchant that accepts bitcoins as payment doesn't need to display pricing in bitcoins. However, if they wanted to they could do so with very little effort as any decent ecommerce system has the ability to automatically display pricing in multiple currencies based on daily or even more frequently polled exchange rates.
 
Will the bitcoin market be regulated by the US, europe? .....I do not know if they actually can, just wondering......
 
(O_o) said:
Coinbase said:
Sorry, the maximum number of purchases on Coinbase has been reached at the moment. This is a 24 hour rolling limit with no specific start time. Please try again later. We'll continue raising this limit over time.
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So you're saying that there is some kind of an ongoing demand for bitcoins?

Nah, impossible. They're just fiat 1's and 0's... Only a few drug dealers would possibly want those...


blogginginc said:
Will the bitcoin market be regulated by the US, europe? .....I do not know if they actually can, just wondering......
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Would if they could but can't so they won't.

Just like Torrents.
 
lukep said:
Would if they could but can't so they won't.

Just like Torrents.
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Well, they can't end Torrents, but plenty of people that run Torrent sites got into trouble. Of course, they could easily frame Torrent content into some illegal activity, it won't be that easy with bitcoins.
 
bodiddley said:
Translating the prices is a simple enough equation, but still a hassle for accepting merchants. If the bitcoin/dollar price is fluctuating daily in a material manner, who wants the hassle of having to daily update your pricing? I suppose you could automate the process, but it's still an increased cost to doing business.
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That should be the least of their worries...

Imagine if you sold TV's and you accept bitcoin.

Let's say today bitcoins are valued at $100 and you sell a tv for 5 bitcoins.

Then the next day something bad happens like a bunch of people start speculating about a new law that could hurt bitcoin, or some big bitcoin user got hacked and lost all his money. Now news is spreading all over and it's making people nervous.

Now the price has dropped $10 over night. So that TV you just sold for $500 worth of bitcoins is now $450 because of the drop. You lost $50 overnight for using an unstable currency.

Now it could easily sway the other way and you could make $50 extra... But the point is bitcoin isn't even remotely close to being a stable enough currency to use for most people.

At this point it's basically turned into a virtual stock and people are coming in to try and make money off its wild value swings. Nobody is using their bitcoins right now... Why would you?

I wouldn't be surprised if you heard more online retailers start "accepting bitcoins" only to learn that they purchased a bunch of bitcoins the week before... Typical pump and dump.

Only reason to buy bitcoins now is to hope you get in on the ride to the top and then dump them before it crashes.
 
blogginginc said:
Will the bitcoin market be regulated by the US, europe? .....I do not know if they actually can, just wondering......
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erifdekciw said:
That should be the least of their worries...

Imagine if you sold TV's and you accept bitcoin.

Let's say today bitcoins are valued at $100 and you sell a tv for 5 bitcoins.

Then the next day something bad happens like a bunch of people start speculating about a new law that could hurt bitcoin, or some big bitcoin user got hacked and lost all his money. Now news is spreading all over and it's making people nervous.

Now the price has dropped $10 over night. So that TV you just sold for $500 worth of bitcoins is now $450 because of the drop. You lost $50 overnight for using an unstable currency.

Now it could easily sway the other way and you could make $50 extra... But the point is bitcoin isn't even remotely close to being a stable enough currency to use for most people.

At this point it's basically turned into a virtual stock and people are coming in to try and make money off its wild value swings. Nobody is using their bitcoins right now... Why would you?

I wouldn't be surprised if you heard more online retailers start "accepting bitcoins" only to learn that they purchased a bunch of bitcoins the week before... Typical pump and dump.

Only reason to buy bitcoins now is to hope you get in on the ride to the top and then dump them before it crashes.
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This.

But its not the only reason though, you can buy them to buy stuff thats located on some remote location and you dont want to leave traces of that transaction.
 
blogginginc said:
Will the bitcoin market be regulated by the US, europe? .....I do not know if they actually can, just wondering......
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Anytime I read a post about whether bitcoins will end up being regulated by the US govt (and other 1st world govts), I keep thinking about the post lukep had shared re: system d & bitcoins. It's like if we '1st worlders' (if that's even a proper phrase) live in a heavily regulated world, you then have the rest of the world where doing some things "underground" (maybe not all) seems to be a normal part of everyday life in order to survive and make a living. Not drug dealers, etc. I'm thinking small timers, vendors or merchants in china, africa, street vendors, small businesses in russia, india, south america, etc, etc. Almost impossible to regulate all that. And if 2/3 or more in the world are doing it, and if bitcoins is rapidly becoming a useful tool for doing it...

The whole 'top-down' financial system where everything trickles down from the top and the rest of the world gets the financial crumbs. I doubt something like bitcoins will change all that in the very near future. But 10, 20, 30, 50 yrs down the line when there's this constant 'reverse ripple effect' from the bottom up? Hmmm..possible scifi-future scenerio: The rest of the world where bitcoins become a part of life and the 1st world becomes the last bastion of the old financial system, desperately trying to hold on. Maybe watched way too many scifi shows this month :1orglaugh:
 
erifdekciw said:
Imagine if you sold TV's and you accept bitcoin.

Now the price has dropped $10 over night. So that TV you just sold for $500 worth of bitcoins is now $450 because of the drop. You lost $50 overnight for using an unstable currency.
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DO NONE OF YOU FUCKERS KNOW HOW TO CLICK PLAY ON A VIDEO NICELY EMBEDDED FOR YOU?

Bitpay absorbs this risk for merchants too.
 
sennin436 said:
It's like if we '1st worlders' (if that's even a proper phrase) live in a heavily regulated world, you then have the rest of the world where doing some things "underground" (maybe not all) seems to be a normal part of everyday life in order to survive and make a living. Not drug dealers, etc. I'm thinking small timers, vendors or merchants in china, africa, street vendors, small businesses in russia, india, south america, etc,
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Yeah, I'm quite confident the vendors I buy the majority of my groceries off of don't report that income on their taxes.

I'm also quite confident none of them will ever accept Bitcoins anytime in the next 20 years. They tend to like their cash. You're not going to bring a technological revolution to people who sell lettuce, carrots and onions at a small market.
 
Kiopa_Matt said:
Yeah, I'm quite confident the vendors I buy the majority of my groceries off of don't report that income on their taxes.

I'm also quite confident none of them will ever accept Bitcoins anytime in the next 20 years. They tend to like their cash.
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Hmm..You've got a point :p. Well, maybe not as direct payment for their goods on the streets. Too exposed..
 
Kiopa_Matt said:
Yeah, I'm quite confident the vendors I buy the majority of my groceries off of don't report that income on their taxes.

I'm also quite confident none of them will ever accept Bitcoins anytime in the next 20 years. They tend to like their cash.
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Don't forget the tradeoff though; Thais trade coups and revolutions every few years for the honor of not becoming a bloated corporatocracy like the US.

Hard to say which is worse really. At least the last uprising didn't kill too many.
 
lukep said:
Don't forget the tradeoff though; Thais trade coups and revolutions every few years for the honor of not becoming a bloated corporatocracy like the US.

Hard to say which is worse really. At least the last uprising didn't kill too many.
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Ohhh, I'll take Thailand without question. Besides, regardless of who the government is, it's always the same military for the most part. They may not directly control things, but they do keep the government in line. Seems as if the government in Thailand ever tries to do anything too crazy, the military jumps in and lets them know where their place is. :)

Thinking about it, I actually quite like that about here. In the West, the military is generally just an extension of the government, and that's that. Whereas here, they're somewhat two separate entities who work alongside each other, but one doesn't work for the other. If the government steps out of line, the military won't have a problem stepping in to resolve it, as they've done in the past.
 
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