Seems reasonable to me, but do explain (or are you laughing too much??)Originally Posted by Raffe
Willy Woo explains it simply:
You buy 1 BTC right now.
You sell 1 BTC futures contract at a premium right now.
This contract settles at some BTC price (without premium) in the future. You have that value in BTC so fully protected.
You pocket the premium.
Repeat.
That's a normal swap, which is a money market instrument without any exposure to the underlying asset(you are buying and selling bitcoin, net exposure is zero).
A money market transaction which pays 20% is not risk free. Never.
To use that expression is showing complete ignorance of how finance works.
Someone who lies about the little things will lie about the big things too.
I dipped my toe in about 6 weeks ago. Possibly daft and without research but it is a small value I wouldn't cry about if I lost. I went with BINANCE because they appear to be one of the largest platforms. I deposited via faster payment with zero fee, and (albeit after a 2 day wait for the funds to appear in my 'wallet') I used the 'trade' function to switch my GBP to Bitcoin at what appears to be zero fee (could be wrong or maybe there's a buy/sell margin). I've since speculatively traded between crypto currencies (Bitcoin and Ethereum mostly) and - to ensure it was possible - back to GBP to then withdraw £100 to my bank account. All good so far and 90 percent return on my deposit*. I appreciate it's a total game of roulette and I'm going to leave it to ride.
Question to those in the know: am I reasonably safe to leave my modest investment in my BINANCE wallet (double verification is set on my app) or should I move it to some sort of local removable drive (which itself poses risk through loss of passwords, house fire etc.)?
As an aside, being a tech-troglodyte I find the BINANCE app to be way too busy and confusing with pages/tabs full of data and options - looks like something I imagine Raffe would use.
*no skill, pure luck and not a recommendation
I never leave anything on an exchange. withdraw to a hardware wallet - Trezor or whatever. Wallets are under £100
Buy on Amazon, using an email address that doesn’t identify you and get it delivered to somewhere other than where you will keep the device. Also ensure it’s sealed on arrival.
Last edited by demonloop; 20th February 2021 at 20:41.
Thanks Raffe. Not for me and hodling seems to make better gains atm. Wish me good luck anyhow - seems your good luck worked on my KR1 trade ;)
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Agree it is not risk free. There is the following for Crypto:
Counterparty risk.
Value risk.
However fiat would also be the same:
Counterparty risk.
Value risk.
At this point I'd say holding and playing in fiat is a greater risk as it gets QE'd down the toilet. Others will have a different view.
Anyway, the above was to point to the mechanisms in which exchanges, etc can offer 6% interest.
I have coins on various exchanges and a cold storage wallet too.
Most holdings I have in exchanges are coins that are transient to trade and stack Sats with.
This is a personal risk decision. I feel the opportunities of having coins on the exchanges outweighs sitting in cold storage. I have friends who have all on exchanges and others with all in cold storage.
I had coins sitting on exchanges from 2018 to last year when I finally activated and set up my cold storage wallet I'd bought in 2018!
I'm now looking at setting up a node to do my bit for Bitcoin too.
Planning to set the node up using this: https://getumbrel.com/#start
A mate has just done it so I'll have help if needed. Project for March.
Interesting.. I may do the same - but thinking other crypto may have better returns - like Dogecoin? Good project for the kids!
Bit of a result yesterday! Opened my old Binance account as fancied dabbling in a few coins that aren't on Coinbase. Thought it was empty but lo and behold have balance of ~£1,000 in various coins: - £350 XLM, £300 XRP, £200 ADA and a few other bit and pieces.
Remember Ripple but TBH can't remember buying some of the others, maybe some have come from forks or free distributions, not sure. Had't looked at account since 2018 and had to jump through hoops to get back in, esp. as didn't have it on Google Authenticator.
Seems like a good way to evade / avoid inheritance tax too, convert cash savings to a crypto wallet and leave the wallet and login to your benefactor? Would it be that easy?
Cheers..
Jase
There is no (financial) return from running a bitcoin node - it is purely helping to maintain the network.
Isn't that the same as giving them a wad of cash?
Why would it relief the recipient from their duty to pay taxes? There are plenty of possibilities to evade taxes and I am sure they are vastly overrepresented in the world of crypto. Doesn't make it legal, though.
Someone who lies about the little things will lie about the big things too.
Depends how deep the authorities delve, they could see money going into the exchange for example. Would be easier to leave cash TBH.
Yup quickly realised that. Ooops.
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I get that it would be illegal, hence the evade part of my post, I was just thinking it’s a modern way to leave cash to someone without it being in a suitcase full of notes and not much oversight.
Cheers..
Jase
And risk the chance of a 40% drop? I’d prefer a wheelbarrow of cash personally
Gold bars or a few Rolex!
I remember reading about people buying woodland in the Uk which is not subject to CGT or inheritance tax.
You buy a large wood for £10m, die, children sell large wood for £10m. No tax.
58k gone. There must be some sort of correction soon, surely.
I keep telling myself that every day lol just doesn’t seem to happen
I may up this to supporting the lightening network too. That can earn some fees, but won't make me rich. It is more about supporting the network and the great work others are doing.
If we follow the same pattern as the last bull then we will see sawtooth uplegs and corrections. I believe we are in an upleg phase.
Previous uplegs were between 106% and 238% of the correction low. That would give a range of $59k and $96k based on the $28.5K low if we see the same type of behaviour as previously.
There’s definitely something different happening on this run. It will be interesting to see if there are any more disclosures as and when companies make filings.
Last edited by demonloop; 21st February 2021 at 21:37.
That’s my thinking as well something is different, the whole thing just seems irrational. I don’t pretend to understand it and I’m enjoying riding the wave with my small punt years ago
When will this criminal be finally arrested?
Someone who lies about the little things will lie about the big things too.
Should happen.
Won’t happen.
Clearly thinks he can do what he likes.
Why is Elon tweeting about a token any different to any other celebrity doing it?
He’s not (this time) tweeting stuff that would require a Tesla RNS or be in breech of his obligations as a director, so what’s the issue with Doge?
He has said multiple times that he bought a ton for his son. This is price manipulation für personal gain.
Someone who lies about the little things will lie about the big things too.
Because he is a chancer with a big budget, he is playing the market and people to see the reaction.
When you look long into an abyss, the abyss looks long into you.........
Yup cos being the richest man in the world is not enough for him.
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Bezos overtook him again last week - but I don't think this is about $$$ but simply about his overinflated ego.
As someone interested in finding out about bitcoin, but never dabbled before, are there any good guides worth reading?
Started out with nothing. Still have most of it left.
Binance has a good academy that is free to access.
A million talking heads on Youtube, I normally recommend Crypto Casey for crypto basics.
Peter McCormack has some good podcasts & resources on his website https://www.whatbitcoindid.com/
Well that was quite a dip!!
Maybe it was some good old manipulation while Apple bought a few billion quids worth.
I did the same the other day! God knows how many millions, (billions?) are sat in forgotten accounts and USB drives in the back of the drawer.
Low was $46,600 Wow.
<elon musk tweet> Dojo 4 Doge </tweet>
Someone's looking into it - https://papers.ssrn.com/sol3/papers....act_id=3778844
However, going by the summary I wouldn't hold your breath. They certainly don't appear to meet President Truman's idea of a one armed economist/statistician*.
*https://quoteinvestigator.com/2019/04/10/one-handed/
Was sorely tempted to buy back in, but my Euro bank account won't let me transfer the amount I wanted to.
Maybe a blessing.
Tether off the hook
https://www.theblockcrypto.com/post/...lement-lawsuit
It has been established that tether is a scam and they are not allowed to trade with New Yorkers.
Call that "off the hook" if you like, I would say it is a damning statement that it was a fraud from the beginning.
“Bitfinex and Tether recklessly and unlawfully covered-up massive financial losses to keep their scheme going and protect their bottom lines,” said Attorney General James. “Tether’s claims that its virtual currency was fully backed by U.S. dollars at all times was a lie. These companies obscured the true risk investors faced and were operated by unlicensed and unregulated individuals and entities dealing in the darkest corners of the financial system. This resolution makes clear that those trading virtual currencies in New York state who think they can avoid our laws cannot and will not. Last week, we sued to shut down Coinseed for its fraudulent conduct. This week, we’re taking action to end Bitfinex and Tether’s illegal activities in New York. These legal actions send a clear message that we will stand up to corporate greed whether it comes out of a traditional bank, a virtual currency trading platform, or any other type of financial institution.”
NY AG
$18.5m settlement, should be easy enough to find...
Cause and effect in 2021:
So. Farewell then Long Blockchain, my friend Keith's mum still remembers you as Long Island Iced Tea Corp.
Michael J Saylor, Elon Musk, Cathie Wood et al, take heed and beware.
No moon, sir?
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