How To Use Bitcoin – The Most Important Creation In The History Of Man

Libertarian News reports:

Recently I wrote an article entitled The Most Dangerous Creation In The History Of Man. The article covered the emergence of Bitcoin; an electronic peer-to-peer currency that has no central banking server, is untraceable, and essentially can not be taxed through coercive measures. The article makes the point that if a currency can not be taxed and controlled, eventually it will topple the coercively funded fascist control grid you call the modern State. Read more about it in this Bitcoin forum post that explains it in more detail.

I’ve received several requests for more information about how people can put Bitcoin to work for them. Most articles on Bitcoin, and even the Bitcoin site itself, don’t give a clear top to bottom description of how common users of Bitcoin can put the currency to use.

The article goes on to explain how to use the new currency and why it is superior to all other currencies in existence.

This will change the face of the planet.

i've heard of this. unfortunately, its most likely being used for the wrong purposes. (selling illegal content). but i agree that this is a great idea to whoever cam up with it.

I'm with you man I'm buying some bitcoins as we speak.

Largest german lobby group trying to ban them according to this article. (translated by google)

BVDW WARNS CONSUMERS AND DEALERS AS PAYMENT BITCOINS

The Federal Association of Digital Economy (BVDW) advises consumers of the use of cash "Bitcoins" ex. Bitcoins have the potential of the whole society through tax evasion, money laundering and illegal transactions harm the long term. For the safety of consumers and in the interest of all market participants in the BVDW recommends the best means and methods of payment for online transactions in e-commerce trust.

BVDW Vice President Christopher N. of Dellingshausen:
"The Federal Association of Digital Economy Consumers warned against the use of cash Bitcoins. For one, issuing and control of cash in our society a sovereign function. By using Bitcoins as payment, the necessary review by the State in cases of fraud or money laundering is impossible. Bitcoins why are simply dangerous and have the potential to harm society as a whole just to sustainably reduce tax evasion, money laundering or other illegal businesses.

Second, contrary to an automated control money supply as is the case, Bitcoins' every economic policy and their escape to the ground. The extraordinary importance of economic policy for the company, the companies and organizations, and virtually every consumer in the wake of the financial crisis may already know.

We assume that, on substitute currencies' like Bitcoins sooner or later be banned by legislation, because he sees the responsibility to protect its citizens and society far-reaching. exist for the safety and welfare of consumers, but also in terms of the interests of traders and operators of online stores must be a regulation for the payment. Although we operate in a virtual environment, but with real transactions. Excluded from this course are limited points and miles scheme or similar customer loyalty programs, which happens a pay similar compensation to a limited extent within a range between the user and service provider.

The real economy must not become a monopoly game. The BVDW recommends that all market participants to continue to rely on the proven means of payment for online transactions in e-commerce or online barter. A collection of Bitcoins as a monetary reserve could be validated by another on the day by state intervention.

In addition, the EU legislative process seeks to identify the Payment Services Directive (PSD) has already initiated the first important steps for the cross-border payments. The principle of self Bitcoins would occupy this position. By will shape the policy, however, cross-border payments as easily, efficiently and safely as possible, the policy while enhancing competition by new entrants gain access to payment markets. The legal basis for the Single Euro Payments Area, therefore, is the Payment Services Directive, the legal basis for the creation of an EU-wide internal market for payments.

Certainly, this policy makes the work of individual payment service, but overall, it proves to be useful for a transparent and trustworthy market view. In the future single, destructive forces are repeatedly express an interest, released its own new currency to provide from state control. Based on recent events and reports in the media about the use of Bitcoins as payment, we experience the result of a first wave of a currency discussion, the intensity in the next two to three years will continue to expand.

www.bvdw.org...

This is brilliant! And then it can be used for this, which will topple the existing order:

A few months ago, I had a truly and quite literally "revolutionary" idea, and I jokingly called it "Assassination Politics": I speculated on the question of whether an organization could be set up to legally announce that it would be awarding a cash prize to somebody who correctly "predicted" the death of one of a list of violators of rights, usually either government employees, officeholders, or appointees. It could ask for anonymous contributions from the public, and individuals would be able send those contributions using digital cash.


I also speculated that using modern methods of public-key encryption and anonymous "digital cash," it would be possible to make such awards in such a way so that nobody knows who is getting awarded the money, only that the award is being given. Even the organization itself would have no information that could help the authorities find the person responsible for the prediction, let alone the one who caused the death.

www.outpost-of-freedom.com...

Bear in mind, this guy is IN JAIL just for writing this. So far, no one has dared put it into action. The time is now!

Originally posted by coldbore
i've heard of this. unfortunately, its most likely being used for the wrong purposes. (selling illegal content). but i agree that this is a great idea to whoever cam up with it.

So what every other currency on the planet is being used for illegal purposes also. This allows honest people not to be punished for what others do with currency.

Originally posted by hawkiye

Originally posted by coldbore
i've heard of this. unfortunately, its most likely being used for the wrong purposes. (selling illegal content). but i agree that this is a great idea to whoever cam up with it.

So what every other currency on the planet is being used for illegal purposes also. This allows honest people not to be punished for what others do with currency.

edit on 1-6-2011 by hawkiye because: (no reason given)

Yeah, its not like it's somehow different than using hard cash or gold.

Crime will continue no matter what currency exists.

bitcoin is brilliant for a variety of things but, from what I've found, it's mostly used for illegal purchases as it adds another layer of protection to the anonymous user.

more important, however, is that they are utterly useless in the real world. you can't go to the store with them, you can't pay your rent with them, you can't pay the utility bills with them and you can't buy your girl that diamond ring she wants, unless you're buying it via an illegal source.

if someone sends you bitcoins for your birthday, you will wind up cashing them in for real money

I caught this yesterday on the ever-colorful Max Keiser Report...

At the +/- 13:00 mark is an interview with Jon Matonas explaining the whole Bitcoin concept.



On the one hand, it seems wonderful to take some control away from central banks, on the other it is, in essence a one world currency 100% dependent on the security of the servers (and who controls them).

The cynic in me sees the elimination of net neutrality, or the hijacking of control of the Bitcoin system by established financial powers before any true "democratization" of a currency will exist.

Very, very interesting concept however... let us not forget that this does not mean the collapse of national financing through taxes, as sales taxes would still be applicable. Only, the questionable income tax, of which a large portion is nothing more than interest paid to private banks, may be (possibly) circumvented in some cases.

the Billmeister

Originally posted by Crakeur
bitcoin is brilliant for a variety of things but, from what I've found, it's mostly used for illegal purchases as it adds another layer of protection to the anonymous user.

more important, however, is that they are utterly useless in the real world. you can't go to the store with them, you can't pay your rent with them, you can't pay the utility bills with them and you can't buy your girl that diamond ring she wants, unless you're buying it via an illegal source.

if someone sends you bitcoins for your birthday, you will wind up cashing them in for real money

Well you're wrong on a couple of fronts.

One - nearly everyone has access to a computer with an internet connection. Thus, you can pay whomever you wish with them whenever you like for whatever purpose you desire. All that is necessary is that they accept them as payment.

As the currency becomes more widespread (which it will), you will be able to transact with them for any good or service you so desire.

Further, criminal use is just as protected by using hard cash or gold as a method of payment. They are equally as anonymous. The difference being that cash can be counterfeited and gold can be salted.

Bitcoins can not be counterfeited or salted.

Crime is independent of the currency used, unless it is the crime of the Federal Reserve and government printing money.

Just to clarify to the poster who quoted from "Assassination Politics," Jim Bell wasn't arrested for writing those essays, as they are protected under 1st amendment rights. He was jailed for something legitimate, supposedly, on multiple occasions. I think he is still in jail. Just wanted to clear that up.

I looked into this when it first came out.

very interesting, was considering buying some as potential cherry bomb in profit.

however after nearly a day of research....and just some basic stuff,

Na to dangerous, very easily destroyed by a stroke of a pen in Government.

In addition to that there is no way you can ever actually "cash in" as such your bit coins, dependent on the internet as well, that includes state and government controls.

They will never become big in china, the Regime wont allow it.

Nothing is worth looking at for real stability and long term, unless it is involved in China in some way.

Also there is the possibility of people "creating" there own Coins, which sounds just like the Fed to me! lol anyhow this will inflationise the perceived value.

Interesting concept, but it will not imho become the default Alternative Currency.

Something along these lines may will do but I don't think it will be that one.

I dont know enough about investing in tech or such like anyway, my forte is commodities and personal, so if anyone is considering getting some, this is just my choice and opinion I am not advocating or advising it.

Kind Regards,

Elf

Originally posted by MischeviousElf

Na to dangerous, very easily destroyed by a stroke of a pen in Government.

Because government sure shut down those bittorrents and file sharing programs.

This can not be stopped short of pulling the plug on the entire internet.

Originally posted by Crakeur
bitcoin is brilliant for a variety of things but, from what I've found, it's mostly used for illegal purchases as it adds another layer of protection to the anonymous user.

more important, however, is that they are utterly useless in the real world. you can't go to the store with them, you can't pay your rent with them, you can't pay the utility bills with them and you can't buy your girl that diamond ring she wants, unless you're buying it via an illegal source.

if someone sends you bitcoins for your birthday, you will wind up cashing them in for real money

Maybe not yet but if they catch on eventually you will be able to. With the advent of decentralized wireless internet this could change everything. You can't do those things with gold and silver either you have to trade them for FRN's. However Bitcoins have a convenience that gold and silver do not and they potentially could catch on fast.

My biggest concern is they will be outlawed most likely making it much harder to trade them. For instance you could not advertise on craigslists that you will accept bitcoins because you will not want authorities knowing you are using them. I think once decentralized wireless internet is perfected then they won't be able to stop them anymore then they can stop drug and any other illegal product or service. However with bitcoins they have the potential to supplant the monetary monopoly and give the power back to the people unlike drugs and other things.

In the meant time is is wise to learn to navigate the black markets and things like bitcoin as our currency will collapse soon.

Originally posted by Crakeur
bitcoin is brilliant for a variety of things but, from what I've found, it's mostly used for illegal purchases as it adds another layer of protection to the anonymous user.

more important, however, is that they are utterly useless in the real world. you can't go to the store with them, you can't pay your rent with them, you can't pay the utility bills with them and you can't buy your girl that diamond ring she wants, unless you're buying it via an illegal source.

if someone sends you bitcoins for your birthday, you will wind up cashing them in for real money

Its pretty much brand new of course merchants dont use them yet. This guy explains some interesting things that are happening in the future.

Originally posted by mayabong
I'm with you man I'm buying some bitcoins as we speak.

Largest german lobby group trying to ban them according to this article. (translated by google)

BVDW WARNS CONSUMERS AND DEALERS AS PAYMENT BITCOINS

The Federal Association of Digital Economy (BVDW) advises consumers of the use of cash "Bitcoins" ex. Bitcoins have the potential of the whole society through tax evasion, money laundering and illegal transactions harm the long term. For the safety of consumers and in the interest of all market participants in the BVDW recommends the best means and methods of payment for online transactions in e-commerce trust.

BVDW Vice President Christopher N. of Dellingshausen:
"The Federal Association of Digital Economy Consumers warned against the use of cash Bitcoins. For one, issuing and control of cash in our society a sovereign function. By using Bitcoins as payment, the necessary review by the State in cases of fraud or money laundering is impossible. Bitcoins why are simply dangerous and have the potential to harm society as a whole just to sustainably reduce tax evasion, money laundering or other illegal businesses.

... etc., ad nauseum...

Well, I hate when some internet translator turns something into almost nearly somewhat understandable gibberish. But the obvious fact that Biticoin scares the living bejeezus out of The Federal Association of Digital Economy Consumers, whoever they are--that's really all the incentive I need. I gotta get me some of that....!

reply to post by mnemeth1
You'll have to walk us through this one.

From the article, bitcoins are valued against conventional currency and have no purchasing power in any market. If so, when I pay my $10 for a bitcoin, the seller has a profit and I'm left with an IOU (promise to pay the bearer) nobody wants to trade for.

Another point is that gold represents material wealth; it's an exchange commodity that isn't reliant on electronic infrastructure and doesn't penalise societies without access to the internet or associated technology. The point about gold being 'impossible to ship across a wire' is misleading as, in effect, the value it represents is constantly traded across a wire.

I'm curious about who controls the source of bitcoins too. It's current value of $10 (thereabouts) isn't explained. To whom would I give my conventional currency? Also whilst my knowledge of money markets is pitifully inadequate to the subject, that bitcoins are an ultimately finite commodity suggests an inevitability of supply/demand market forces. If this is the case, bitcoins, dollars and shekels share the same symbolic values and leave no reason for optimism that financial exploitation won't continue in the way it has done since the first City States of Sumer.

It's not easy seeing where the momentum will arise to make it anything like an 'important creation.' It appears to represent a risky investment which, again, leaves us at the whims of market forces and the global economy.

Originally posted by mnemeth1

Originally posted by MischeviousElf

Na to dangerous, very easily destroyed by a stroke of a pen in Government.

Because government sure shut down those bittorrents and file sharing programs.

This can not be stopped short of pulling the plug on the entire internet.

Well to be honest those sites are a fraction of when I first saw them come out.

The legal implications for many in the US and UK some other European countries is to much.

Have you not seen the news over the last 3 - 4 years, people getting letters demanding payments to software companies and film companies otherwise court?

Torrent is a shadow of its former self.

The same as Bitcoin will be if it gets big when for example in the US

The IRS knocks on peoples doors, wanting the barter value of any transactions, tax profit etc paid to them.

Would become too costly for mainstream business to bring on board ie get a big mac with some, as the paperwork and added legal, tax etc implications make it not attractive or worth it.

Never mind after 2 years trading with them the IRS knock.

ALSO as I feel maybe people here might be interested in making them popular and therefore getting people to buy them. so one thing it is important for people to be aware of.

This smacks almost of a BIG VIRTUAL PONZI to me.

Think on that, are they really going up in value as the bit coin trading screen will show you, or is it just fresh new money in buying bitcoins with nothing be made, no real profit or creation on them.

Seems to me could be a very delicate house of cards.

Kind Regards,

Elf

reply to post by mnemeth1


while you stock up on bitcoin, who's lobbying people in the real world to utilize this form of currency?
might as well go to the supermarket with a laptop and show them how much plat you have in the WoW bank.

reply to post by Kandinsky


When you say source, do you mean code or do you mean the source of where they are coming from?

Anyways they are traded on Mt. Gox mtgox.com... which is the biggest exchange for bitcoins. I hear this is the safest way to buy them (aside from someone you know). Soon it will be alot easier to buy once more people use them. There are sites now that show you the people in your area buying and selling bitcoins and items.. Sites like craigslist are popping up just for bitcoins. I dont know I think its interesting, and at least for the short term I think the price of them will skyrocket.

I mean it just hit parity with the dollar in February. Its already Trading for over 9 bucks. Shortly before february it was trading for 20 cents. What a profit. lol

reply to post by Crakeur


Lol I tried to cash in my ATS Flags in an alternative book shop recently wouldnt except them lol.

In fact maybe ATS could make a new currency from ATS Karma or Flags or something.

My god then at least there would be some worth in them!

........

Everyone should be aware to of the following on Bit Coins.

The guy who made the algorithm has set it to Limited number that can ever actually be mined.

He has also set it so that it is timed over a 21 month or so release of coins, WITH NOTHING further past that....it will deflationise immediately and collapse at the end of the PONZI.

THE EARLY people who bought bitcoins and are favored in the algorithm for mining them and how many per released per hours mined. Now as more are released it takes more and more mines to get one, which effectively means if it gets popular those who get on board will never have "free" bitcoins, and will use cash to get them.

Making sense yet?

The price goes up less are released compared to those trying to make one, they buy one after leaving comp running for days with no Coins....

Then it stops after the 21 months or so and POP.

This is not a currency to fight the current ones, it is as crooked as the people who prefer it, it is a scam imho, and that is why those in "early" are blogging and posting it everywhere.

Kind Regards,

Elf