Bitcoin Scams Are Back

Bitcoin Scams Are Back.  Bitcoin Scams are Excellent Bitcoin Price Indicators.

When you see that Bitcoin scams are back you know that Bitcoin pricing is on an upward trend.  Most of the cryptocoin and Bitcoin groups on Facebook were dead for the past several months.  They were barren wastelands devoid of any movement or activity at all.  Then something interesting starting happening at the end of March.

Bitcoin prices started to increase.  The Bitcoin scams increased too.  Bitcoin scams are back.

The news that Bitcoin scams are back is bad news with a silver lining.  While nobody is happy to see innocent or gullible people get robbed by Bitcoin scammers, everybody should be happy by what always happens next; Bitcoin goes up.

Indeed, Forbes reported on this two years ago:

Whenever something gets hot, the only guarantee is that scamsters will lock onto it like a heat-seeking missile. The virtual currency bitcoin is no exception.

Bitcoin Scams Are Back

The wise investor knows good things are coming.  Would-be Bitcoin investors should know to exercise “street smarts” in avoiding buying or selling Bitcoin any other way than through a reputable exchange.

For the Bitcoin critics and naysayers out there it must be said that in every age and generation there were people scamming the unsuspecting public out of their money.  Elizabeth Holmes of Theranos is perhaps the best, most recent example of this.  Bitcoin prices have a history of high volatility leading to jilting dips and life-changing gains.  The Bitcoin scammers go into hibernation when the price is low then wake up and get back to work as soon as an upward trend in Bitcoin prices emerge.

In one sense we should be a muted kind of pleased to see Bitcoin scammers but angry at them for every other reason; they rob, cheat and steel from trusting, unsuspecting victims.  I can’t resist to coin a phrase; every coin has two sides.

 

Cryptocurrency Bubble History

Cryptocurrency Bubble History – What the DotCom Bubble Can Teach Us

The explosion of the DotCom era and the subsequent plunge of almost EVERY Internet stock has many parallels to what I consider cryptocurrency bubble history. In the late 1990s, companies were raising millions of dollars in IPOs.  The trick seemed to be just have “.com” in your company name and/or logo.   ICOs up until recently had a very similar draw and legions of Lambo-seeking investors went crazy pouring every dollar they could into what seemed to be very lucrative cryptocoins.  There are so many similarities between the DotCom Bubble and current cryptocurrency bubble history, it would be a very good idea to get warmed up on the DotCom Bubble.

While lots and lots and lots of people lost, collectively, BILLIONS of dollars during the DotCom Bubble, it needs to be said that the Internet we know and love today was born out of the ashes of the DotCom Bubble.  History seems to be repeating itself with cryptocurrency bubble history.

Bitcoin is staging a slow but steady price comeback.  Bitcoin mining equipment is starting to sell again.  Just today the Wall Street Journal reported today Facebook is positioning itself into launching its own cryptocoin designed to be used all over the Internet and tightly integrated into the Facebook ecosystem.

CoinDesk seems to have known all along there would be a crypto comeback; they continued to roll out new services, expanded trading and grew the company while the cryptocurrency markets corrected.  cryptocurrency bubble history The summary of  cryptocurrency bubble history comes down to just two words; market corrections.

As with the DotCom bubble, investors started paying very close attention to all of those Internet companies and asking some pointed questions; is this company serious? Do they have a realistic chance of pulling off what they set to do? What’s my time horizon for ROI? The next wave of Internet companies formed the foundation of the Internet we use today after FOMO fever drove so many people not only broke but into the poor house.

Parallels again; ICOs are virtually extinct, replaced by STOs and DSOs which have a reasonable amount of risk NOT the ludicrous risk ICOs had with whitepapers so worthless through fakery as to not even be useful as toilet paper.

For several months CryptoCapers.com decided to sit on the sidelines and just wait.  We knew there was going to be a slow and steady market rebound. Up until just recently there was nothing much to write about. The Bitcoin price was basically stuck, other coins were cratering and new offerings were few and far between.

 

John McAfee Fugitive Follies

John McAfee Fugitive Follies – What’s Next For The Most Interesting Man in The World?

On the run from the IRS and running for President of the United States.  Welcome to the John McAfee Fugitive Follies.

The cryptocoin world had quite a spokesman in John McAfee.  Imminently intelligent and obviously eccentric, he was the perfect poster boy for crypto currency, his last escapades in Belize and through Guatemala before returning to the United States notwithstanding.

Apart from being being fascinating and entertaining on the level of the OJ Simpson slow speed chase in that white Ford Bronco so long ago is the potential for a teachable moment.  If John McAfee is as wealthy as he claims to be through cryptocurrency AND if his assertions of privacy and fluid of movement are to be proven, this latest adventure of John McAfee known as the John McAfee Fugitive Follies could be the test case everybody has been looking for.  If John McAfee continues to live the posh life while on the run, in exile, or whatever then the case he’s been making for cryptocoins all along will have been made.

John McAfee Fugitive Follies

There’s one obvious downside to the John McAfee fugitive follies; he’s giving the cryptocoin world a sorely unneeded black eye through his latest misadventures.  Tax evasion is not something you want to be known for in any circle.  Connect tax evasion to the current cryptocoin climate where government sentiment is concerned and it’s clear John McAfee is doing more harm than good at the moment.

A cautionary tale for John McAfee and anyone following the John McAfee Fugitive Follies: Al Capone was the most prominent target of the US government in history.  He deflected every attempt to put him behind bars even when the FBI put their full weight on him.  Mind you, the FBI back then was way more powerful than today’s FBI relative to civil liberties, procedures and all the rest.  So how did the untouchable Al Capone end up in Alcatraz? The IRS.

 

ICO Review 2018

Get To Know Your ICOs: ICO Review 2018

Initial coin offerings (ICOs) are sometimes considered to be the wild west of the finance world – a new territory ripe for exploration, filled with pitfalls and opportunities alike for the bold and adventurous.

Understandably, ICOs are a hot topic today not just among the early adopters and cryptocurrency enthusiasts, but also among entrepreneurs, startups, and even regular folk looking to cash in on the latest high-tech trends. Any ICO review 2018 needs to take a hard look at the brutal losses this yewar with an optimistic eye open to the future.

An ICO provides a chance to accumulate funds required for launching a business. Investors get startup’s tokens in return, which could be later traded once the business grows. These initial fundings usually operate with Bitcoin or Ethereum, which are currently regarded as the leading cryptocurrencies.

Just like any other industry, ICOs also have pros and cons. For example, unlike traditional initial public offerings, ICOs are not subject to as much regulatory scrutiny. Depending on the country they are registered in, ICOs could raise a significant amount of capital fairly quickly. Although there have been crazy success stories, there have been disastrous flops and failures as well.

Most governments and institutions are still on the fence on how to approach this new technology, although some have already made their positions clear. Meanwhile, the crypto world is bustling with activity – new ICOs are introduced every week, while old players continue to build names for themselves. In fact, in 2017 alone, almost $4 billion in funding has been raised through initial coin offerings. End-of-year numbers for 2018 are not finalized making this ICO review 2018 understandably incomplete.

The key to success lies in education. Anyone looking into getting in on some ICO action would do well to get familiar himself with the latest news and developments in the cryptocurrency arena first, as well as do some brushing up on a little bit of history. A more well-informed approach to initial coin offerings encourages smarter decisions and a heightened awareness, which only aids greatly in discerning the difference between real opportunities and scams.

In fact, a lot of resources are available today for those looking to take a deeper dive into crypto. Books and video series, blogs and websites, as well as online tutorials are all definitely worth looking into. Online communities are also a great way to connect with fellow newbies and enthusiasts from all over the world.

With that in mind, the following infographic outlines the basics of ICOs, a roundup of the crypto world thus far, and a lot more. Check it out; we’re sure you’ll enjoy reading it.

Infographic URL: https://btxchange.io/ico-roundups-infographic/

Hope you all have a fabulous Holiday Season and wonderful New Year!

Bitcoin Bubble Balderdash

The Mass Media and Cryptocoin Critics Humiliated by Their Bitcoin Bubble Balderdash.

Judging from news outlets a few days ago Bitcoin was a dead coin walking. The word bubble was bandied about in headlines with the articles themselves having the unmistakable tone of “Ha ha! Told you so!”

Take a look at this Wall Street Journal article published just four days ago: Bitcoin Wasn’t a Bubble Until it Was.

Here’s a shining example of Bitcoin bubble balderdash published in Bloomberg back on December 11th: Yep, Bitcoin Was a Bubble. And It Popped. The takeaway from this opinion piece? Bitcoin is finished. Millenials are feeling pain and will continue to suffer.

You can almost hear the evil, maniacal laughter of the writer while reading his opinion.

Now get ready to laugh at this u-turn published in Bloomberg today: It Looks Like Bitcoin Has Found a New Bottom This writer cheers the 20% gains in Bitcoin in the past week pointing out BTC is on its best run in three months. This is NOT Bitcoin bubble balderdash.

So what are all the talking heads and pundits saying about the Bitcoin bubble now? Nothing. Not a word. Nary a peep. They are suddenly silent.

That’s perfectly understandable if you stop and think about. It must be difficult to talk with egg on your face.

bitcoin bubble balderdash

For years Bitcoin predictions have turned into a running joke. Some experts have predicted and, indeed, still predict Bitcoin and/or the cryptocoin flavor of the day going to the moon leading to Lambo shopping. Then we have the naysayers who sneer as they take perverse joy in joining the ranks of harbingers of doom.

Somewhere between blind blissful optimism and piss-on-your-parade pessimism is the sacred middle ground known as the truth.

The truth is that Bitcoin isn’t going anywhere. It’s not a stock or a bond. It is not a country or a company. It is not being overthrown and it is not going out of business. Nobody knows where it’s going so either you’re in the game or sitting on the sidelines. Either way, let’s ignore Bitcoin bubble balderdash.

Cryptocoin Mining Crashes

ASIC Miners and Mining Rigs Go Dark as Crypto Markets and Cryptocoin Mining Crashes

One year ago, basements were being converted into mining farms as electricians and heating/cooling experts were brought in to upgrade electricity, install duct work and fans to power up and cool off mining farms.  Reddit and Facebook groups were loaded with pictures and videos of homebrew mining rigs as the price of graphics cards skyrocketed and became scarce.  Gamers complained.  Retailers began limiting order quantities. Cryptocoin mining crashes? Unthinkable at the time.

Bitcoin mining was worse.  ASIC mining manufacturers Bitmain and Canaan couldn’t make them fast enough. When a batch went on sale they were sold out in minutes and at top dollar.  Today, Bitcoin miners are readily available with more power and efficiency than ever at a fraction of price. Nvidia is facing pain from a sudden plunge in demand too.

The after-effects of cryptocoin mining crashes.

The laws of supply and demand are in full force.  With the recent crashes across all cryptocoin markets, existing mining operations are going dark and nobody is thinking about starting one or expanding.

Watch the stats on Slushpool and the story tells itself; hashpower is dropping on a daily basis as thousands of workers go dark after miners hit the OFF switch. Who can blame them? Run the numbers on any crypto mining calculator and see how much money you’ll lose mining crypto on an HOURLY basis.


cryptocoin mining crashes
Cryptocoin mining is crashing and burning.

We documented a cryptocurrency mining downturn back in August but could never dream that just three months later, the entire mining ecosystem would face collapse. This is worrisome for the entire cryptocurrency sector because miners keep everything moving; Bitcoin miners not only mine new Bitcoin; they process all of the transactions on the blockchain. This extends to all of the other digital currencies out there; without miners doing what they do, things can grind to a standstill.

While cryptocoin mining crashes do not bode well, it is too early for anyone to predict future market moves one way or the other.

Bitcoin Cash Chaos

Bitcoin Cash Chaos – The Prime Suspect Behind Today’s Crypto Crash

Bitcoin dropped nearly 12%.  Bitcoin Cash almost 20%.  Ethereum wasn’t immune; it took a 14% hit too.  Lots of altcoins got battered today also.  In my opinion the Bitcoin Cash hard fork tomorrow is the trigger of all this; Bitcoin Cash Chaos.

Here’s my take; spooked investors dumped BCH to sit on the sidelines and see what happens when the hard fork hits.  Bloomberg speculates a selloff of BTC and other coins to free up capital to buy BCH in case it plunges after the hard fork.  I agree.  Coinbase seems concerned by what will happen to BCH tomorrow too.  Observe…


bitcoin cash chaos

Bitcoin Cash Chaos is in full effect.  We’re talking Wild, Wild West stuff here.

The brave (foolish?) cryptocoin investor could see this as a  buying opportunity.  Rebounds could make a lot of money for a lot of people tomorrow.

On the other hand, continuing Bitcoin Cash chaos could lead to further, possibly even catastrophic losses tomorrow.

We advise extreme caution with your cryptocurrency trading decisions in the immediate future.  Do your own research and only invest money you feel comfortable losing.  Treat your buys and sells as if you were gambling.  How much money can you afford to lose after you put it on the table?

The Bitcoin Cash hard fork tomorrow gives investors a second thing to worry about; fake coins. When Bitcoin Cash split a year ago, it ignited a forking craze in which dozens of software-development teams sought to create money out of thin air by tweaking the original computer code and releasing coins with “Bitcoin” in their names.

On an optimistic note, there is good history to learn from too; Bitcoin plunged to levels under $6,000 time and again since late last year, only to see buying return and prices come roaring back. 

Let caution and patience be your guide.

Bitcoin Ready for the Big Leagues

With Fidelity announcing yesterday it would make crypto trading available to its 13,000 or so institutional investors, cryptocoin markets rejoiced.  Yes indeed, Bitcoin ready for the big leagues is big news.

Named Fidelity Digital Assets, the Boston-based LLC will deliver enterprise-grade custody solutions, a cryptocurrency trading execution platform and institutional advising services 24x7in tune with blockchain’s always-on trading cycle.

With Fidelity Digital Asset clients being onboarded now with wide  availability scheduled for early next year, the launch of the subsidiary with 100 employees marks quite possibly the largest foray into cryptocoins by an institutional asset manager to date.

Bitcoin climbed by as much as 10% on the news lifting from roughly $6100 back to to $6500 territory where it has been virtually stuck for a month or so.  Today,  Galaxy Investment Partners founder Mike Novogratz expressed confidence in more institutions adopting Bitcoin trading.

While 2018 has not panned out to be the Bitcoin panacea many of the bulls predicted, Bitcoin ready for the big leagues is welcomed news as it seems the world’s first and most valuable crypto currency is set to takes its place center stage in the big time.

Bitcoin Ready for the Big Leagues
Bitcoin Bull Run Coming?

It is widely believed that large investors – both retail and institutional – are sitting on the sidelines with a wait-and-see mentality.  We’re happy to see Fidelity take the bull by the horns with this bold move and hope this is just the first sign of more things to come for Bitcoin between now and the end of end 1st quarter 2019.

More time is required for momentum to build to take Bitcoin prices higher, and the long-anticipated wave of institutional investors piling into the cryptocurrency space is seen as starting next year. Whatever happens next and when, Bitcoin ready for the big leagues is something you can be sure of.