Hell Yes, I Bitcoin

[plenzmd1]

2 hours ago, GG1 said:

 

Why can't it be a floor wax and a desert topping?

 

No different than any other class/currency that's highly liquid

Not quite sure I follow?

[GG1]

5 minutes ago, plenzmd1 said:

Not quite sure I follow?

 

At a very basic level bitcoin is an asset that exhibits high volatility.  But its high liquidity also makes it a form of readily transferrable currency.    Essentially it would be the same if there was a more liquid market for stocks & bonds - if you could walk into 7/11, cut a piece of your stock certificate and pay for a six-pack.

 

Your bitcoin decision should be the same as with any asset, and the limit right now is that there isn't a fully developed market to margin/leverage your bitcoin holdings.  For comparison, when you walk in to buy a Tesla, you have a choice to pay cash or finance it.  If you pay in cash, you are probably liquidating another longer term asset, and are forgoing the appreciation potential of that asset in exchange for wholly owning the Tesla.

[Foxx]

1 hour ago, plenzmd1 said:

#1) Yes, BTC in specific.

 

2) In terms of the gold substitution, i think that's my point. No one pays in gold for anything anymore really...at least not on a mass scale. I assume the same will be said for bitcoin, so the argument of the bullish side that it becomes normalized fro commercial transactions just makes no sense to me...and its driving me nuts cause i figure i have to be missing something.

It is probably all part of the evolutionary development.

 

Back in the day when I bought it @ $5 per BTC, I thought nothing of giving it away. When it went to two and three digits, I spent it like water. When it went to four digits, I was quite a bit more conservative with how I conducted transactions. At five digits, I began to HODL.

 

At single digits, it was a novelty. At double digits it became a curiosity. At three and four digits, you began to see retail creep in. Five digits brought about institutional interest. I suspect the institutional interest level of interest will be true of six and possibly seven digits as well.

 

I guess the real question here is, at what level does it become a nation-state interest. The collapse of the dollar? We have already seen this become the case in the country of Kenya as well as many other African nations and other third world countries. Their currency is quite volatile when placed against the US Dollar. Bitcoin offers them a great bit more stability.

 

You might say that BTC is extremely volatile and you would be right. But if we boil it down to where I previously instructed, that the time has come to think in terms of Satoshi, the level of volatility is greatly reduced.

[Foxx]

Speaking of NFT's.

 

 

Mark Cuban: Crazy NFT prices ‘will settle down’ over time, but the tech is here to stay

Billionaire investor Mark Cuban has been at the forefront of the wave of interest in blockchain technology, smart contracts and NFTs, or non-fungible tokens.

 

It’s “like the early days of all new tech, the excitement sometimes creates some unique situations,” Cuban tells CNBC Make It.

 

Recently, NFT-based art in particular has been selling for sometimes hundreds of thousands of dollars, but according to Cuban, “as more entrants come into the [NFT] market, it will become more efficient and the pricing will settle down,” he says.

 

NFTs are unique cryptocurrency tokens used to represent assets, like works of digital art, music or movies. NFTs can be bought and sold, like physical assets, but since they run on blockchain, a decentralized digital ledger that documents transactions, ownership and validity of the asset they represent can be tracked. ...

[Foxx]

https://twitter.com/JoePompliano/status/1370871325712121858

 

[plenzmd1]

BTC goes up next two weeks as stimulus checks. to be who do not need them, put them into BTC

[Sherpa]

For what it's worth.

I don't participate in this, but....

 

Filing a 1040 this year asks if you have had bitcoin transactions in 2020.

The gov cannot, as yet, effectively track those transactions.

Thus,  while they desperately want to tax them, it is largely a voluntary disclosure.

 

So....What do they do?

They ask a question on the 1040 filing if you've had these transactions.

What they are really doing, because of the nature of the 1040, is setting you up for a perjury charge if they ever find out you were part of this, and didn't report it.

A 1040 requires a signature that everything you said is the truth.

 

If any other person reports a transaction, and it involves someone who said "no" to that question, it is a perjury offense.

[GG1]

4 hours ago, Sherpa said:

 

 

If any other person reports a transaction, and it involves someone who said "no" to that question, it is a perjury offense.

 

Same question applies to out of state purchases for which you're required to pay state tax on.   I usually throw in an amount in there to keep the disclosure honest.

[plenzmd1]

Okay @Foxx, need you guidance again. This guy founder on Andreesen Horowitz , maybe not quite as much clout as Elon , but damn it is close. 
 

Have no clue what this is, but is it a threat to Bitcoin? In a larger sense, can’t BTC always have competitive threats posed by large investors/institutions? I mean what’s to stop Visa from creating their own? Man, I just get so confused. Should I sell BTC?

https://twitter.com/bhorowitz/status/1373000078043004928?s=21

 

https://twitter.com/bhorowitz/status/1373000077967507460?s=21

 

hmm, looks like he has deleted the tweets

Edited March 19, 2021 by plenzmd1

[Foxx]

1 hour ago, plenzmd1 said:

https://twitter.com/bhorowitz/status/1373000078043004928?s=21

 

https://twitter.com/bhorowitz/status/1373000077967507460?s=21

@plenzmd1 can you summarize what those Tweets said?

 

1 hour ago, plenzmd1 said:

can’t BTC always have competitive threats posed by large investors/institutions?

Of course they can. But there is one thing they cannot compete with, and that is the grand daddy status that BTC will always have.

 

1 hour ago, plenzmd1 said:

I mean what’s to stop Visa from creating their own?

Nothing. However, they will have to evaluate the market and see if there exists a niche that they can fill by doing so and whether or not it would be sufficiently profitable. Expect that you will see many, many institutions create their own coins and tokens (of which will depend upon which market(s) they are trying to capture) in the years ahead. Just as we have seen since the explosion of ICO's in late '17, not all are going to make it though.

 

1 hour ago, plenzmd1 said:

Man, I just get so confused. Should I sell BTC?

I do not, never have and never will offer investment advice. I do not want that karma. This is why I always state that it is imperative one do their own due diligence on any investment vehicle and make sure you are well educated before investing. That said, I think you and most everyone else who follows my postings on this topic knows, I am and have always been very bullish on BTC. And... with where it stands today from my initial forays into this arena, I think my stance has proven itself out.

 

Understand that my initial approach to it was from a mining perspective. Though I do do technical analysis to a degree, I am not really a day trader. I do not attempt to time the peaks and valleys much, instead I play the long game.

 

 

deleted my usual rant, as you have all heard it before...

[plenzmd1]

@Foxx let’s see if this works. First tweet was” I don’t do Crypto, but this is getting ready. 
 

and BTW, thank you as always for helping me learn about this stuff. It is VERY much appreciated!

Edited March 19, 2021 by plenzmd1

[Foxx]

9 minutes ago, plenzmd1 said:

@Foxx let’s see if this works. First tweet was” I don’t do Crypto, but this is getting ready. 
 

and BTW, thank you as always for helping me learn about this stuff. It is VERY much appreciated!

Lol. He probably deleted it because he came to his senses or someone else told him about SEC concerns with regard to pumping a crypto. If he pumped it and sold it at a later point making a profit before it dumped, he might very well have a problem.

[Foxx]

Apologies, didn't have time to post this yesterday. $5.5 billion in options expire today.

 

$5.5 Billion Worth of Bitcoin Options Expire on Friday

 

If we break below the  bottom of this current channel, which is $49K (which has held for months), expect the possibility of testing $40K.

[plenzmd1]

The Mooch thinks like me, likes Ethereum! Should have been like me and bought it 3 years ago to finally be in the black! 
 

in all seriousness, I still like it better than BTC based on my infinitely small, and probably erroneous understanding of the tech. 
 

 

Edited April 5, 2021 by plenzmd1

[Foxx]

7 hours ago, plenzmd1 said:

The Mooch thinks like me, likes Ethereum! Should have been like me and bought it 3 years ago to finally be in the black! 
 

in all seriousness, I still like it better than BTC based on my infinitely small, and probably erroneous understanding of the tech. 
 

 

Ethereum is indeed a great concept. It's blockchain enables 'smart contracts' to be built upon it. It is these smart contracts that has enabled a great many tokens to come into existence at a fraction of the cost it would have to create a standalone blockchain. 

 

However, ETH is and has been experiencing high gas (gas is the cost to conduct transactions upon the ETH blockchain) costs for quite awhile now. In an effort to quell these out of control costs, they are currently in the process of moving from a PoW algo to a PoS algo. 

 

The following is a post I wrote on the subject a couple months ago on another site:

 

Ethereum is in the process of implementing it's ETH 2.0 or if you will, "Serenity" protocols. This is essentially moving from a PoW algorithm to a PoS algo and the implementation of shard chains. The roll out is to come in three phases. Phase 0 began with the launch of the Beacon chain on Dec 1st 2020. Phase 1 will see the introduction of these shard chains which should happen sometime later in 2021. Phase 1.5 is an interim roll out which will see the integration of the shards and PoS to the mainnet and should happen sometime later this year well. Phase 2, which will be the final roll out and actually convert the existing chain to the new PoS algo, sometime after that, hopefully as early as 2022. When the last phase and ultimate switch actually manifests, depends upon the chain being fully secure and passing all audits.

 

The current ETH protocols allow for 30 transactions per second. The current plan is for ZK-rollups to expand the current scaling limitations. This is also an offchain solution but one that will be incorporated every so often. It is currently running on the testnet. It is however susceptible to hacking. Of which, the risk would be confined to within a group of developers being convinced to write a loophole into the code.

 

When ETH 2.0 is finally implemented, in full, it is supposed to allow 100K transactions per second and significantly reduce fees. This would, by far, be the fastest transaction process in existence by current standards. Visa currently allows for 24K TPS (transactions per second), Ripple I believe is somewhere around 1500TPS and Paypal comes in at 193 TPS.

 

One can imagine that if this transactional speed, along with the smart contract ability of ETH actually comes off, what that would do to the price point.

[plenzmd1]

Hmm, BTC  ding weaponized by the Chinese?

 

https://www.google.com/amp/s/www.independent.co.uk/life-style/gadgets-and-tech/bitcoin-china-paypal-peter-thiel-b1828379.html%3famp

[plenzmd1]

Anybody with any idea of what stock to flow is? Guess I have my research assignment for this morning

 

 

[Foxx]

Has the hard resistance of 60K finally been breached?

[Foxx]

Was the reconsolidation at 60K the stall I was expecting to occur @64K? Will we begin to see liquidity problems? Before the next leg up to somewhere around 80K?

[Foxx]

After a bitcoin crackdown, China now calls it an ‘investment alternative’ in a significant shift in tone

BOAO, China — China’s central bank is now calling bitcoin an “investment alternative” — marking a significant shift in Beijing’s tone after a crackdown on cryptocurrency issuance and trading nearly four years ago.

 

Industry insiders called the comments “progressive” and are watching closely for any regulatory changes made by the People’s Bank of China (PBOC).

 

“We regard Bitcoin and stablecoin as crypto assets ... These are investment alternatives,” Li Bo, deputy governor of the PBOC, said on Sunday during a panel hosted by CNBC at the Boao Forum for Asia.

 

“They are not currency per se. And so the main role we see for crypto assets going forward, the main role is investment alternative.”

 

Bitcoin was up around 2% at 12:25 p.m. Beijing time at over $57,134.04, according to Coindesk data.

 

China was once one of the world’s largest buyers of bitcoin. ...