Bitcoin, Cryptocurrency, and the Future of Global Finance

[n_huffhines]

If I hear a report that a crypto wallet was hacked, I would bet all my money it happened either

1) through social engineering (offline)

Or

2) they found your stored key on your computer via spyware

 

[Velo Vol]

I can't believe people thought crypto was untouchable by the government

 

[reecetn]

Hey @n_huffhines I did a look on the $HNT explorer and found 5 miners within 1.5 kilometers of my house. I just ordered a bobcat miner said it will be here in 12 to 20 weeks. Sucks it wont be here in time for the next halving but I'm excited none the less. I was checking the average rewards and oh my goodness this thing will pay itself off in a month. I am glad you got me interested in HNT.

 

[Rasputin_Vol]

If I hear a report that a crypto wallet was hacked, I would bet all my money it happened either

1) through social engineering (offline)

Or

2) they found your stored key on your computer via spyware

Or, it is all a ruse to help create a narrative to begin the crack down on cryptos.

Here We Go Again: JBS "Paid" "Russian" "Hackers" $11 Million In Bitcoin To Resolve "Ransomware" Attack | ZeroHedge

This, pardon the parlance of our times, is complete bulls**t: either the CEO is lying or, worse, he is telling the truth and as some have speculated, he, the FBI and the "hackers" are all in on this so-called ransomware breach...

...a scenario which for now is yet another "conspiracy theory" and which we expect will become proven fact in the usual 6-9 months.

Yet just a few hours later, the exact same ridiculous narrative meant to achieve just one thing - tarnish the reputation of bitcoin further to the point where the US has to ban it - has struck again, and according to the WSJ last week's big hack, that of food processing giant JBS, was also resolved when the company paid $11 million - in bitcoin of course, because in this day and age one can't simply dump a suitcase full of cash or send a wire transfer to an incognito account - as ransom to the criminals (who will naturally soon be unveiled as Russians because of course) responsible for the cyberattack that halted the company's operations.

Some questions that remain unanswered is how the hell do these multi-billion dollar companies not have the most basic virus/malware protection to prevent some outsider - be it a 13 year old kid living in his mom's basement, some Ukrainian hacker, or the FBI - from getting access to the company's entire infrastructure and locking out the company itself. And then, this genius mastermind(s) is so stupid, they have no idea how to cover up their traces and promptly hand over the cash to the Feds.

 

[lawgator1]

Or, it is all a ruse to help create a narrative to begin the crack down on cryptos.

Here We Go Again: JBS "Paid" "Russian" "Hackers" $11 Million In Bitcoin To Resolve "Ransomware" Attack | ZeroHedge

Conspiracy much?

 

[jvol1]

Or, it is all a ruse to help create a narrative to begin the crack down on cryptos.

Here We Go Again: JBS "Paid" "Russian" "Hackers" $11 Million In Bitcoin To Resolve "Ransomware" Attack | ZeroHedge

I agree that the pipeline was in on the hack, but I think it's more about pushing gas prices up and undermining biden than crypto regulation.

 

[hog88]

I agree that the pipeline was in on the hack, but I think it's more about pushing gas prices up and undermining biden than crypto regulation.

LOL

 

[theFallGuy]

If anything, this article should tell you cryptocurrencies are a good thing

Warren, Lawmakers Put Bitcoin on Trial in CBDC Hearing - CoinDesk

 

[n_huffhines]

Paul Krugman's 10-Year History of Being Wrong About Bitcoin

 

[Rasputin_Vol]

Paul Krugman's 10-Year History of Being Wrong About Bitcoin

Dude, find me anything that Paul Krugman has been right about. That guy is a clown.

 

[Thunder Good-Oil]

Elon is laughing his butt off today. Cracks open the door for Bitcoin at Tesla and the crypto names take off on a down day for equity averages.

 

[reecetn]

Elon is laughing his butt off today. Cracks open the door for Bitcoin at Tesla and the crypto names take off on a down day for equity averages.

The last laugh will be the loudest and the best. Regulation and clarity will be glorious!!!

 

[Velo Vol]

I laughed.

 

[reecetn]

As the 50-day moving average goes below the 200-day moving average I wonder if the drooling idiots of the Main Stream Media and the "Professional" traders will try to get people to FOMO in and get obliterated this time just like they did with the Saturday Night Live retardation a few weeks back. Another possibility is Elon Musk could tweet out some negative comment ahead of it so he could try to gain credit for the move.

 

[VolStrom]

For all of you naive people that thought crypto was going to go exponential forever, welcome to the real world. I have a tip though, go all in on lumber while it's down!

 

[reecetn]

For all of you naive people that thought crypto was going to go exponential forever, welcome to the real world. I have a tip though, go all in on lumber while it's down!

LOL lumber?

It should be painfully obvious volatile markets like crypto are not for everyone. Having said that thank God for that volatility, because without it we would not get those glorious parabolic moments.

 

[VolStrom]

LOL lumber?

It should be painfully obvious volatile markets like crypto are not for everyone. Having said that thank God for that volatility, because without it we would not get those glorious parabolic moments.

Apparently you don't understand sarcasm, party on Garth.

 

[reecetn]

Apparently you don't understand sarcasm, party on Garth.

Woops did you miss this sarcasm?

It should be painfully obvious volatile markets like crypto are not for everyone.

Any guess as to who that might be a reference to?

 

[reecetn]

Let me give you an opportunity to show us how wise you are. "LOL this will be hilarious"

Giving the fact that it is ludicrous to give dollar figures and I honestly think even you are not stupid enough believe any different. I may be giving you to much credit, but lets continue.

I last bought in in January

Now its time for you to use your genius market knowledge and use the free tools available to discern for your self.

 

[VolStrom]

Let me give you an opportunity to show us how wise you are. "LOL this will be hilarious"

Giving the fact that it is ludicrous to give dollar figures and I honestly think even you are not stupid enough believe any different. I may be giving you to much credit, but lets continue.

I last bought in in January

Now its time for you to use your genius market knowledge and use the free tools available to discern for your self.

I don't value my investments over the past few months or even the past few years. You're a short term investor and you think you know it all. Trust me, you're as dumb as the day is long.

 

[reecetn]

I don't value my investments over the past few months or even the past few years. You're a short term investor and you think you know it all. Trust me, you're as dumb as the day is long.

Who told you I was a short term investor?

 

[Velo Vol]

There's still not an "simple" way (e.g. ETF) to partake in Bitcoin price moves, is there?

It sure seems stuck bouncing up and down in the $30s.

 

[Velo Vol]

 

[Thunder Good-Oil]

There's still not an "simple" way (e.g. ETF) to partake in Bitcoin price moves, is there?

It sure seems stuck bouncing up and down in the $30s.

MW Is bitcoin an uncorrelated asset? These stocks and funds boast correlations higher--and lower--than Coinbase

6/4/21, 1:06 PM
Coinbase's correlation with bitcoin is 0.32

Crypto prices have mostly risen in 2021--despite a bout of volatility in recent weeks. And that price run-up has stoked intense interest among investors eager to gain some exposure to cryptographic assets like bitcoin.

Absent an exchange-traded fund that allows for direct exposure to bitcoin and crypto--one doesn't currently exist in the U.S.--there are a number of assets that offer high correlations with the world's No. 1 virtual currency.

In simple terms, correlation refers to the extent to which assets perform in relation to one another.

Based on commonly used statistical measures, a correlation of 0 means the performance of one asset is uncorrelated to the other, while a correlation of 1 indicates that the asset moves in lockstep--in the same direction, and by the same degree. A negative correlation means that assets tend to move in the opposite direction.

For its part, bitcoin has been viewed as an asset that isn't correlated with many others. The crypto asset certainly has a low correlation with stocks, as represented by the S&P 500 index and a pretty low correlation with technology stocks, as represented by the large-capitalization oriented Nasdaq-100 index .

Bitcoins correlation with the Nasdaq-100, as measured in late May, was around 0.20 on a rolling 20-day average, and its correlation with the S&P 500 is 0.29, as of June 2, according to Dow Jones MarketWatch data.

The asset with the highest correlation to bitcoin, presently, is the Grayscale Bitcoin Trust (GBTC), at 0.81, meaning that the trust moves nearly in lockstep with the crypto.

That is even as competition and expected bitcoin-pegged ETFs have sapped GBTC of a premium that it used to enjoy relative to its net asset value.

CoinDesk reports (https://cointelegraph.com/news/why-is-wall-street-becoming-less-interested-in-grayscale-s-bitcoin- trust) that the GBTC premium was around 30% at the beginning of 2021, but is now trading at discount at around -11.40% to NAV, as of the middle of the week.

GBTC has been closed to new investors and is also hoping to convert its trust into a bitcoin ETF, if it can secure regulatory approval--a challenge as no crypto-pegged fund has been greenlighted in the U.S.--yet.

Outside of GBTC, Michael Saylor's MicroStrategy(MSTR) has a correlation of 0.73, and VanEck Vectors Digital Transformation ETF (DAPP) has a 0.65 correlation to bitcoin.

Crypto platform Coinbase Global's (COIN) correlation to bitcoin, meanwhile, is comparatively low at 0.32. lower than Tesla Inc. (TSLA) at 0.55, as well as bitcoin mining companies Riot Blockchain (RIOT) at 0.60 and Marathon Digital Holdings (MARA) at 0.57.

Coinbase, the U.S.'s largest crypto platform, went public in mid April and is down nearly 30% since then. Bitcoin is down 42% over the same period.

As the chart illustrates the U.S. dollar has a negative correlation with bitcoin, at -0.37.

--Ken Jimenez contributed to this article

-Mark DeCambre; 415-439-6400; AskNewswires@dowjones.com


(END) Dow Jones Newswires
06-04-21 1306ET
Copyright (c) 2021 Dow Jones & Company, Inc.

 

[Velo Vol]

Crypto platform Coinbase Global's (COIN) correlation to bitcoin, meanwhile, is comparatively low at 0.32. lower than Tesla Inc. (TSLA) at 0.55, as well as bitcoin mining companies Riot Blockchain (RIOT) at 0.60 and Marathon Digital Holdings (MARA) at 0.57.

Wow, that's an interesting "auto manufacturer."