Bitcoin and Real Estate

Posted by: Jeffrey Terrell

Bitcoin and Real Estate - 01/06/18 04:23 PM

A $500k home in Kansas was recently purchased with Bitcoin, and a ton of my colleagues, friends, and family have been asking me about Bitcoin, so here are some basics:

Explain Bitcoin Like I'm Five

https://medium.freecodecamp.org/explain-bitcoin-like-im-five-73b4257ac833

Bitcoin 101 Video

https://www.youtube.com/watch?v=JIxwTx7o_B4

Buy Bitcoin

https://www.coinbase.com/join/592a24aa810de700c16447c2

Buy Alt Coins

https://www.binance.com/?ref=16175100

Asset Tracking

https://cointracking.info?ref=A349046

Mining

https://www.genesis-mining.com/a/1767216

Hardware Wallet

https://www.ledgerwallet.com/r/2325

Security (especially 2FA)

https://arstechnica.com/information-technology/2016/12/a-beginners-guide-to-beefing-up-your-privacy-and-security-online/
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/06/18 05:02 PM

Jeffrey --

That is good info, but you might want to check in with a moderator before posting all those URL's.
Posted by: Vermont

Re: Bitcoin and Real Estate - 01/07/18 07:48 AM

Originally Posted By: Jeffrey Terrell
". . . A $500k home in Kansas was recently purchased with Bitcoin, and a ton of my colleagues, friends, and family have been asking me about Bitcoin, so here are some basics . . ."

Interesting . . . . but WHY would they ask YOU ?
Posted by: VABroker

Re: Bitcoin and Real Estate - 01/08/18 06:45 PM

My thoughts exactly, particularly with all those urls posted. Think maybe a 'broker' of some sort but NOT a real estate broker, eh? Bitcoin fluctuates so fast I'd never give it a try. I just got my 401k back. Sure do wish 'the market' wouldn't fluctuate so much. I don't see how anyone can count on retirement if money is tied to a 401k account or other market retirement account. I can retire next year, but, will I be able to STAY retired the following year?

I still think "salesman" cause it's another 'new' poster with only 1 post. Who? Me? Suspicious? Fox Moulder says, "Trust No One."
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/09/18 03:19 PM

We have been talking about buying some crypto-currency, but I really can't see how it is different from buying Beany Babies. Yes, I do realize that BitCoin is becoming usable as real currency, but I just don't understand how.
Posted by: barb43

Re: Bitcoin and Real Estate - 01/16/18 08:05 AM

Originally Posted By: Long Walk
I really can't see how it is different from buying Beany Babies.
Oh, I love that line . . . made me spit out my coffee! laugh

I had a buyer who had sold some of his bitcoin for a great profit, and he used the cash to buy a property here in SW Oklahoma. I'm happy for him.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/16/18 09:32 AM

I missed the whole Beany Baby fad/craze because I couldn't understand how anybody was making money on a kid's toy. There was an article in the St. Pete Times around summer 1996 about a guy in our area who had a garage full of them and was going to use them as his retirement. A few weeks later, you couldn't give a Beany Baby away.

I also missed the .com tech stock fad/craze because I could not understand how to make money by buying shares of companies that either had no revenue at all or were simply not profitable.

There are people who made tons of money in both, I am sure. How is that kind of investing any different from betting everything on black on a roulette wheel?

So, I don't understand crypto-currency and still haven't bought any.

Any insight into how the value proposition works would be greatly appreciated.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/17/18 07:44 AM

So, our new friend Jeffrey hasn't come back to share any more of his dark knowledge of crypto-currencies.

But, I saw this article this article this morning about the very sudden, very unexpected fall in crypto's.

Full disclosure: I have no idea how this stuff works at all and all of this could be completely normal.

If the latest crash was caused by the governments of China and South Korea clamping down, then I would say that the end of these 'currencies' is in the very near future. Also, if retailers jumped in out of fear of being left behind, rather than jumping in as an expression of sound business principles, then the fad can only end in failure.

Since I don't know anything about the subject, the opinion above is worth exactly what you paid for it. smile
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/17/18 08:57 AM

I just checked the BitCoin price on CoinBase and the value has dropped about $1K/coin since my last post. Crazy.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/17/18 11:03 AM

And 3 hours later, BitCoin has re-gained all of its lost value back to $10,500. What an odd thing to invest in. I just don't get it.
Posted by: Vermont

Re: Bitcoin and Real Estate - 01/17/18 11:18 AM

Just further proof of the validity (or functionality) of "The Greater Fool Theory": there must be a fool greater than me (I hope) !

But you know, someone IS the greatest fool.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/17/18 12:22 PM

Normally, I would agree with you completely, VT. What causes me to not compare it completely to Beany Babies is that merchants have been accepting it as currency. So, I can't help but wonder if some type of crypto-currency will some day in the near future be adopted as a currency for the world to use as a replacement for the USD.

How to speculate in that proposition with anything like confidence is totally beyond me.

Incidentally, the latest BitCoin price has it heading back down to $9500 again.
Posted by: Vermont

Re: Bitcoin and Real Estate - 01/17/18 12:34 PM

Please don't involve me in any discussion about Beany Babies . . . . I'm only saying that people are CONFIDENT that somewhere, someone is a greater fool than are they. Ego blurs the image in the mirror.

It's akin to Musical Chairs, people will continue to play the game, CONFIDENT that there will always be a chair left for them when the Music stops . . . . but, at least with Musical Chairs, it's understood that the Music WILL STOP !

Meanwhile, wasn't new registrant Jeffery Terrell's usage of all those embedded URLs in his one and only Post reported to the Moderators earlier in the month ?
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/17/18 12:54 PM

I never like to just hammer people with the threat of report to a moderator. I gave a polite suggestion, but he declined to edit. Perhaps he is busy counselling friends and clients on crypt-currency and can't make the time to come back.

My guess on crypto-currency is that national governments will have the last word on whether it will be a currency. For the moment, my best analogy for the merchants is that they are treating it like PayPal: denominate the transaction in USD and then conduct the transaction through the sale and purchase of BitCoin(or some other currency). So, it becomes less a currency, and more of a medium of exchange of USD. Otherwise, how could anyone price a transaction in BitCoin given its volatility?
Posted by: Vermont

Re: Bitcoin and Real Estate - 01/17/18 06:45 PM

Rules . . . . just like Laws and other Regulations should just be called "Suggestions" if they aren't going to be enforced.

That would please many Folk who have a higher regard for human behavior than do I.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/17/18 08:27 PM

Originally Posted By: Vermont
Rules . . . . just like Laws and other Regulations should just be called "Suggestions" if they aren't going to be enforced.

My thinking is that everyone of those posters should be banned. That is probably why nobody would ever think that I ought to be a moderator of anything.

I'm not a slave to rules, but they do have their purpose. It seems disrespectful to me that folks come here and post a bunch of useless, self-promoting nonsense in their first post and then never return. For that reason, they should be banned.

But, more than that, those posts and their unprofessional behavior discourage participation, I think, from squared-away people who could make the site better. This was my point a few weeks ago in the thread about getting the BPO/REO section going again: a lack of professional, consistent moderation caused a significant drop-off in participation.

Of course, I could be completely wrong, and maybe I am the whole problem. shocked
Posted by: Tex

Re: Bitcoin and Real Estate - 01/19/18 08:09 PM

I've read some forum stories elsewhere, I think written by pie in the sky youngsters, about how Bitcoin is private, unregulated, blah blah.....etc. That may be the case right now. However, we are probably one of the most governed, over regulated, countries on Earth. Let Uncle Sam see a nickel to be carved off of Bitcoin, or any other crypto currency, and it will happen.

And don't forget the IRS. They will want their cut. When any of this happens I would expect to see Bitcoin come back to Earth rather quickly.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/20/18 08:15 AM

Tex -- I don't see how it could end up any other way. For now though, this feels like Beany Babies and the .com craze. Yes, I could have picked Amazon out of all that noise, but the odds would have been about the same as me making money in BitCoin.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/30/18 01:26 PM

And, more bad news today about the mysterious gambling fad known as crypto-currency. Evidently, some of the promoters of these currencies are claiming that they are pegging value to the USD by holding USD in reserve. Based on the subpoenas issued today, it seems the US Government has some doubts about those claims.

Almost unbelievably ( laugh ), the price of BitCoin has lost about $1,500/coin today and is trading at about $9,800/coin.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/01/18 04:05 PM

Beanie Babies/Bitcoin is now hovering at $9K/coin. The value slide continues. I don't know what made it go up and I don't know what made it go down. We will see what the future holds.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/03/18 09:39 AM

Beanie Babies/BitCoin just keep making the news: Crypto-Currency is a Scam. It seems that professional economists, analysts, and market-makers can't see the value proposition in crypto-currencies. Go figure.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/04/18 10:27 AM

Beanie Babies/BitCoin are down to $8200/coin according to Coinbase.com. Maybe our friend Jeffrey will come back and explain the mysteries of the dark realm.

The quotes on Coinbase appear to be accurate. They generally agree with quotes here.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/05/18 07:24 AM

Beanie Babies/BitCoin now trading at $7600/coin. Just read an article on Forbes that tries to answer whether BitCoin has intrinsic value, and concludes that it does not. Maybe later. Maybe in a future version, but not today.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/05/18 01:51 PM

Beanie Babies/BitCoin now trading at $6600/coin. I guess we are going to see the difference between investing and gambling.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/07/18 08:45 AM

Massive overnight rally for BeanieBabies/BitCoin brings values back up to $8220/coin. Goldman Sachs sees no future for any crypto-currencies, but does see a future for blockchain technology. I'm glad that I don't own any of this.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/09/18 05:54 AM

Beanie Babies/BitCoin have been fluctuating wildly, but are currently $8280/coin. Maybe this is a short-term plateau while the market figures out which way to go.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/10/18 09:39 AM

Beanie Babies/BitCoin holding firm today as a store of value at $8400/coin. Why? Nobody knows.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/14/18 07:59 AM

Beanie Babies/BitCoin are on a tear, with value rising to $9200/coin. I can't help but wonder if a few large players are manipulating the values, but I don't see how that would work.

This phenomenon is strange, to say the least: there is no actual coin, some governments have threatened to make it illegal to use, very few merchants accept it as a method of payment, and the trading happens in a totally unregulated market. There aren't even dealers of BitCoin that I am aware of that exist outside of the few privately owned exchanges.

So, bottom line is that I still don't understand the value proposition and I don't understand the claims that block-chain technology function as a store of value.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 03/08/18 11:36 AM

So, almost a month has gone by, and Beany Babies/BitCoin are at $9,200. This after surging up to about $11,500 and then falling. Why the rise? Who knows. Why the fall? Who knows.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 03/14/18 10:43 AM

Beanie Babies/BitCoin dropping like a stone today. As of now, price is hovering around $8,500 per coin. I wish someone could explain the value proposition to me.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 03/15/18 11:23 AM

Beanie Babies/BitCoin still falling. Currently $8,200 per coin. And no more crypto-news on the websites where I read news. Maybe OP will return for a 2nd post and give us some insight.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 03/20/18 12:16 AM

BeanieBabies/BitCoin back in the news! Surging back up to $8,500 from a low of $7,500 over the weekend. I can't wait to see what happens next.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 03/28/18 10:52 AM

BeanieBabies/BitCoin hovering around $8,000. Still don't understand the value proposition, but I was reading yesterday that Bitcoin stores a record of transactions in the blockchain and that the anonymity in the crypto-currency is not terribly hard to break.

So, I guess we will see how long money-laundering tops the list of uses of crypto-currencies.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 03/29/18 12:48 PM

Beanie Babies/Bitcoin at $7,500 this morning.

Something called the BitCoin Council posted a blog entry on BitCoin being used for money laundering. I was shocked to see that criminals might mis-use this incredible technology. Shocked, I tell you. Just shocked.

Well, not really. shocked
Posted by: Long Walk

Re: Bitcoin and Real Estate - 04/06/18 11:10 AM

Beanie Babies/Bitcoin at $6,500 this morning. Crypto's just can't seem to catch a break. Odd since they are supposed to be a store of value. Maybe the problem is that they are not exactly as anonymous as was claimed. That and the folks who came in during the bubble in December have likely finished buying high and selling low.

It would be nice if the OP would return and share some insight on this.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 04/07/18 02:03 PM

BB/BitCoin still under $7,000, but this article caught my eye this morning.

It looks like some less affluent areas are beginning to treat the attraction of crypto-mining as a part of their economic development plan. I'm seeing something like this very thing with medical marijuana in a town in MA.

So, crypto's may or may not be the wave of the future, but the few jobs they bring in can make a difference.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 04/12/18 05:31 PM

Beanie Babies/Bitcoin hovered around $6,500 for the last week or so. Suddenly, this morning, the price blew up. At 0640, the price was $6,820/coin and, by 0740, the price was $8,010/coin. An absolute gain of $1,190/coin or a 17.4% increase in one hour.

And there is no news that I saw on any headlines today. What an odd investment vehicle.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 04/26/18 01:10 PM

Prices of BitCoin are back up in the $9K range this week. No news to explain the sudden increase, and the increase is nothing like smooth. Wild, sudden drops in price -- like 5%+ in 90 minutes -- followed by equally steep and sudden increases makes me think single buyers are moving large blocks of coin in small numbers of transactions.

What has bothered me about this investment vehicle is that there is no way to gauge demand or sales activity. Real estate and stocks are visible markets that offer reliable data. Crypto-currencies seem to offer none of that, and there appears to be no central exchange for buying/selling.

If the above is correct, then I can't understand how market participants make their buy/sell decisions.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 01/29/19 05:58 PM

Long time between BitCoin updates...I hope nobody here bought any cryptos in late 2017. Price today is $3,400/coin after holding the last week at $3,500. From the high last year of $19,000, BitCoin has fallen 82%. And, the OP never came back, and I still don't get the value proposition.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 02/04/19 05:20 PM

In other news, it looks like crypto-currency investments may not be as safely held and accessible as investors might hope according to this article.

It appears the the exchange founder died unexpectedly and nobody is able to access the stored crypto's. That includes everyone at his company. So, the only guy with the password to the accounts died and seems to have taken the password with him.

Color me skeptical, but I just don't see how this system is a store of value.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 04/06/19 07:45 AM

Starting March 27th, BitCoin prices broke through the $4K/coin threshold and haven't gone back since. Today, prices are over $5K/coin for the first time since November 18th. A recent article attributes the gain to an investor buying $100MM of BitCoin.

The crypto folks, though, seem to be focusing on JPMorgan's planned launch of a proprietary crypto, according to this article.

If anyone on this board trades cryptos, I would really appreciate their insight....especially since the OP promised and then never returned.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 07/27/19 03:06 PM

Looks like the IRS is coming for their piece of the action.

Guess that effectively ends the anonymity of cryptocurrency.
Posted by: Long Walk

Re: Bitcoin and Real Estate - 08/20/19 06:52 PM

And this development is truly shocking: turns out that terrorists are funding operations through crypto. Totally unexpected that bad people would use this wonderful tool for bad purposes...shocking. BWAHAHAHAHA!