That was quick. The biggest bitcoin exchange is apparently planning for bankruptcy (click here).
The die hard Bitcoin proponents are arguing that it isn’t a problem with Bitcoin…it is just a problem with that particular exchange.
That’s not entirely accurate. The way Bitcoin is designed, it inherently lends itself to all sorts of problems such as this. I can’t possibly see it becoming a stable and reliable store of value. And ...
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Here’s an update on Warren Buffett’s bet against hedge funds.
To summarize what is going on, Warren Buffett bet a hedge fund that it would lose to the S&P 500 index over a 10 year period starting on January 1, 2008.
I mentioned in a post last year that Buffett was winning the bet. The hedge ...
More →One of the toughest realities for investors to face is that it does not pay to try to get rich with one good pick.
The temptation to attempt this is strong and understandable. We can always look back into the past and say, “If I had only just bought ______.”
It can feel like the costs to try to buy the next big winner are small – much like the costs for a lottery ticket are small compared to ...
More →I just wrote a post on how my calculation of their 2013 performance is far different from their calculation.
Writing that post prompted me to check up on some other numbers posted on the Gone Fishin’ Portfolio website. Here is a chart where they supposedly show how much better they would have done than the S&P 500 over the last 10 years. I ...
More →In a previous post I speculated as to how the Gone Fishin’ Portfolio guys would react given how poorly their portfolio did in 2013.
I notice on their home page they now have a long explanation about asset allocation, diversification, etc, which is about half correct and half wrong. This is one of my major problems with them. They mix in deceptive principles like survivorhsip bias along with solid principles like diversification.
But more curious to me is that ...
More →Did Emanuel Cleaver just complain to Janet Yellen about how you order food at Chili’s?
Why yes he did. Apparently Chili’s has a system where you sit at your table and order food over an intercom rather than having a waiter come to your table. Cleaver thinks that this is an example of why we have high unemployment.
First there is the obvious issue of technology and change. It is a big mistake to ...
More →Watching Janet Yellen’s first testimony to Congress as Chairman(woman) of the Federal Reserve.
It is one of the more ridiculous things I have seen in the political sphere. We all know that politics is a lot about posturing and show – then behind the scenes all sorts of deals take place that we aren’t told about. We also know that congressional hearings have little to do with finding truth and more to do with making a public show.
But ...
More →This is completely unsurprising, at least to those of us who understand money, banking and investment banks.
The CEO of a Bitcoin exchange was recently arrested for money laundering.
You see, banks and investment banks have a hard enough time keeping things honest, and they are dealing with real contracts and real investments.
Bitcoin – a fabricated medium of exchange, specifically created so you can hide your tracks, is going to attract the ...
More →I can’t find a serious economist that thinks Bitcoin is going to work.
I can find a lot of programmer-libertarians and end-of-days prepper that think it is the wave of the future. Like I said, I can’t find a serious economist that thinks it will work.
Problems are beginning and are starting to persist. Prices plunged recently.
Who knows if Bitcoin prices will go back up in the short term, and who knows ...
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