posted on Dec, 8 2017 @ 02:54 PM
a reply to: AugustusMasonicus
Sure, many futures contracts never get to the final point of delivery. The speculators who never wanted delivery in the first place simply offset
their position and the bet is off.
But... in order to underwrite the deal from the beginning you must have somebody willing to deliver the product. Farmers bring crops to the auction.
Ranchers bring cattle to the Chicago stockyard. Who brings Bitcoin? You know the ones that are in from the founding are holding millions of bitcoin.
They are billionaires on paper. They know if they sell too much too quickly the price will fall. They are not willing to wait around 50 years to
unload all this bitcoin to the public who will pony up a few hundred dollars at a time. They want to get at that cash as fast as possible. Funny how
they want the USD more than the BTC. On the other hand the philosophical bitcoiners support BTC. I am calling them "nerds" for fun with no harmful
intention at all. Nerds are going to hold bitcoin and transact bitcoin no matter what the Chicago bankers say the price in Chicago is. The futures
could sell down to $5000 and the bitcoin exchanges could drive the price up to $21,000. The BTC folks do not necessarily have to pay any mind at all
to the price in Chicago.
Run the scenario.... nerds are trading at $17,000... Chicago says the price is $300.... nerds don't care.
Chicago guys can buy the contract at $300, hold it, take delivery of the 5 bitcoins and then turn and sell the actual bitcoin at the BTC exchanges for
what?.... $17,000? Sure. Why not? It is not only Chicago guys, it is everybody and anybody who wants to play that contract and receipt game. You say
it is impossible? No. It is not.
Run the scenario.... gold is $1200 an ounce. Online sites or local coin shops or even pawn shops sell one ounce gold coins very near (or actually a
bit higher) all day. Now what if Chicago futures made up their mind to trade down to $300 dollars an ounce? The rest of the world would suddenly think
the price of gold was $300 an ounce. No "seller" of real gold coins would have to take that offer. They could all simply say they are out of inventory
or not selling at that price. In fact, most would rush to buy real gold coins at that price. The rush would drive spot price up and the Chicago guys
would have to admit that they got it wrong. Market would snap back into place to match the spot price of an old world commodity with real world
connections in world government and economy. Bitcoin has none of this. It is Stateless. Bitcoin has no real link to anything other than the nerds
dreaming of a better world. Better how? Better by having more money of course! All bitcoin holders want bitcoin to go higher. So it will go higher.
Chicago bankers have no real handle on it. They are going to find out. They will literally have to chase the bitcoin spot price or get trapped into
admitting that their own manipulation machine has failed to manipulate bitcoin. This is twisted. We are going to witness something extraordinary. We
are going to see something world wide mind blowing!