Oh dear - investors might lose confidence in Mt. Gox, causing the Bitcoin price to drop ... oh, wait :lol:
The tech/nerd crowd probably don't care that much for PMs. As you guys know, 2013 was a bumper year for PM sales. The bitcoin market is far too small to have any effect on the PM markets.
Plenty of stackers changed direction from metals to alts. At one stage there were more posts across the forum about them than metals and the rest of the world going on combined. A lot of people sold part or all of their stack and ones who used to buy and sell PMs stopped doing so. This has decreased demand for products which has not helped sales/premiums around here lately. This may only be a microcosm of the investment world but there has been an effect. Apart from that I reckon a lot of the money that went into the steep rise in btc was from stackers/punters rather than geeks/nerds. That is why I reckon any fall in confidence in btc or other alts sends the money scurrying back to PMs.
Often a change of management can signal good things for a corporation however in this case, I doubt it. I'm imagining an image of Karpeles boarding a private jet in Tokyo with suitcases bulging with $US notes :/
karpeles is still the ceo of mtgox. he has been forced to resign from the board of the bitcoin foundation. the foundation opens up 3 places on its board to donators but had announced they already planned to remove him just prior to this resignation.
The run up in bitcoin price in late Nov of 2013 was surely fuelled by the Chinese, BTW. Any money scurrying back to PMs won't raise the price of gold or silver one cent. It is negligible. There are single gold companies with market caps bigger than bitcoin!. Bitcoins market cap is currently around $7,232,772,840 USD GLD's market cap fell something like $28, 000, 000, 000 USD in 2013. GLD is just one aspect of the market. The PM markets are phenomenally huge compared to the bitcoin market. Look at the size of Barrick G old alone!!.Bitcoin does not even get to be a spectator at the ball park. Whatsapp just sold for $19, 000, 000, 000 USD. (Even a messaging service app has a much larger market price than bitcoin). For those of us whom dislike banksBitcoin offers a payment system that is already causing a slight stir. I don't equate Bitcoin with PMs much. Bitcoin competes with my Visa and PayPal accounts. I purchased my first bitcoins of a IT guy whom works for Google here in Sydney. A typical adopter of bitcoins. Like most people, I doubt he gives a toss about PMs. How do you explain the record coin/bullion sales results for the worlds mints in 2013 despite bitcoin price rise. Please also note the concurrent gold /silver price declines in 2013 (You surely won't explain bitcoin's part in all this. Please surprise me). ***added.the scale of the PM market is massive. Seriously..if the bitcoin/cryptocurrency market ever gets big enough to have any effect on the PMs market then good. I say this, because the PM market should compete with alternatives if people view bitcoins that way. If PMs have utility that people can use effectively..the free-market should decide unleash this (I'm not holding my breath). Metal sitting around collecting dust is only so interesting.and useful to economies in 'day to day' business. Banks hold the lions share of the gold. Banks rule the PM roost. no matter what happens. Utility - for God's sake!. The unhealthy delusion within the metals markets is a put off too. This is shown by stackers who don't realise bubbles happen within the market or don't seem to appreciate the scale of the markets in this case.
I would call BS on that document - perfect tool for a pump'n'dump to drive the price down even further. Reading the first Situation slide sounds like reading someone's war games. Does not read like an internal presentation would IMO. I reckon it's guesswork with a motive, but could be very close to the truth regardless.
I agree. It looks legit but it's too "cutting". When you write Powerpoint presentations internally, you would NEVER be as blunt as this one was, even if it was clear that there was a disaster. Also, they way they talk about the Mt Gox CEO is not how you ****ing talk about your CEO if you want to keep your job. I call fake. Another reason this looks like BS. "The end of Bitcoin"? You don't write in hyperbole in a business document, especially when it's not justified. I've been in business for a long time and went through some serious product recalls and this "document" is just rubbing me the wrong way. On the other hand, the motivation to fake a "leak" in order to push down the price of BTC is a good motivation for making this.
Phrases in that document that activate my Spider-sense as being plain wrong: "the damage had already been done" "MtGox can go bankrupt at any moment and certainly deserves to as a company" "this could be the end of Bitcoin" "this isn't about saving MtGox any more" "to avoid a chaotic situation" "citing poor organization and technology" "High publicity (broken...)" "This is sad but the reality." "MtGox's main problems are massive robbery and poor bitcoin accounting" "Admitting his errors and expressing desire to x the situation by stepping back as a CEO."
