2 votes

Bitcoin up, Precious Metals down

So I, like so many people, have put their savings away in Gold and Silver.
Now, it seems like the cartel wants to slap us in the face again.
Figures I only bought one Bitcoin.
Bitcoin is up to $105 and climbing while Silver has been smashed down to $27.50.

Will you buy Bitcoins or Silver?




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SteveMT's picture

Ron Paul is nearly 100% invested in gold and silver mines.

Long-term, he comes out ahead of the rest. I think that Ron Paul would be very wary of investing in Bitcoin.

Ron Paul's Long-Term Holdings Outperform the Market and Most Pros
http://lewrockwell.com/spl3/ron-paul-investments.html
While his portfolio may lack some diversification, Paul has had a focused buy and hold strategy over the last decade. His strategy has worked out well for him, largely because the focus of his investments has been gold.

Ron Paul has consistently argued that high inflation was coming on the back of loose monetary policy. Paul has claimed that this coming inflation could hurt the lower classes worst of all, because they will have few options to protect themselves from inflation other than keeping some of their savings in gold and silver.
http://lewrockwell.com/spl3/ron-paul-investments.html

For over 15 years, Congressman Paul has held shares of gold and silver miners ....
http://lewrockwell.com/spl3/ron-paul-investments.html

He's not wrong to invest in PMs

He's not wrong to invest in PMs. That's not even a question to us Bitcoiners.

But just because Ron Paul doesn't hold any Bitcoins doesn't mean that Bitcoin is a bad thing. You know, it IS possible for Ron Paul to be wrong about something...!

SteveMT's picture

Sure. Ron Paul can be wrong sometimes.

However, about gold? Ya think? Gold = Ron Paul, IMO.

I just said he *wasn't* wrong about gold....

...

SteveMT's picture

Call it the 'feeding-frenzy' phenomenon.

As with many commodities as the price goes up, it causes more people to jump on the buying bandwagon because they don't want to be left out, no matter how high the price increases. Likewise as the price decreases, more people sell because they also don't want to lose even more. Both of these buying-selling trends are with people not looking for long-term protection, IMO.

Have you ever seen the movie "Trading Places?"

Bitcoin is hot for

Bitcoin is hot for speculators right now and it may heat up or cool down in the future, but nothing attracts speculators like a hot, growing investment.

Do not be a populist

Investment, like any idea and action, needs a context. You should know what you bought silver and gold for and when will you cash it in.

That WHEN is important. Because weak-minded parrots are unhappy that gold is low now. But for those who are not planning to sell today, low prices are good. 1) less taxes; 2) can buy more.

The "nail in the Bitcoin coffin" for me was FOX talking about it

I had odd suspicions about Bitcoin as it seemed that those in favor of it talked in circles a lot. Something I've become quite vigilant of. But to have FOX News actually talk about it, screams Establishment corruption.

Seeing as the Banksters ultimate goal is to have a cash-less society with all finances being digital in nature, I'm having a hard time separating that goal and Bitcoin.

Pardon the pun, but I don't buy it.

"We are not human beings having a spiritual experience; we are spiritual beings having a human experience"—Pierre Teilhard de Chardin

Cashless society

Humor me. What's wrong with a cashless society?

Nothing.

My reluctance is to a digital currency, such as Bitcoin. Right now many problems are due to the endless Printing of fiat currency. Replacing that with eventually-hackable computer code is a step in the NWO direction.

Now, unless we can somehow move to a resource based economy that is cashless, that's a different story and one I look forward to.

I just find the dots a bit to "convenient" to connect; You have a looming Global Financial meltdown and suddenly the Corporate Media is talking about Bitcoin? If it was such a threat to the Bankster Cartels, would their Media Talking Heads really be allowed to talk about it and how its value is on the rise?

"We are not human beings having a spiritual experience; we are spiritual beings having a human experience"—Pierre Teilhard de Chardin

"Eventually hackable" = lazy argument.

It's incredibly lazy and intellectually dishonest you armchair critics of Bitcoin to just throw out "eventually hackable". I'm not going to say that it's impenetrable, because it's not. But all the uber-dorks who first started using bitcoin have read the code. They know exactly where the weaknesses in bitcoin lie. _I_ know exactly where the weaknesses in bitcoin lie. Do you?

Bitcoin is not "hackable," at least not in the way you're thinking. There is a way to subvert bitcoin, but hacking, internet kill-switches, and EMPs aren't it.

Though I doubt you'll believe me, I'll still say it: Bitcoin is rapidly approaching a critical mass, after which even its weaknesses will be cost prohibitive (read: "impossible") to exploit by a nefarious entity.

Before writing it off as "eventually hackable," I recommend educating yourself on why Bitcoin is not susceptible to "hacking".

Sure. got any links?

I didn't profess to be a Bitcoin expert and I'm hardly an "armchair" critic, I simply don't know much about it other than it is a digital currency, which is something I personally am a bit wary of considering current events in the global economy. I'm hard to sell on virtual money. Perhaps I just haven't heard a convincing explanation of how it all works. If there is some literature you can point me to, I'll be happy to read it.

"We are not human beings having a spiritual experience; we are spiritual beings having a human experience"—Pierre Teilhard de Chardin

Here's an explanation of the mechanics of Bitcoin

Here's an explanation of the mechanics of Bitcoin and why it is so difficult to stop: http://www.dailypaul.com/279171/why-bitcoin-cannot-be-contro...

Also, if you're interested, I'm writing a series of articles on "Getting Started with Bitcoin", which explain many of the fundamentals, including why the security works. The series starts here: http://www.dailypaul.com/279662/getting-started-with-bitcoin...

There are many people on these forums who will be pleased to answer your questions on Bitcoin, myself included.

Sometimes your intuition knows something you don't yet

Just wanted to jump back here in light of the plunge Bitcoin has taken in recent days, along with gold and silver, and say that this is the type of "insecurity" I feared when it came to Bitcoin. Even if Bitcoin was a great sound proposition, TPTB still have the control to manipulate markets however they see fit.

"We are not human beings having a spiritual experience; we are spiritual beings having a human experience"—Pierre Teilhard de Chardin

Thanks for those.

However, my concerns remain but I will keep an open mind as things continue to unfold.

"We are not human beings having a spiritual experience; we are spiritual beings having a human experience"—Pierre Teilhard de Chardin

A cashless society is

A cashless society is something that has been warned about for years, but apparently the Daily Paul endorses it by continuously promoting it on the front page. Cant wait until the Daily Paul promotes biometric RFID chips; for liberty of course.

Elaborate

You know that's not what I was asking. Please elaborate exactly what's wrong with a cashless society.

Cashless indeed. What's

Cashless indeed. What's disappointing is that the DP regularly promotes bitcoin on its front page. The DP used to be my favorite site because it stood for truth and hard assets like gold over fiat. "Peace. Gold. Liberty" needs to be changed to "Peace. Fiat. Liberty."

i agree with you..

but bitcoin is also experimental and should be discussed. I have not invested in it and do not really plan on it... but that does not mean it shouldn't be discussed

"When the people fear the government, there is tyranny. When the government fears the people, there is liberty."

-Thomas Jefferson

Theres a huge difference

Theres a huge difference between discussing and promoting.

true

i guess the best place to advertise a digital currency would be on forums that cater to people that believe the collapse of the dollar is inevitable

"When the people fear the government, there is tyranny. When the government fears the people, there is liberty."

-Thomas Jefferson

This bitcoin thing reminds me

This bitcoin thing reminds me of the beenie baby craze during the 90s. I prefer beenie babies. At least the people who were left holding them could use them as kindling.

intrinsic value

Can someone tell me what gold is backed by?

It seems to me that it is backed by confidence -- you know, the same thing that Bitcoin is backed by.

Value is subjective. There is no such thing as intrinsic value.

If everyone lost their interest in gold as money -- the gold price would plummet. This is also true for Bitcoin.

I love how the subjective

I love how the subjective value theory is being voted down. This website has really gone off the deep end.

the table of periodic elements

Last time I checked, alchemy didn't work.
Bitcoin may be all that and a bag of chips, but
Only until another crypto-currency comes on the
Scene...maybe it'll be called coinbit.

Not choosing to take a side in

the current discussion of bitcoin, I just wish to point out, for accuracy's sake, that not only can scientists convert one element to another (currently in very limited amounts) but this process occurs naturally all the time: Radioactivity, stellar fusion, and atoms decomposing from having their nuclei impacted by radiation.

And the cryptography behind Bitcoin

And the cryptography that makes Bitcoin work is "backed" by the laws of mathematics.

..."periodic table"... (*eyeroll*)

ok try reading my post again.

until another crypto-currency comes along...

SteveMT's picture

Gold backs itself. So does silver. They stand independently.

The value is in the coin itself. It doesn't matter what country's mint marks are on it. Gold and silver are stand alone currencies. You need no hope or trust like fiat currency. If you possess the coin, you also possess the value inherit in the energy required to mine, purify, and form this coin.

Value is objective when it come to gold and silver.

Then why can't Bitcoin back itself?

.