Bitcoin mining made easy - Page 32

Bitcoin mining made easy

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cheapsheep
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Re: Bitcoin mining made easy

Post by cheapsheep » 15 Feb 2014, 20:50

Its nothing bitcoin specific. If you open an account at some forex broker, you have to fund your account before you can buy something with it. When you use their platform to buy something, they need to have the stuff you sell in exchange available right now.

Same with bitcoins and fiat at a bitcoin exchange.

I don't know exactly how bitcoin exchanges handle segregation of customer funds... some kind of database, not relying on blockchain.
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Cheesecan
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Re: Bitcoin mining made easy

Post by Cheesecan » 16 Feb 2014, 08:56

All MtGox user accounts are required to be verified in order to perform any deposits or withdrawals.

To verify your account please complete the following form and submit copies of the requested identification documents. All fields must be filled out before a submission can be reviewed.

Required documentation :
- A CURRENT and VALID Photo ID issued by a government entity (i.e. National Identity card, Drivers license, Passport, etc.).
- Proof of residence issued within the last six months (no exceptions): Utility bill, tax return, insurance payment, etc. We are sorry but NO BANK STATEMENTS will be accepted.
If you have any identity related uploads on mtgox, I suggest you try and delete it immediately..

Identity theft is no joke. Imagine what would happen if hackers got hold of all that database. I think it's only a matter of time until something like that happens, given their mtgox's ineptitude.
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varikonniemi
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Re: Bitcoin mining made easy

Post by varikonniemi » 19 Feb 2014, 17:33

Tigerdirect started a "pc parts week" campaign with up to 20% discount when you pay using Bitcoin.

Once we start to get reputable vendors transfer their savings into the price, Bitcoin will really start to shine. Who would not want a general 2% rebate when paying with Bitcoin over CC/paypal? And even better if that rebate is 20%!
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Cheesecan
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Re: Bitcoin mining made easy

Post by Cheesecan » 20 Feb 2014, 17:07

Down to $130 on mtgox now. Today they announced that withdrawals will be enabled soon with certain limitations (this was the rumor during the week).

I for one think 1/5th the price might be enough to motivate the risk vs reward of buying through mtgox rather than a different exchange.

Thoughts?
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cheapsheep
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Re: Bitcoin mining made easy

Post by cheapsheep » 20 Feb 2014, 17:53

I would not...

Things to consider:
- chances that mtgox will start to operate again normally
- risks that mtgox will default
- your ability to go through a lawsuit (or at least have someone handle your case during liquidation)... in japan. Do you speak japanese?

I think it is a very risky proposal... with even more risks if you are a small guy, because it will not be worth going through expensive+lenghty procedures for $1000.
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smoth
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Re: Bitcoin mining made easy

Post by smoth » 20 Feb 2014, 18:49

You would not invest in Greece or Detroit ... Right? I would avoid them
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Cheesecan
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Re: Bitcoin mining made easy

Post by Cheesecan » 20 Feb 2014, 19:53

smoth wrote:You would not invest in Greece or Detroit ... Right? I would avoid them
Why not? If I was a country say Germany, I would loan Greece my money so I could charge them exorbitant interest. Detroit is a different story, what a dump. :mrgreen:
cheapsheep wrote:I would not...

Things to consider:
- chances that mtgox will start to operate again normally
- risks that mtgox will default
- your ability to go through a lawsuit (or at least have someone handle your case during liquidation)... in japan. Do you speak japanese?

I think it is a very risky proposal... with even more risks if you are a small guy, because it will not be worth going through expensive+lenghty procedures for $1000.
I think you should do the opposite of the market to mega-win (generally).

I can no more than anyone else judge if mtgox will fail(no insider information), so it's a gamble just like anything else. I would not go in with more than I'm willing to lose.

Consider if it goes from $100 back to $1000. That's a return worthy of taking some risk.

I've read that my country wants bitcoin transactions taxed, this would mean that bitcoin losses should also be tax deductible in the same way that stock losses are. This diminishes the severity of a total loss.

As far as I'm concerned, the law is never on the side of the small guy where these things are concerned. Unlikely I would even pursue legal action if it were based in my own country. Of course I wouldn't invest so much it hurts me to lose it, really.

Edit: What worries me more is the fact that mtgox requires a high-res picture of your ID for verification. If they keep those online and get hacked...
I've never met any bank or business that requires this before. Isn't it very suspicious? Do Japanese banks do this?
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smoth
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Re: Bitcoin mining made easy

Post by smoth » 20 Feb 2014, 21:24

Contrarian to the wisdom of the market is not the same as "buy low sell high"

Let's see Greece failing because the lifestyle people lived was too costly...

Detroit failing because crime was massively on the rise as unions grew more and more demanding as the workforce market changed....

Nah both are bad investments. You want to invest in a strong sapling and hope it bears fruit, not a cut down stump that struggled to bear fruit fruit to begin with.

In this example you prior plan of waiting for the mgtox damage to artificially lower the value of BITCOIN then but BITCOIN was wise but mgtox does not offer enough potential for the risk
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varikonniemi
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Re: Bitcoin mining made easy

Post by varikonniemi » 21 Feb 2014, 09:46

It is very unlikely mtgox is insolvent, they have collected tens of millions in trade fees. They just lost some coins in the malleability attack and now they are trying to make sure this does not happen again. Since they are greedy and incompetent this takes some time.

If you think they have problems with solvency, then here is a nice strategy to take advantage of the situation without taking any risk:
1) Say for example that you have $ 1000 on MtGox. Buy BTCs on MtGox at the current rate of 112.09 USD/BTC, giving you 8.92 Bitcoins on MtGox.

2) Open an account on https://bitcoinbuilder.com

3) Get verified ( takes less than 24 hours )

4) Bitcoin Builder will give you an internal MtGox address to deposit your MtGox BTCs to. Choose Withdraw Funds on MtGox and send it to this Bitcoin Builder address. ( transactions between internal Gox addresses still work )

5) You'll immediately see your GOX-BTC balance increase on the Bitcoin Builder website

6) Sell your GOX-BTCs for real BTCs at the awful rate of 0.43

This means, if you just bought 8.92 BTC on MtGox, the market at Bitcoin Builder will give you 3.84 real BTCs in exchange. That's an awful rate but don't worry, because...

7) Withdraw your, now real BTCs, to any wallet / exchange / etc. For example Bitstamp.

8) Sell your Bitcoins on Bitstamp at the current rate of 570 $ / BTC

9) Your 3.84 real BTCs are now worth $ 2189

10) Your $1000 that was stuck on MtGox, is now free, and worth $ 2189. That's almost 120 % profit.

11) You're welcome
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cheapsheep
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Re: Bitcoin mining made easy

Post by cheapsheep » 21 Feb 2014, 13:00

varikonniemi wrote:They just lost some coins in the malleability attack
.
$5m was seized by US govt. MtGox was hacked too, how much did they lose?

And who knows what else? They are not publicly traded, so they don't have to report much...
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Cheesecan
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Re: Bitcoin mining made easy

Post by Cheesecan » 21 Feb 2014, 14:05

Varikon I read about btc builder before and had the same idea as you. It's almost the same as trading spreads on stock exhanges. Except the spread is huge here

But I disagree there is risk. What about identity theft as I mentioned earlier. If btcbuilder also requires an ID photo then the risk already doubled.

May be other risks too, how many have tried btcbuilder and for how much. We cannot know since it's happening of the records.

But of course everyone wants to make the right moves before things change. So we must assume we're not the first. Money printing presses don't exist for us 'small people'.
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cheapsheep
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Re: Bitcoin mining made easy

Post by cheapsheep » 21 Feb 2014, 19:42

http://www.reddit.com/r/Bitcoin/comment ... mtgox_was/

unverified, but interesting... and should be enough to prevent you to try to jump in to get cheap coins...
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very_bad_soldier
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Re: AW: Bitcoin mining made easy

Post by very_bad_soldier » 22 Feb 2014, 02:32

If you are into that greed vs brain game, don't let greed win.
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Cheesecan
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Re: Bitcoin mining made easy

Post by Cheesecan » 22 Feb 2014, 14:06

Seems to me those things are not in conflict - much.
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varikonniemi
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Re: Bitcoin mining made easy

Post by varikonniemi » 22 Feb 2014, 14:19

cheesecan: Yeah, i meant that not taking any risk in waiting to see if gox is solvent or not. There is always risk in trusting your bitcoins with a third party, but the owner of bitcoinbuilder is reputable, he is the founder of dreamhost. I don't know if they require ID or only email verification. I hate that there is no universal and secure way to prove identity over the net.

I think Bitcoin can change this by having someone trusted guarantee the identity of the holder of a address. Then you can prove your identity by signing a message using it.
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smoth
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Re: Bitcoin mining made easy

Post by smoth » 24 Feb 2014, 21:24

CLOP CLOP!

Image

http://www.businessinsider.com/a-pony-b ... ies-2014-2

BEWARE!

Apparently there is a malware stealin' your wallets!
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cheapsheep
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Re: Bitcoin mining made easy

Post by cheapsheep » 25 Feb 2014, 04:40

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Cheesecan
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Re: Bitcoin mining made easy

Post by Cheesecan » 25 Feb 2014, 18:47

Looks like a lot of people just lost their money. Glad I wasn't one of them.

Tx malleability in use since 2011, nobody over there noticing? C'mon. #yakuza
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cheapsheep
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Re: Bitcoin mining made easy

Post by cheapsheep » 02 Mar 2014, 16:43

thread is surprisingly quiet, during these troubled times!
bitcoin is not dead :)
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smoth
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Re: Bitcoin mining made easy

Post by smoth » 02 Mar 2014, 16:50

cheapsheep wrote:thread is surprisingly quiet, during these troubled times!
bitcoin is not dead :)
because you rage at me for posting negative stuff. I don't want to start crap in this thread so I am not posting as often as I was before.
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