I just found out bitcoin atms are a thing. I got excited until I realized you can only buy BTC with cash, not cash them out.

I am shocked, *shocked* (hhh). Bitcoin use is a red flag for the taxman.

Coinbase Promises to Fight the IRS in Court Over Data on All Active US Bitcoin Traders

QuoteU.S. government filed a civil petition in federal court intending to disclose all Coinbase U.S. customers' records over a three year period.

http://www.coinspeaker.com/2016/11/21/coinbase-promises-fight-irs-court-data-active-us-bitcoin-traders/

Is NOTHING sacred?

Capital gains, income as a result of bartering, money in foreign accounts, payments to US entities for services over $599 in a year  ...just about any way you turn, they have a tax for that.

I considered mining at one point but the returns are just going to continue to diminish so decided against it. I agree, if Shak is bowing out that is a good indicator. He is not only switched on, he is in the thick of it with people who are/were most likely heavily BitCoin pro. However, as someone who does a lot of cross currency transfers I love the idea and I noticed it is now in the list of currencies in woocommerce which is an indication that demand for this feature has gone up. In principle, I think the idea and system is awesome, it speaks to the geek in me and the possibilities are endless, however the practicalities have got in the way of me really doing anything with it.

The thing that has put me off now, is that at some point you are going to want to cash out unless it becomes mainstream, then you are losing on percentages buying in and cashing out, which turns it into an investment rather than a currency in my head.

Mining is hard. Unless you live in a country where electic is chesp it's not wort it.

Buy a few and hold.

Maybe look at ETH for a punt too.

Would the economics of mining change if one lives in a cold climate and heats the house, garage and the workshop with electricity?

It occurs to me that every BTU of waste heat from a processor would be a BTU that didn't have to be produced by the regular heating system.