Would like some more details on bitcoin and mining

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Re: Would like some more details on bitcoin and mining

Postposted on Wed Mar 05, 2014 7:19 am

Article wrote:A normal person is incapable of running their own wallet.


This is key.

To a point, it does not matter if the system really is "perfect." The point is that it will always be implemented by imperfect people, and this problem transcends trust in the exchangers or even bugs in the code.

Something that works perfectly, provided I do it perfectly, is still not very useful. Fastidiously managing a personal hot/cold wallet scheme to make sure that exchangers don't rob me blind means that i have to, unfailingly, do it correctly every time. I don't trust myself to do that, and trusting the average american to do that is simply ridiculous.

How many people can't remember their passwords? How many people don't backup their files? These are known problems to anyone who knows anything about tech support! Leaving aside the annoying hassle and complication of maintaining proper cold/hot wallet separation in the first place, the reality is that people would be losing their cold wallets routinely. This is obvious, because people are already routinely locking themselves out of their accounts and losing all their family photos/videos in HD crashes.

And plenty of people who know better just don't find the time or urgency to actually *DO* better. Just a couple of months I (luckily!) retrieved the contents of a HD that came from a laptop that a cat spilled water all over. It had the only videos and photos of a couple's newborn child (outside of the few they posted to Facebook). The father knew better, he works in tech support. He was sheepish about the whole thing and there was no sense in lecturing him because life just happens.

And if we think malware is bad now, what would happen if BTC actually took the world by storm? Backups and encryption cannot save you if someone has a keylogger on your system. Right now the incentives are lulz, DDoS bots, CCs, etc.. If the incentive was "steal ALL the monies!" I mean, wow. :o Scary! :cry:
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Re: Would like some more details on bitcoin and mining

Postposted on Thu Mar 06, 2014 5:54 am

http://www.scribd.com/doc/210845161/SEC-vs-pirateat40-1
http://www.scribd.com/doc/210845205/SEC-vs-pirateat40-2

:o

If anything in that deposition is true, the "market" for BTC is plainly insane.
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Re: Would like some more details on bitcoin and mining

Postposted on Thu Mar 06, 2014 1:58 pm

After reading those...I gotta say, I hope to never be in court just "answering a few questions"
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Re: Would like some more details on bitcoin and mining

Postposted on Thu Mar 06, 2014 5:07 pm

Glorious wrote:http://www.scribd.com/doc/210845161/SEC-vs-pirateat40-1
http://www.scribd.com/doc/210845205/SEC-vs-pirateat40-2

:o

If anything in that deposition is true, the "market" for BTC is plainly insane.

Holy crap. This all happened at a courthouse 5 minutes from my office. Surprisingly, there has been nothing on the local news about it that I've seen.
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Re: Would like some more details on bitcoin and mining

Postposted on Thu Mar 06, 2014 6:25 pm

jss21382 wrote:After reading those...I gotta say, I hope to never be in court just "answering a few questions"


Hope they had some water for that dude.
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Re: Would like some more details on bitcoin and mining

Postposted on Thu Mar 06, 2014 6:36 pm

Yeats wrote:
jss21382 wrote:After reading those...I gotta say, I hope to never be in court just "answering a few questions"
Hope they had some water for that dude.

Even if you're on the gov't side of the case it's a whole lot more than a "few questions". And yes, at least in the VT Federal Court in Burlington there's a water tap at the witless stand. BTDT and the couple pleaded out. Have a sentencing to see 4/14/14.

The day job has its odd perks. Sentencing hearings are one of them. She's already plead out; I just want to stare her down as she leaves court under the control of the baliff on the way to the Federal Pen. It's the only way I can get back the years she led us on a merry chase. No, there's no revenge in this job.
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Re: Would like some more details on bitcoin and mining

Postposted on Fri Mar 07, 2014 8:23 am

Dorian Satoshi Nakamoto is alive and well and living in Temple City, California.
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Re: Would like some more details on bitcoin and mining

Postposted on Fri Mar 07, 2014 1:01 pm

I kinda of doubt that's legit.
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Re: Would like some more details on bitcoin and mining

Postposted on Fri Mar 07, 2014 2:07 pm

Newsweek wouldn't put it on the cover of their magazine if it weren't true, would they?
http://www.forbes.com/sites/kashmirhill ... ournalism/

Oops. We seem to be back to the whole "trust" issue again.
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Re: Would like some more details on bitcoin and mining

Postposted on Fri Mar 07, 2014 5:37 pm

The seedy underbelly of cryptocurrency continues to gain traction in the media
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Re: Would like some more details on bitcoin and mining

Postposted on Sat Mar 08, 2014 11:49 am

Captain Ned wrote:Here in the US, if your SSN or Tax ID # flows over $10,000 of cash (gross flow, adding deposits, withdrawals, exchanges, any passing of currency to/from) through a single financial institution in the same business day, said institution MUST file a Currency Transaction Report (CTR) with the Financial Crimes Enforcement Network (FinCEN) through their on-line portal in Detroit.


I have an extremely retarded question - Does this exclude DD tax returns?
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Re: Would like some more details on bitcoin and mining

Postposted on Sat Mar 08, 2014 3:36 pm

Convert wrote:
Captain Ned wrote:Here in the US, if your SSN or Tax ID # flows over $10,000 of cash (gross flow, adding deposits, withdrawals, exchanges, any passing of currency to/from) through a single financial institution in the same business day, said institution MUST file a Currency Transaction Report (CTR) with the Financial Crimes Enforcement Network (FinCEN) through their on-line portal in Detroit.


I have an extremely retarded question - Does this exclude DD tax returns?

Yes. It applies only to currency (i.e. bills & coin).
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Re: Would like some more details on bitcoin and mining

Postposted on Tue Mar 25, 2014 5:49 pm

And the IRS has now chimed in. In their eyes, crypto-currencies are property, not currency. IOW, you've got to pay capital gains taxes if you exchange yours at a profit (and you get to write off any losses).

http://arstechnica.com/tech-policy/2014 ... -currency/
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Re: Would like some more details on bitcoin and mining

Postposted on Mon May 26, 2014 10:25 am

Came across this today: http://willyreport.wordpress.com/

Looks like there's some pretty good evidence that last year's Bitcoin price bubble and the collapse of Mt. Gox earlier this year were due to a coordinated, ongoing flow of fraudulent trades, either by a Mt. Gox insider/owner or someone who managed to hack into their systems and plant malware on the servers running the exchange.
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Re: Would like some more details on bitcoin and mining

Postposted on Tue May 27, 2014 8:20 am

Cryptocurrency is unregulated.

Unregulated = corrupt. Unregulated industries are fraught with cartels, bribery, favouritism and outright crime - the scale of the corruption is usually inversely proportional to the size and age of the industry, so the smaller and newer the more likely it is to be broken in multiple ways.

I'd say that's a pessimistic cynical view but it's not an opinion it's pretty easily provable fact by just reading the news.
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Re: Would like some more details on bitcoin and mining

Postposted on Tue May 27, 2014 3:28 pm

"willyreport.wordpress.com is no longer available. This blog has been archived or suspended for a violation of our Terms of Service."

Presumably they broke the bandwidth limit? Anyway, found a mirror via Reddit:

http://www.scribd.com/doc/226469238/The ... lly-Report
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