Thursday, March 22, 2018

Earned $1900 Clicking Here and There



"F*** off GMGH, arbitrage doesn't exist in this day and age!"

Oh ho ho, but yes, it does.

I sold crypto on one exchange which had people willing to buy at a higher price.
I bought back the crypto immediately at another market by people there willing to sell at a lower price.
I end up with more crypto than I started out with. That difference is worth $1,900 if I cash it out now.

The crypto markets are so extremely inefficient in so many ways.

There are sooooooooo many opportunities, it's just a question if the situation, abilities and resources you have is the right fit to take advantage of them.

In my case, my resources was simply:
1) Being familiar and having accounts with the 2 exchanges
2) Having liquidity in both the crypto of the pair that I wanted to arbitrage

I sent my crypto to sell high on one exchange.
I sent my crypto to buy back low on the other exchange.

Click sell.
Click buy.


1 second later, I am $1,900 richer.

In case you don't realize, arbitrage is risk-free (save for the low binary 3rd party risks with the exchanges).

Risk-free money sounds good eh? Well, only if you know how to do it right.

A lot of people can screw up arbitrage by not having liquidity and being greedy. Instead of instantly buying and selling to remove any risk of price slippage, they will buy from one exchange, transfer it to another exchange, and hope and pray that price doesn't change between the time it takes to process both the withdrawal from the first exchange and the deposit on the second exchange.

Luv, that ain't arbitrage. That's buying now and hoping to sell at a profit 30 minutes later. It is NOT risk-free.

If you don't execute the buy and sell almost instantly on both exchanges, it's not called arbitrage.

So anyway, there you go, arbitrage 101 class for you. Tip me when you get rich, thanks.

For those interested, arbitrage on some crypto pairs between illiquid exchanges can run as high as 20%, but I normally don't bother unless it's at least 5%, with enough market depth to make it worth my time.

The $1,900 today sure was worth my time though.

Overvalued scam ponzi tulip shit apparently. But $1,900 worth of it.

Wednesday, March 21, 2018

Too Early for Crypto Shitposting?

Markets are still down, but this is the next big dip that I was waiting for (see end of post). Looking good to post a bottom.

Anyway, time will tell.

It ain't never too late to be a degen and get rekt lads.

If you still don't see value in uncensorable, unstoppable, unseizable money, don't beat yourself up in the future about missing the boat. Nothing would have convinced you anyway.

"You don't have to understand it or like it. You just have to accept that this is the future"

Monday, March 19, 2018


"All I see is a bad company becoming even cheaper and cheaper. I don't see anything currently that can give it's share price support and form a price floor. What's stopping it from going to zero? Maybe it can turnaround in the future, but buying things that aren't obvious is gambling in my view, which is why I cannot wrap my brain around growth investing.
I'm going to stick my neck out here and call Noble a value trap. Maybe it is, maybe it isn't. I don't have to be invested in it to have front row seats to watch how this show ends." - GMGH, Jun 15

The price of Noble has crashed to $0.11 after they have decided not to pay its bond coupon.

It's just only a 98.6% loss from when I decided to exit in Feb 2015.

But let's say you're a 2017 bagholder. I did in May 2017 say that Noble is a piece of shit. Boom. Only 73.8% losses if you didn't sell then.

Good ol' GMGH did warn you about this. GMGH got your back.

You wanna know what I think is going up next? Naw, nevermind. You'll think it's a tulip ponzi bubble.

US Crosses $21,000,000,000,000 USD Debt

No commentary necessary.

Saturday, March 17, 2018

0.002 BTC per person in the world. How many do you have?

As much as I used to shit on BTC in the past for being a slow and expensive blockchain, you really cannot deny that it is insanely secure and still a significant improvement over the traditional banking system as the perfect Swiss bank account with 24/7 access to transfer value P2P. Yes, you can send money after bank hours and over the weekend.

Well, my criticisms of BTC has dropped drastically due to pretty empty mempool right now.

The graph shows the transactions fees of BTC, and it is very CHEAP right now

You can force your transaction into the next block for just $0.33 USD.
Or you can be a cheapo and wait 8 hours and pay just $0.03 USD.
Contrast this to just 3 months ago when fees were pushing $30-40 USD per transaction, and you'll understand why this is significant.

The narrative for BTC already looks really rosy just like that, but wait, there is more.

Notable investors in Lightning Labs?

Twitter and Square CEO Jack Dorsey
Former PayPal COO David Sacks
Robinhood co-founder Vlad Tenev
Litecoin creator / former Coinbase Director of Engineering Charlie Lee

While I recently bashed Litecoin, I can actually see it making a comeback with the Lightning Network. But, it's too premature to say. In fact, if the BTC LN is up and running smoothly, whats the need for LTC? This also weakens the investment thesis for Nano by a lot. Though (in my opinion), Nano is technologically superior, BTC does have the massive network effects on all 3 fronts - users, developers and businesses. The space for transfer of value is an interesting one and will definitely require close monitoring and more thinking as development takes place. For store of value though, I think we only have a handful of candidates.

Anyway, an interesting reddit thread from 2013 about a time traveller from the future. Real or fake, who knows?

All I know is that I have more than 1 BTC. How about you?