Thursday, December 5, 2013

Bank America/Merrill Lynch Analysts Issue Report on Bitcoin

Bank of America/Merrill Lynch analysts have issued a report on Bitcoin (see below). I just spoke to a BAML broker, who was surprised ML put out the report. You can't even buy bitcoins from BAML.

I'm not so surprised, on November 7, I wrote:
 It appears there are some stock operators getting involved in Bitcoin, who are skilled at getting exposure for an investment. It appears they are involved in the current promotion phase of the Bitcoin price. They most assuredly will get the price up. Expect positive stock analyst reports to follow.

Here's the report.


  1. There are ways and methods to try and destroy currency competition. If the currency monopolists cant outright crush Bitcoin with physical thuggary, they will most assuredly use their unlimited paper printing to crash their competition's credibility.

  2. Bitcoin as a Black Swan?

    There are the IRS issues, too. Is bitcoin a currency, or an investment? Different tax rates apply. How does one prove a capital expenditure, or a loss, or a gain? Who in their right mind would even report such a thing?

    There is the bankruptcy angle, too. What if one has a stash of bitcoins, and declares bankruptcy. Are the bitcoins valued as a currency on the schedules, or as an investment, or what? Further, who would even claim such a thing on their schedules when they are so easy to simply hide?

    Does this concept not open up a whole industry of bitcoin entrepreneurs? I can envision that a person will offer a service to hold a bankrupt debtor’s assets in the form of bitcoin until after the bankruptcy discharge. The debtor would convert everything into bitcoins before the bankruptcy filing, transfer them to the holder for a small fee, file the bankruptcy, then wait for discharge before getting the bitcoins back from the holder. It is seamless, anonymous, and untraceable. It preserves the debtor's assets, while simultaneously allowing the debtor to eliminate debts owed to unsecured creditors. After the bankruptcy, the debtor emerges free and clear, with his or her stash intact. This is massively deflationary for the big banks, and for the whole daisy chain scheme of collateral in general, and the central banks or authorities have NO remedy or way to prevent this from happening.

    There is not a single bankruptcy attorney I can think of who can figure this one out and prove that the debtor was hiding assets. There is thus, no effective remedy to prevent massive bankruptcy fraud by any debtor willing to undertake this scheme. It is akin to the MFGlobal theft. We all know what happened, but it cannot be proved, and Corzine walked. The little guys now can do the same thing, risk free. Why will they NOT do it?

  3. please go to the link below- starting at the 15 minute mark and paying special attention to what is said from 21: till the end of that segment of the show.

    Bitcoin developer Jeff Garzik explicit confirms on TV he is working with government and keeps updating the bitcoin protocol often to give control and power to US government.

    1. "Bitcoin developer Jeff Garzik explicit confirms on TV he is working with government and keeps updating the bitcoin protocol often to give control and power to US government."

      Let me guess: you're one of those people who's convinced there's an "internet kill switch" too.