Bitcoin
Bitcoin
Out of context: Reply #1080
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- _niko1
not sure how it works, but what's to stop me from starting a website that claims to trade in cryptocurrencies but it's just a scam ?
when you trade stocks or gold or currencies, it's usually through a bank or an accredited investment firm with a history.
Seems ripe for rampant fraud.
- Not a whole lot. New users will often check that they can withdraw a small amount of funds before they send a large amount Like you would an intl wire transfer.monNom
- So you would need a certain minimum float to pay out redemptions. That makes it a more expensive/complex scam.monNom
- nothing at all ... the Feds consider it the same as FarmVille cash :)monospaced
- The real trick is convincing people not to rush for the exits when the price craters, as that would totally reveal the scam, so best to use an investment that..monNom
- I hope all you investors out there are able to profit. Whoo hoo!monospaced
- @monNom, total chicken egg thing ... the price crater is caused by exitsmonospaced
- ...has enormous rate of return, and is hard to transact in, particularly when there's a lot of selling and the exchange gets 'busy'.monNom
- Bitcoin seems sort of perfect, since nobody uses it for anything, they just buy and HODL.monNom
- @monospaced - yes, I agree, selling lowers price. From the perspective of a scam, you want to manage how fast your pool of money gets drawn-down.monNom
- Because you don't actually own the underlying security, so you can't sell it. To summarize: it's dangerous to trade in unregulated markets.monNom
- cool, but not looking for agreement, it's just how it is :)monospaced