View Full Version : The Wealthy Are Hoarding $10 Billion of Bitcoin in Bunkers

05-09-2018, 09:19 AM
By Tom Metcalf, Bloomberg (https://www.bloomberg.com/authors/AQ2sZn5X0s0/tom-metcalf)
May 9, 2018, 4:00 AM CDT

Behind the guards, the blast doors and down corridors of reinforced concrete, sit the encrypted computer servers -- connected to nothing -- that hold keys to a vast digital fortune.

Argentine entrepreneur Wences Casares has spent the past several years persuading Silicon Valley millionaires and billionaires that Bitcoin is the global currency of the future, that they need to buy some, and that he’s the man to safeguard it. His startup, Xapo, has built a network of underground vaults on five continents, including one in a decommissioned Swiss military bunker.

Xapo’s billionaire backers include LinkedIn Corp. co-founder Reid Hoffman and former Wall Street trader Mike Novogratz, who’s in the process of setting up his own cryptocurrency merchant bank. Their bet is that Bitcoin is here to stay, and so is its biggest scourge, theft.

The first rule of owning Bitcoin is to securely keep your private key -- the code that lets you spend your coins. If thieves get it, they can loot your holdings in an instant, with no hope of recovery. Putting keys on a device connected to the Internet is both convenient and perilous: Hackers have proven adept at obtaining them from afar.

The most popular alternative is called cold storage, keeping the key in an offline device such as a thumb drive. But risks remain: Hackers have also proven adept at setting traps on computers to access cold-storage devices the moment they’re online. More traditional criminals have committed home invasions and kidnappings. Some Bitcoin tycoons have resorted to hiding their identities, fortifying their homes and studying self-defense.

Personally I think Warren Buffet and Gates are dead wrong in
their thinking the Crypto's are a passing fad.

People said that about the Personal Computer too...

LINK (https://www.bloomberg.com/news/articles/2018-05-09/bunkers-for-the-wealthy-are-said-to-hoard-10-billion-of-bitcoin)

05-09-2018, 09:30 AM
The fad portion may be fading but the business portion is still going strong.

05-09-2018, 10:38 PM
The fad portion may be fading but the business portion is still going strong.

And the funny thing is, I bet a lot of these critics also have a
position in crypto although they will never admit it.

Just my opinion, I certainly have no proof.