My only advice is don't invest in anything you don't understand, which is why I didn't buy into Bitcoin 5 years ago.
The moral of this story is don't listen to me.
Good luck with your investing.

Bitcoin is a great idea and it's the first of its kind to survive in the real world. Banks are looking at taking up its block chain technology for their own purposes, because it's that good.

The big threat to Bitcoin is that it cuts out big business (and governments) from the process of holding and exchanging funds, and they're not happy about that. Ever since it's birth, they've been after Bitcoin in a big way.

Example: the NY banking regulator wrote regulations requiring anyone handling / trading Bitcoin to have a license, they then made the application process deliberately cumbersome, and then the individuals involved left the regulator's office to set up consulting firms to help people navigate NY's Bitcoin license application process. Fortunately for Bitcoin, it's borderless, so people simply left NY's jurisdiction.

There is a maximum of 21 million Bitcoins (don't ask me how they came up with that number). It's value will fluctuate like any other currency - which is why people trade it - but, unlike any other state issued currency, they can never just print more Bitcoin and devalue the existing currency.

You can spend Bitcoin in the real world in many places (with a charge card attached to your Bitcoin account) and you can convert it to other currencies when necessary - even via a cash machine on the street. Think of it as just another currency - because that's exactly what it is - that you can receive and spend just like any other currency, but the record of your holdings and transactions are securely encrypted on the internet - preserved in multiple locations and subject to multiple verifications to avoid theft and fraud.

Edited by Ray in Houston (22 Dec 2017 5.57pm)

We don't do possession; we do defense and attack. Everything else is just wa**ing with a football.

It's bombing.
Time to get out.

Buy Litecoin.

Shhhhhhhhhhhhhhhhhhh!

Buy Litecoin.

Absolutely.
As for the 'bankster' coin. No thankyou.

3 (of many) picks to buy now that are set fly in 2018...........Litecoin, $300 atm, Populous $40 atm and Omisego $15 atm. I don't intend to sell any of these, they are long-term invetments as far as i'm concerned. I'm just going to sit back and ride out any 'storms'.
NEVER EVER LEAVE YOUR INVESTMENT IN AN EXCHANGE. Buy a Trezor/similar or print a paper wallet (Youtube is full of info so do some homework).
Many compare the internet of the early 90's to where Cryptos/Blockchain technology are currently at, ie moving from it's 'infancy stage' into the 'juvenile stage' so as with the internet back in the day, there is still a long long way to go before it reaches maturity. I believe they're right.

A good source of prices/volume etc....

[Link]

Edited by .TUX. (24 Dec 2017 8.28am)

Edited by .TUX. (24 Dec 2017 8.36am)

Buy Litecoin.

Answers - as best as I can give - are as follows:

Q: Am I right in saying there are no products or assets you can exclusively buy with bitcoin. I get there are some products that it is easier to buy with bitcoin but you can still buy these in pounds or dollars.

A: Correct. Bitcoin is a currency like any other currency, except that the value of it is guaranteed by the block chain process that ensures the record-keeping of who (anonymously) owns what. Just like a fiver is proof that you own five quid, block chain allows you to prove that you own 0.0004411 Bitcoin (at current exchange rates).

Q: This is important because the value of bitcoin and assets purchased in bitcoin must still by tied to the value of goods in the traditional currencies.

A: Bitcoin has a floating value vs. other currencies just like other currencies have against each other. So when you convert Pounds to Euros to go on your hols, you get the current rate of exchange just the same as if you were converting Bitcoin to Euros.

Q: I'm assuming as the price of a bitcoin has risen the purchasing power of a bit coin has fallen. If in 2010 one bitcoin is worth one dollar and the price of my kilo of coke is ,000 then you need 50,000 bitcoins. If by 2017 bit coins are worth a £1,000 each then then my coke is still worth ,000 but now should be worth only 5,000 bitcoins.

Again this to me is important, it is essentially an alternative investment rather than a currency, if I have 100k to spare I might want to invest in bitcoin so I can buy a 200k house if my bitcoin rise in value. However my decision to buy bitcoins is as an investment rather than as the only place I could do the trade in dollars but as I hop to get more for my hard earned if I use bitcoin.

A: Yes, you can buy Bitcoin as an investment, just like people buy currencies as an investment. And, just like currencies, or stocks or bonds, the value can fall as well as rise. As we have seen. Treat Bitcoin like Pounds, Euros, Yen, Rubles etc. etc. Invest as you deem appropriate for your risk appetites.

Q: OK so i get those that want to sell illegal goods and services will want to trade in bitcoins but as bitcoin grow further surely this will be legislated against even more thoroughly. The illegal activity will become a stick to beat bitcoin with and what illegal trade bitcoin facilitates will move on.

What do people use now to purchase illegal goods? Cash! Bitcoin is another form of currency, so it's not a flaw of Bitcoin that criminals use it to settle up after doing bad deeds.

Q: It is the technology that makes it interesting, and that will move on. Already there are other crypto currencies and it won't be long before the technology becomes main stream. Bitcoin technology will be use in the future, if I had a spare few quid it might be worth a punt, but not sure I would to put my pension pot in bitcoin specifically.

A: Exactly! If you want to engage in trade where secure payments are required and you have high enough volume that the bank charges will kill your margins, then Bitcoin is a great tool. If you want to invest in it, that's great too - but it's just like any other investment, so caveat emptor!

Just remember, think of Bitcoin as being like any currency, because that's all it is. The only difference being that it exists without the need for a central bank to guarantee the underlying value because the proof of your funds isn't a piece of paper redeemable at a bank, it's in a block chain that's constantly verified ("mined" on the web so that no one can access your stash without your authorization.

We don't do possession; we do defense and attack. Everything else is just wa**ing with a football.