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NFTs Are a Pyramid Scheme and People Are Already Losing Money

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Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#41

Post by Dma54rhs »

antonvs wrote: post #22
ohgodplsno wrote: post #8

NFTs are paying for a signature in a blockchain that links to a random URL. If you're lucky, it's IPFS and it'll go down when people stop hosting it. If you're slightly less lucky, it's whatever platform you went through that's operating an IPFS tunnel because cryptobros can't figure it out, and it will go down whenever your flavor or the month NFT site goes out of business, which is any time between six months and 5…

Is it not possible to put the "owned" data itself on the NFT blockchain? If so, that does seem like a serious flaw.

Data on blockchain is too expensive. Or to be more exact blockchains people actually use or care about.

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#42

Post by jrochkind1 »

Havoc wrote: post #20

I would have thought that is obvious to all. It still has a place in the world - a bit like fortnite skins or something. Bit of harmless fun. What I don't get is the insane amount of money people are willing to pay. $5 here or there I could understand but thousands??

The answer to your final question is that it isn't in fact obvious to all, right?

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#43

Post by [deleted] »

antonvs wrote: post #22
ohgodplsno wrote: post #8

NFTs are paying for a signature in a blockchain that links to a random URL. If you're lucky, it's IPFS and it'll go down when people stop hosting it. If you're slightly less lucky, it's whatever platform you went through that's operating an IPFS tunnel because cryptobros can't figure it out, and it will go down whenever your flavor or the month NFT site goes out of business, which is any time between six months and 5…

Is it not possible to put the "owned" data itself on the NFT blockchain? If so, that does seem like a serious flaw.

[deleted]

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#44

Post by steveharman »

antonvs wrote: post #22
ohgodplsno wrote: post #8

NFTs are paying for a signature in a blockchain that links to a random URL. If you're lucky, it's IPFS and it'll go down when people stop hosting it. If you're slightly less lucky, it's whatever platform you went through that's operating an IPFS tunnel because cryptobros can't figure it out, and it will go down whenever your flavor or the month NFT site goes out of business, which is any time between six months and 5…

Is it not possible to put the "owned" data itself on the NFT blockchain? If so, that does seem like a serious flaw.

Filecoin is a possibility here (based on and created by the IPFS folks)

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#45

Post by mysterydip »

mc32 wrote: post #18
niahmiah wrote: post #3

It's stupid at face value. No pyramid required. You cannot intrinsically link real world items to tokens. The source of truth is the real world, not the token. Add an unlimited supply of unique things, and how could anyone expect to make money from this?

Pyramid scheme or Money Laundering instrument? In any event I can’t see authorities keeping a blind eye on this.

That was my thought on it. What easier way to launder money than with virtual items of arbitrary value? "Man pays thousands for bicycle tire" would raise many eyebrows. "Man pays thousands for NFT picture of bicycle tire" just makes people laugh and shake their heads.

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#47

Post by __s »

santiagobasulto wrote: post #26

Let people do whatever the F they wanna do with their money. If they lose it, shrug , it’s their money. I hate this idea of people telling other people what to do or what’s good for them.

This was my advice to someone: don't expect any returns. Do it as a fun experiment, not an investment

People piss away plenty going to casinos or clubs or amusement parks. So buy in with your for-fun budget, not your savings. Quit when it stops being fun

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#48

Post by adnzzzzZ »

arcturus17 wrote: post #31
Havoc wrote: post #17

Earlier quoted context omitted.

>You cannot intrinsically link real world items to tokens. Patents & trademarks?

Those are (a) very heavily regulated by definition and (b) means to an end, which is to create societal good, ie, foster innovation (I don’t want to argue whether that’s actually the case - I’m just taking the statu quo position) Could one say the same about tokens?

Yes. a) is very heavily regulated by the chain/protocol used to make the tokens work and b) would be to introduce scarcity to digital items, which possibly creates good and fosters innovation (I similarly don't want to argue whether that will actually be the case) in fields which benefit from scarcity.

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#49

Post by mrleinad »

delaaxe wrote: post #37
niahmiah wrote: post #3

It's stupid at face value. No pyramid required. You cannot intrinsically link real world items to tokens. The source of truth is the real world, not the token. Add an unlimited supply of unique things, and how could anyone expect to make money from this?

NFTs are not meant for physical items, they’re digital certificates. People literally burnt a Banksy painting before auctioning its NFT.

So they not only destroyed art, but also wasted energy on creating the NFT, adding to global warming.

If there's anything that's not absolute evil in all that, I fail to see it.

Re: NFTs Are a Pyramid Scheme and People Are Already Losing Money

#50

Post by itomato »

Havoc wrote: post #20

I would have thought that is obvious to all. It still has a place in the world - a bit like fortnite skins or something. Bit of harmless fun. What I don't get is the insane amount of money people are willing to pay. $5 here or there I could understand but thousands??

I stumbled across a pair of socks that were selling for converted 160MM USD worth of Ethereum.
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