Month: June 2013

Bitcoin By The Numbers: How Many Americans Know of Bitcoin? How Many Trust It?

[heading]Bitcoin By The Numbers[/heading]

Bitcoin has made impressive inroads in 2013 towards the mainstream. Read More

The Reserve Bank of India Wants An End to Virtual Currency

[heading]The Reserve Bank of India Wants An End to Virtual Currency[/heading]

Yet another government has shown its cards: The Indian government has concerns over the rise of virtual currencies in recent memory. Read More

Ecuador Offers US Human Rights Aid, Won’t Hand Snowden Over

[heading]Ecuador Offers US Human Rights Aid, Won’t Hand Snowden Over[/heading]

The US is no longer a superpower, in part thanks to Edward Snowden. Read More

Bitcoins Tax Free in Germany After One-Year

[heading]Bitcoins Tax Free in Germany After One-Year[/heading]

Bitcoin increased 25% in German Euro terms over the course of the day on one simple announcement: the p2p digital currency would not be subject to a litany of taxes.

Bitcoiners have been waiting for the Bitcoin shoe to drop in Germany. On the heels of Canadian and American rulings, it has been of great interest how Europe would respond.

Germany’s financial role since the onset of the economic crisis in 2009 has at times been compared to the Nazi party’s hold over Europe, with Cyprus bank accounts being looted most recently and Greece ravaged before that.

Despite the hawkish insistence of Germany that the rest of Europe – in particular the southern countries – capitulate to the industrial center or historical core of Europe, Die Muetterland apparently has a soft spot for digital currencies…for now. Read More

A Confiscatory Redenomination of Gold

[heading]A Confiscatory Redenomination of Gold[/heading]

The world has entered into a neo-soviet situation, where prices are fixed just as they were in the Soviet Union. The quicker you come to understand this, the quicker you’ll come to understanding why gold is where it is today.

If you want to better understand the evolution of the gold price in the 21st century, looking towards the Soviet example could help. Read More

Tomorrow’s Financial Times Front Page & The Capitulation of Gold

[heading]Tomorrow’s Financial Times Front Page & The Capitulation of Gold[/heading]

“The word at the moment is capitulation,” the precious metals analyst at Credit Suisse told the Financial Times for their June 27 edition.

The Financial Times (US) tomorrow will feature the tumbling price of gold. With a large headline that reads “Gold Price tumbles on fears of an end to QE,” the Financial Times pushes forward a flawed storyline in the price of gold. Adding in the June 27 article  that last week’s selling was led by long-term investors, the precious metals analyst at Credit Suisse and Financial Times are sure to add to the low sentiment across the gold and precious metals complex. Read More

The Awakening Of Edward Snowden

[heading]The Awakening Of Edward Lowden[/heading]

What makes “Millenials” so different? Well, for many Millenials, some of our most formidable life experiences took place between the years of 1990-2001.

What makes 1990-2001 so much different than the rest of the dates on a relative timeline? Not very much. Except for this one thing: there was no boogie man prevalent in the subconscious mind of these individuals. Their parents would not experience such a time, and neither would their children


What do I mean by “there was no boogie man?” By that I mean there was no collective group deemed a threat to the entire collective of a nation – for our parents it was the Soviet Union/Communist threat, and for our children and us it has been and will be terrorism. And so, we grew up in life with a rather idyllic version of the world.

It could be that Edward Snowden is a prime example of a millenial life.

In 2009, four years ago, as Snowden was 25,  somebody using his screen name  appears to have trashtalked leakers, telling a friend of Edward’s that leakers “should be shot,” according to the chat logs made public on Wednesday by Ars Technica, which hosted the exchanges.

“They’re just like WikiLeakers,” the person using the screen name wrote in January 2009. The person on the other end of the discussion wrote, “They’re just reporting, dude.”

“They’re reporting classified” material, wrote the user behind Edward’s screen name. “Those people should be shot” in their privates.

The messages stem from Switzerland between 2007 and 2009 and thus appear to closely match the timing of Mr. Snowden’s service in Geneva as a CIA technician. There is some uncertainty as to whether the text file “evidence” is real. The New York Times, to be sure, has reported as if it stands up to tests.

If true, Snowden’s once condemnation of leaks could be a number of things.  Regardless of how the evolution occured, Snowden now sits in the Sheremetveyo Airport in Moscow, hiding from American prosecutors who have charged him with espionage and theft of government property for leaking the NSA material.

The Guardian has reported that Mr. Snowden said in an interview that his disenchantment with American intelligence efforts began with his work for the CIA in Switzerland, in Edward’s mid-twenties.

There is one piece of the storyline that does add up as per Edward Snowden’s Awakening; that is, swimming in a sea of digital soup, the Millenial generation experiences life different than does the older generation. And having that subtle wisdom of a world in which no boogie man exists, many are discontented by the way things are.

And, thus, Edward Snowden could be a true product of his time: a succesful Millenial with a hint of recklessness, a fish in a digital sea.

Gold’s Biggest Quarterly Drop Since 1968: A Farce Or Sign of Times?

[heading]Gold’s Biggest Quarterly Drop Since 1968: A Farce Or Sign of Times?/heading]

Gold and silver prices have hit their lowest points since August 2010.  But, are investors and pundits looking at all the wrong indicators? It wouldn’t be surprising if they were, thus leading to liquidation spurred by manipulation and more liquidation. It is the Ivy league types who have buried precious metals under a mirage of arbitrary data points. Read More

Bitcoin Reaches 1 Million US Downloads & The Future of P2P

Bitcoin is the second great P2P file sharing system. The first is the BitTorrent system.

The P2P payment network has continued its growth, having crossed the one million download mark. Read More

What America Learned From Tony Soprano

[heading]What America Learned From Tony Soprano[/heading]

In this age of NSA wiretapping, it is highly unlikely a family like Sopranos will ever exist, and considering how the public reacted to Edward Snowden, this is a fact that most Americans regret.  As one who respects his elders, I thought now would be a fitting time, in tribute to Jim Gandolfini, to take a step back and see what America has learned from Tony Soprano. Here are some of those lessons: Read More

Eurogroup Legitimizes “Bail-In” For Europe

[heading]Eurogroup Legitimizes “Bail-In” For Europe[/heading]

Did you think Cryprus was a “one-off?”

Himagegen.ashx.jpgopefully you didn’t put any money on it, as Eurozone finance ministers agreed over the weekend that freezing accounts was an acceptable way to inject money into struggling banks. The Eurogroup stated in the agreement that “An appropriate level of bail-in will be applied before the bank is recapitalised by the ESM in line with EU State aid rules.”

Enabling the 500bn euro ($660bn; £427bn) European Stability Mechanism to help banks aim to ensure that the European Union won’t fail.  The ESM, now able to inject a total of 60bn euros into trouble lenders, has awarded themselves the privilege to dip into depositor accounts first so that lenders – not national governments- may be made whole.  As BBC writes,

 In addition, the bank’s shareholders, bondholders, lenders and even large depositors, may also have to contribute ahead of any funds from the ESM, a process known as a bail-in.

European technocrats hope that the new agreement comes into effect in late 2014, although many details will still need to be agreed upon.

A major change, nonetheless, has taken place. Heretofore, the ESM could only bail out national governments, not banks. There was precedent for such a move, however, and they can do it with depositor money first. In June 2012, the ESM financed the bailout of Spanish banks, but indirectly, with the Spanish government ultimately on the hook for future bank losses (and of course losses would come).


Making the problem of insolvent banks worse is the fact that most eurozone governments are beholden to the banks, which lend them the money they then for some reason call “legal tender.”

The new banking directive was vague in its parameters regarding what exactly a “bail-in” is, but when Europe’s technocrats do decide, the decision would apply across the whole EU.

So, one-by-one, countries along the periphery of Europe will go bankrupt forcibly trying to bailout international banks at the behest of an EU institution. How many countries will go down this road before the whole of Europe sees the writing on the wall?

Searching For a Critical Mass In Bitcoin

[heading]Searching For a Critical Mass in Bitcoin[/heading]

For a physicist, the “critical mass” is the amount of radioactive material that must be present for a nuclear fission explosion to occur.

For a Bitcoiner, the “critical mass” is the number of individuals that must adopt Bitcoin for the commanding heights of finance and government to adopt true “fiscal responsibility,” thus leaving bitcoiners be… Read More

Bitcoin & The Commercial Real Estate Collapse

[heading]Bitcoin & The Commercial Real Estate Collapse[/heading]

In 1340 AD, the last great real estate collapse in history took place in Italy. It almost destroyed civilization. When real estate prices fell by 50 percent in Florence, Europe was thrust into a dark age.

Read More

Could Silver Save the Human Race?

Could Silver Help Save The Human Race?

Silver has been used to fight infection for thousands of years. Hippocrates first described its antimicrobial properties in 400 BC. Read More

Section 215: The NSA Wants “Any Tangible Things”

Section 215: The NSA Wants “Any Tangible Things”

The government demands the turning over of your bitcoins. You’ve held them on an online exchange, so your stash is vulnerable. And, under the Patriot Act, the government maintains this authority. Read More