Originally published by Vivek Wadhwa on LinkedIn: “Why Bitcoin Is the Largest Ponzi Scheme in Human History” Believing these people, and afraid to miss out on the gold rush, small-time investors, grandma and grandpa, and barbers and taxi drivers invested their life savings in companies such as Pets.com, Webvan, and eToys. The bubble burst, and they lost everything. Through a transfer of wealth in the billions of dollars from Main Street to Wall Street, VCs, unscrupulous CEOs, and bankers had effectively enriched themselves at the expense of hundreds of thousands of ordinary investors, leaving them to despair about their futures. History is […]
Bitcoin broke above the $12,000 mark Wednesday morning Asia-time, as the cryptocurrency continued its march higher.
As there are so many noobs buying into the “Bitcoin casino” right now, especially in Asia, the crypto-currency is now attracting a lot of people who think it’s just like a corporate stock. In other words, they assume it’s regulated by somebody, that its promoters are subject to laws of some kind, and that the “Bitcoin company” must have all kinds of assets, earnings and profits. Otherwise, why would its value keep rising, right? These assumptions are, of course, completely false. Bitcoin is an entirely different beast… which is what some of us really liked about the Bitcoin structure in […]
Goldman Sachs Calls Bitcoin ‘the Retail Inflation Hedge’ That’s Not a Threat to Gold Goldman Sachs’ head of commodities research calls bitcoin “the retail inflation hedge” and likens the cryptocurrency to copper. He says gold and bitcoin can co-exist and does “not see bitcoin’s rising popularity as an existential threat to gold’s status as the currency of last resort.” Goldman Sachs on Bitcoin, Gold, Copper, and Inflation Hedge Jeff Currie, global head of commodities research at Goldman Sachs, revealed his outlook for bitcoin, gold, and copper on Thursday. Commenting on the recent surge in bitcoin’s price, he said on Bloomberg […]
Elon Musk Ponders Tesla Putting Billions Into Bitcoin, Asking if Such Large Transactions Are Possible Tesla and Spacex CEO Elon Musk made a series of tweets about bitcoin on Sunday. One of them concerns whether it is possible to buy bitcoin in “large transactions,” particularly for Tesla to convert its U.S. dollar reserves into bitcoin. Microstrategy’s CEO told Musk that this move would be “a $100 billion favor” to Tesla’s shareholders that would grow into a “$1 trillion favor.” Elon Musk’s Bitcoin Tweets Elon Musk tweeted about bitcoin several times on Sunday, starting with “Bitcoin is my safe word,” making […]
Summary List Placement Softbank CEO Masayoshi Son said that he “doesn’t understand” bitcoin, and that he spent a good chunk of his time tracking its movement while invested in the cryptocurrency. Son, who made the remarks at The New York Times DealBook conference, said he was told by a friend to invest “1% of his personal assets” into bitcoin, meaning he invested “about 200 million.” After investing the money, Son said he would spend about five minutes each day looking at bitcoin prices fluctuate. While speaking with host Andrew Ross Sorkin, Son said he found the investment to be “distracting [his] […]
The whole of bitcoin’s existence has been characterized by major price swings, “exactly the kind of thing that sustains a long-term trend,” said Thomas Fitzpatrick, global head of the company’s CitiFXTechnicals market insight product, in his report solely intended for the bank’s institutional clients. “This kind of technical analysis is of little value,” ClassicMacro commented in his tweet. “There is no edge in guessing targets so far in time with TA. All we know is that price is likely to continue going up.” A decoupling of gold from fiat currencies, the COVID-19 pandemic and the desire for central banks to […]
Paypal Bought 70% of All Newly Mined Bitcoin Last Month as Demand Rockets Paypal bought up to 70% of all the newly mined bitcoin since the payments giant started offering cryptocurrency services four weeks ago. Now that’s according to estimates by hedge fund manager Pantera Capital, as revealed in its latest monthly blockchain letter. Together with Square’s Cash App, the two companies are buying more than 100% of all newly issued virgin bitcoin (BTC), it says. The letter said demand for Paypal’s crypto service, which runs on Paxos fiat-to-crypto exchange, Itbit, had hit the roof. The exchange “was doing a […]
Bitcoin breaks above $16,000 for the first time since January 2018 Published Thu, Nov 12 20206:15 AM ESTUpdated Moments Ago This content was originally published here.
A bitcoin big short is building. The planned introduction of bitcoin futures contracts at CME Group Inc., Cboe Global Markets Inc. and Nasdaq Inc. will make it much easier to bet on a decline. Hedge funds, which have largely stayed on the sidelines, are waiting for the Chicago Mercantile Exchange’s futures market to open for a fresh opportunity to bet against the cryptocurrency, according to more than a half dozen people trading the assets. “The futures reduce the frictions of going short more than they do of going long, so it’s probably net bearish,” said Craig Pirrong, a business professor at the […]