Silk Road forums
Discussion => Silk Road discussion => Topic started by: theblackjew on January 13, 2013, 06:21 am
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When i first came to silk road couple months ago, bit coins were $11/ Aus per Bitcoin but since have gone up to more then $14.... how is this possible? I will have to go back to street dealers in a couple more months if this keeps up.. its so fustrating!!
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It doesn't matter, SR's prices are pinned to the US dollar and NOT the price of BTC's.
If you purchase them in Australia you (I assume) pay %10 on the price of BTC's from MtGox, and if this is so you aren't really going to lose out mate.
Go back to the street if you wish, but you will still be paying more unless it's for weed.
- JWM
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When i first came to silk road couple months ago, bit coins were $11/ Aus per Bitcoin but since have gone up to more then $14.... how is this possible? I will have to go back to street dealers in a couple more months if this keeps up.. its so fustrating!!
lolz this guy doesn't know that vendors hedge their prices too keep them consistent
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I think you may be confused about what bitcoin is. Bitcoin isn't a currency, just a token representing a certain value at a certain point in time.
If one bitcoin today costs $14 and and your drug of choice costs two bitcoins on SR, then it will cost you $28. If on the other hand one bitcoin costs $28 a month later, the cost of your drug of choice will go down to one bitcoin, and will still only cost you $28.
In that sense it doesn't matter what the cost of the bitcoins. As long as you use them promptly you take no speculative risk.
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The only time it sucks is if you buy coins at $14 and then they drop to $10. A big change like that (in the negative direction) only happened once in the last year.
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people here raise some interesting points i see, thankyou, and thankyou even more for the constructive criticism.. and if it wasnt constructive, i still thankyou, but dont mean it :)
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I think you may be confused about what bitcoin is. Bitcoin isn't a currency, just a token representing a certain value at a certain point in time.
While the rest of your post is seemingly correct (Assuming the vendor has prices pegged to $ and not BTC...can be either)
I think you are confused about what bitcoins are. It is most definitely intended to be a form of currency. And you can trade it/them for one form of currency or another just like you can exchange USD for Euros and vice versa.
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I think you may be confused about what bitcoin is. Bitcoin isn't a currency, just a token representing a certain value at a certain point in time.
While the rest of your post is seemingly correct (Assuming the vendor has prices pegged to $ and not BTC...can be either)
I think you are confused about what bitcoins are. It is most definitely intended to be a form of currency. And you can trade it/them for one form of currency or another just like you can exchange USD for Euros and vice versa.
I know what it is intended to be. But it isn't a currency because it isn't widely accepted.
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it isnt backed by anything but demand. what else exactly can you buy with bitcoins? it definitely isnt widely accepted, except silk road :-\
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I think you may be confused about what bitcoin is. Bitcoin isn't a currency, just a token representing a certain value at a certain point in time.
While the rest of your post is seemingly correct (Assuming the vendor has prices pegged to $ and not BTC...can be either)
I think you are confused about what bitcoins are. It is most definitely intended to be a form of currency. And you can trade it/them for one form of currency or another just like you can exchange USD for Euros and vice versa.
I know what it is intended to be. But it isn't a currency because it isn't widely accepted.
Supply and demand. Bitcoins are able to be used in many on-line businesses world wide and the list is growing. They are used in many other places besides SR.
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I think you may be confused about what bitcoin is. Bitcoin isn't a currency, just a token representing a certain value at a certain point in time.
While the rest of your post is seemingly correct (Assuming the vendor has prices pegged to $ and not BTC...can be either)
I think you are confused about what bitcoins are. It is most definitely intended to be a form of currency. And you can trade it/them for one form of currency or another just like you can exchange USD for Euros and vice versa.
I know what it is intended to be. But it isn't a currency because it isn't widely accepted.
Supply and demand. Bitcoins are able to be used in many on-line businesses world wide and the list is growing. They are used in many other places besides SR.
There are aspects of it working against being a currency. First it isn't widely accepted. It doesn't meet the definition of currency right there. Second, my mother couldn't use a bitcoin, but she could use a dollar, or any other national currency - she doesn't have the technical knowledge. Third, to get bitcoins most people have to go to a commodity exchange (mtgox.com) or pay a high fee to purchase to a broker that does that for you on mtgox. To 'cash out' you have to do the same thing in reverse. That they use the word 'cash out' tells you that bitcoins are not cash.
There are other aspects to it. The way people use bitcoins resembles the tokens in gaming arcades. Sure, they have value, and you could probably sell them to people that go to the gaming arcade if you sold them for less than the arcade does. But it doesn't mean the game arcade tokens are widely accepted.