[Alex3917]

Meh. The only reason the price is as low as it is currently is that A) $850,000 needs to be added to the market every single day just to keep the price stable B) Coinbase et al. literally can't convert dollars to BTC fast enough. The situation is similar to how whenever Apple releases a new iPhone, it takes literally months until there is enough supply to match the demand.

While this market manipulation is blatantly unethical and possibly illegal, in the long run it's going to be larger economic factors that determine the success or failure of the currency.

[patrickg_zill]

Some people do hold the coins, though. I am not sure what the percentage is. In my case I have some Doge and have not sold any at this point.

[rtpg]

can you explain why almost a million dollars needs to be injected into the market to keep the price stable?

[pmorici]

Because a certain number of new coins are being created each day through mining so the supply of coins is increasing and if demand doesn't increase to match it the price is going to fall. It isn't a perfect calculation because those mining could hold the coins and not sell them immediately but the fact remains that the total supply is increasing and will at some point be put into circulation.

[tlrobinson]

That's the value of the Dogecoins being mined every day:

Blocks per day: 60 * 24 = 1440 (https://bitcointalk.org/index.php?topic=361813.0)

Current block reward: ~500,000 doge (https://bitcointalk.org/index.php?topic=361813.0)

Total block rewards per day: 1440 * 500,000 = 720,000,000 doge

Current exchange rate: 1 doge = US$0.0017 (http://dogecoin.com/)

Total block rewards in USD per day: 720,000,000 * 0.0017 = $1,224,000

[hueving]

That would make sense if every miner immediately sold every coin he/she mined.

[tlrobinson]

Miners have to pay for electricity and hardware. I doubt they're doing that with Dogecoins.

[ycui1986]

Doge had been the most profitable altcoin to mine several times in the past couple months.

[sireat]

You will be hard pressed to find any serious miner who is keeping mined Doge instead of converting them to BTC or fiat. Serious mining farms pay for their electricity, thus they will not have amortized their GPUs solely from Doge.

Sure, if you are a gamer with "pre-paid" graphics card AND "free" electricity, you may elect to keep your mined Doge.

[shitgoose]

http://en.m.wikipedia.org/wiki/Quantitative_easing

[fleitz]

People are free to coordinate their trades as private players on the market. While it may be illegal I see nothing unethical about it.

The entire point of the fucking market is to amass enough capital that you're not 'picking' stocks, if you're trading without an edge I really don't know what to tell you.

[logicallee]

> While it may be illegal I see nothing unethical about it.

This is interesting. It shows an attitude about laws as being just suggestions that you can also compare against your morality. I certainly agree on many points, for example people who do things on a small scale that are technically illegal (e.g. sodomy where it was illegal, etc). The context and morality does matter.

But in this particular case, the laws exist for quite an important and good reason. Do you know why? It seems to be for the exact case that's happening here. Ignoring the laws shielding the public, because you don't see anything unethical in it, seems, well, akin to ignoring fraud laws because you don't see anything wrong with committing fraud.

For example, why shouldn't I be able to print money (on an inkjet printer) - it might be technically illegal, but is it immoral? It's immoral because you make money from people accepting something that is worthless, and devalues people's faith in the real thing.

Pump and dump schemes have a similar effect on real investment markets, and are illegal for this reason.

[judk]

Welcome to EVE offline!

[hueving]

The point of a market is not for you to manipulate it. I don't wait to buy milk until I can amass enough capital to drive the price up.

[Anderkent]

The entire point of the fucking market is to share information. Pump and dump schemes are not information, they're noise.

[kungfooguru]

Illegal?