bittah.com!~

[Crioca]

I cashed out half my at about $500 USD, cashed out half again at $1000, if it gets to $2000 I’ll cash out half again, but I think it’ll crash well before then.

I’ve made a significant sum, nothing that’ll let me quit my job but significant. Funnily enough it was my job (information security) that got me interested in mining bitcoin as quaint use of cryptography.

If you don't create anything of value, it's not worth anything. O_O

That’s a tautological statement though; both ‘Worth’ and 'Value' are completely abstract concepts and entirely subjective. The simple fact that people value bitcoins mean they have value, at least for the moment. (That’s also a tautological statement haha)

I couldn't agree more with you. I guess what makes this appealing is there can only be so many bitcoins in circulation - after this you can't counterfeit them, you can just "print them" like the greenback etc. - Making it a deflating currency rather than inflating.

It makes more sense if you don’t think of bitcoin as a currency, because currency isn’t the most fitting description for btc; it’s really more of a fungible commodity.

The reason the value of btc is climbing so quickly is that it’s a very liquid asset (it can be converted into cash very easily), it’s got a steady supply, and its value is increasing faster than that of cash.

But the thing is that bitcoin is only useful as a form of currency, not as a commodity. But almost all of its value is as a commodity. This makes for as textbook a bubble as you can get: the more inflated its value as a commodity, the less its usefulness as a currency.
If the price growth stagnates then people it’s no longer valuable as a commodity and people will sell.
Once price starts to fall significantly, a lot of people will start to sell.
Once the price is falling fast enough, no one will want to accept it as currency.
At which point it will have value as neither commodity, nor currency.
At which point bitcoin will be dead.

[ikonz0r]

I cashed out half my at about $500 USD, cashed out half again at $1000, if it gets to $2000 I’ll cash out half again, but I think it’ll crash well before then.

I’ve made a significant sum, nothing that’ll let me quit my job but significant. Funnily enough it was my job (information security) that got me interested in mining bitcoin as quaint use of cryptography.

If you don't create anything of value, it's not worth anything. O_O

That’s a tautological statement though; both ‘Worth’ and 'Value' are completely abstract concepts and entirely subjective. The simple fact that people value bitcoins mean they have value, at least for the moment. (That’s also a tautological statement haha)

I couldn't agree more with you. I guess what makes this appealing is there can only be so many bitcoins in circulation - after this you can't counterfeit them, you can just "print them" like the greenback etc. - Making it a deflating currency rather than inflating.

It makes more sense if you don’t think of bitcoin as a currency, because currency isn’t the most fitting description for btc; it’s really more of a fungible commodity.

The reason the value of btc is climbing so quickly is that it’s a very liquid asset (it can be converted into cash very easily), it’s got a steady supply, and its value is increasing faster than that of cash.

But the thing is that bitcoin is only useful as a form of currency, not as a commodity. But almost all of its value is as a commodity. This makes for as textbook a bubble as you can get: the more inflated its value as a commodity, the less its usefulness as a currency.
If the price growth stagnates then people it’s no longer valuable as a commodity and people will sell.
Once price starts to fall significantly, a lot of people will start to sell.
Once the price is falling fast enough, no one will want to accept it as currency.
At which point it will have value as neither commodity, nor currency.
At which point bitcoin will be dead.

Interesting post given the date, and what they were trading at then compared with now after the China pump and scare dump.

I still see its potential as a means of transferring currency globally. Be them worth $1 or $10,000
It truly is an amazing concept.

[philmarcracken]

If you don't create anything of value, it's not worth anything. O_O

That’s a tautological statement though; both ‘Worth’ and 'Value' are completely abstract concepts and entirely subjective. The simple fact that people value bitcoins mean they have value, at least for the moment. (That’s also a tautological statement haha)

At the time, i was referring to not creating anything. Which most people still don't do; someone created bitcoins as a you say; a semi commodity with built-in rarity.

Many people only exist to be the 'first' to 'secure their spot' in this new launch of program X thats 'already gone viral.' They just lack anything of any real substance, zero content. Ponzi or other completely worthless shifting of arbitrary numbers using 'link referrals' 'autoresponders' and on and on.

I dont care if its called bitcoins and its completely digital. Its got alot more merit than 90% of the other shit ive seen online

[ImPaLoR]

Anyone got some ideal hardware specs (quality GPU right?) for mining bitcoin?

Also found this randomly:
[youtube]http://www.youtube.com/watch?v=w4HGVJjqDVk[/youtube]

[ikonz0r]

Anyone got some ideal hardware specs (quality GPU right?) for mining bitcoin?

Don't bother. Mining difficulty is increasing exponentially.

Even a 7970 ($450 Card) will only do around 650Mh/s - At this speed it will take you 250 days to mine 1 coin at the current difficulty. However as the difficulty is always increasing it would be more like 5-10 years if things continue the way they are.

Your better off just buying half a coin. Or if you're still intent on mining you will have to look at ASICS (Custom made hardware) - But acquisition is basically a lottery when it comes to them.

[PeTtY]

You could always look into mining other crypto currencies. Some will be more profitable than bitcoin in the short term but I doubt any will blow up the way bitcoin has. litecoin is getting some attention at the moment though.

http://www.coinwarz.com/cryptocurrency

You also have to take into account electricity costs. At the moment unless you have an ASIC miner as mentioned above you will probably end up paying more for electricity than you actually make.

[ImPaLoR]

heh.. would be nice to have a nice big solar array that had enough juice for a rig

[Plazbot]

If I did have bit coins, how would I convert them into Aussie Dollars?

[jazzymcsleazy]

you would not sell yet as price crashed to 1000 > 450, but is back up to almost 550 now

you'd sell them for USD to one of the random traders or exchanges

[Plazbot]

That's not my question. I wanted to know who changes them into actual cash that I can spend on beer and porno. I don't have any to actually sell.

[Bash]

i started mining dogecoins yesterday. don't have a clue why though.

[PeTtY]

i started mining dogecoins yesterday. don't have a clue why though.

I've been mining them for a couple of days...If it gets anywhere near the profitability of other litecoin type coins I'll be rich..Heres to hoping

[PeTtY]

That's not my question. I wanted to know who changes them into actual cash that I can spend on beer and porno. I don't have any to actually sell.

theres a few exchanges that will convert to USD for you. Mt gox being on of them i believe

[Seab4ss]

I just installed the dogecoin client. I have followed this coin mining thing from afar for a while now. Are there any obvious pitfalls/things to be wary of that a noob may not know or consider? Like this for example http://en.reddit.com/r/Bitcoin/comments ... erroneous/

[PeTtY]

Don't mine on an Nvidia card. Chances are you'll pay more in electricity than you will make.

http://www.coinwarz.com/cryptocurrency

plug your hashrate and energy consumption per day in there and it will tell you if its profitable or not.
Find your card listed at https://litecoin.info/Mining_Hardware_Comparison and it will tell you what hashrate others are getting with your card.

Join a decent established pool or else you risk the owner running off with your coins (rare but it happens).

If you start getting a serious amount of coins, encrypt your wallet and never use an online wallet

If you plan on investing real money don't invest more than you can afford to loose, cryptocurrency market is extremely volatile as evidenced by the 600$ drop in BTC prices a couple of days ago.

Hold some of your coins because u never know...

As it stands now the difficulty is at like 370 meaning lots of guys have already missed the boat to make big bucks. But if you keep upto date with the scene and begin mining a new coin in the first few days you can make some serious cash just day trading.

[Seab4ss]

Thanks for the tips. I think its time i look up a beginners guide, what is the benefit of being in a pool? do you have to be in a pool?

[PeTtY]

what your doing while mining is kinda like using your GPU to solve "blocks", Once a block has been solved its worth a set amount of coins. As the difficulty increases it becomes much harder to solve that "block". Solo mining means its just you trying to solve that block by yourself. The payout will be huge but atm it would take me over a year (If I'm lucky) to solve a block by myself. Pool mining addresses this issue by bringing lots of guys together all trying in unison to solve that one block. Naturally the payout is much less as the payout is split between everyone who helped solve that block but you also solve blocks at a much quicker rate (my pool solves a block every 30 mins or so).

Solo mining is usually never worth it as I said above I could leave my PC on 24/7 for a year straight and never solve that block.

[Seab4ss]

Might be time to put my old 6970 in my work computer that i leave on 24/7. I normally have it running boinc - seti@home, but shit - digital coin mining sounds much better.

What is a good way of finding a pool that is reputable?

[PeTtY]

first page of the official doge forum has a nice list of pools. https://bitcointalk.org/index.php?topic=361813.0 Also has some newbie guides you might wanna take a read of.

Although I'd take a read of the last few pages as pools often get recommended.

[MikHail]

That's not my question. I wanted to know who changes them into actual cash that I can spend on beer and porno. I don't have any to actually sell.

At the Crypto Coin Exchange

Australian ones I use are

btcmarkets.net

coinjar.io

I have successfully withdrew money from btcmarkets.net

However I do no shop at those Exchanges, I shop at http://www.btc-e.com then transfer them to btcmarkets to dump them for cash