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Ethereum: A Store of Value with Cash Flow [pdf]

ethereumcashflow.com

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Re: Ethereum: A Store of Value with Cash Flow [pdf]

#161

Post by ObserverNeutral »

lottin wrote: post #10

The fact that something is scarce doesn't make it a store of value. Scarce simply means is in short supply, but prices aren't determined by supply alone, they are determined by supply and demand. Moreover, if an asset is in fixed supply, then its price is determined entirely by the demand. This means such an asset will only be a store of value if the demand for the asset remains strong over a long period of time, whi…

> Scarce simply means is in short supply, but prices aren't determined by supply alone, they are determined by supply and demand

You can't predict demand, nobody can. So all things being equal (demand being unpredictable) you are better off holding something which is in low supply.

People are absulutely scared to death about inflation. It's deeply rooted in our brain and rightfully so. The first governments would dilute their citizen by adding lead to coins and reduce the silver %.

The same thing has been going on for millennia.

This is the reason why people hate inflation and have a strong preference for deflation.

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#162

Post by Paradigma11 »

lottin wrote: post #10

The fact that something is scarce doesn't make it a store of value. Scarce simply means is in short supply, but prices aren't determined by supply alone, they are determined by supply and demand. Moreover, if an asset is in fixed supply, then its price is determined entirely by the demand. This means such an asset will only be a store of value if the demand for the asset remains strong over a long period of time, whi…

The point is that customers are already paying a lot of fees in Ethereum for financial services on the blockchain. Right now that money goes to run a lot of powerplants and gpu farms but will sometime in the future go to Ethereum staker. PoS coins are a combination of money, store of value and investment in a financial service "cloud".

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#164

Post by throwastrike »

dmihal wrote: post #144
throwastrike wrote: post #23

What is crypto replacing really? I’ve yet to read even a fair explanation without mental gymnastics. And I’ve been waiting to the last ten years.

FinTech is a new frontend for finance Crypto & DeFi is a new backend for finance

So you want your backend to be the most taxing and inefficient system we can possibly imagine? Are you really being intellectually honest when you say things like that?

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#165

Post by XorNot »

meowkit wrote: post #76
XorNot wrote: post #54

Earlier quoted context omitted.

Why would any company build a private blockchain? Private companies have top to bottom control of their systems, which means they don't need proof of work or proof of stake or any other system to establish trust: they can just issue PKI keys to employees from a database. Private blockchain has never made any sense: you just give all your employees private keys and move on with your life. EDIT: Which is to say, I'm su…

Clearly we have different interpretations of the case studies. Walmart seems interested. But I guess its all just buzzwords and speculation! All these people wasting their time on something so obviously useless. You should let them know!!

Walmart have literally thousands if not tens of thousands of product lines, but after an initial study are not using their hyperledger implementation for more then 25 according to the website.

But that's not the real problem: the real problem is, how can blockchain contribute anything to this problem for them? The process of validating the origin of goods depends on remotely uploading certificates of authenticity - an artifact produced off-chain.

From that point on, nothing else matters - since it all depends on whether that certificate is legitimate, trust is external to the chain.

The rest does not require "blockchain" at all and is actively made more difficult by it - since every other step is just regular logistics tracking, something Walmart is very good at.

Again: what possible benefit is blockchain bringing here? The original artifact is off chain, the goods in question are offchain and the cited benefit is not "improved security" -- it's "quicker look ups". But...that would've been achieved by just scanning barcode numbers into a database at every location (which again: is trust, it's not a fact which is established on-chain).

So yes, I do believe people are wasting their time on something obviously useless - IBM was involved and their biggest contribution to my country was to call 25 million people logging on to do a census on one night a denial of service attack. Walmart executives aren't technical - they need to know "what the blockchain could do" and IBM sells them some snakeoil.

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#166

Post by dmihal »

ArtTimeInvestor wrote: post #137
lottin wrote: post #133

Earlier quoted context omitted.

> I am not sure if lending makes sense if the collateral is the same asset that is borrowed. It doesn't. And if the collateral is a different asset, there is no certainty that the value of the collateral exceeds the value of the principal. So there's a risk involved and that explains the premium over the risk-free rate. It's got nothing to do with the fact that the loan is denominated in some cryptocurrency.

> It doesn't Proof needed. I can in fact think of counter examples: Say there is a DAO that gives more voting power if you own more ETH. In that situation, it might make sense to borrow 900 in ETH with 1000 ETH collateral. Then you make your vote on the DAO with a power of 1900. And pay back 910 in ETH to the lender. The vote on the DAO might trigger an action that is worth more than the 10 ETH you paid in interest.…

> it might make sense to borrow 900 in ETH with 1000 ETH collateral. Then you make your vote on the DAO with a power of 1900

No, you would vote on the DAO with a power of 900, because your original 1000 ETH collateral is being held by the lending protocol

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#167

Post by asenna »

inter_netuser wrote: post #86
asjdflakjsdf wrote: post #79

Earlier quoted context omitted.

I'd basically see it as an investment opportunity that greatly favours early adopters.

70% of ethereum was sold at rock bottom prices to "early adopters" in a presale. You are right. It is a ponzi.

Most of the early investors (very early, startup phase) of Amazon and Apple got shares in the company at rock bottom prices. Does that make them a ponzi scheme?

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#168

Post by dmihal »

zertrin wrote: post #136
ddeyar wrote: post #58

A planned upgrade of 6 years? How would that be in the future? How long does it take to fix a minor issue? Tezos for example is able to evolve every 3-4 months without forking and is PoS since 2017. Also they're doing a better job on security. https://tezos.com/

Not doubting any of your statements, but why have I never heard of it before? If it is good why hasn't it displaced ethereum and become more mainstream? Are there any cons that prevent it to become more prominent? (sincere question from me, I am curious to know more)

The same reason that Bitcoin hasn't been displaced by newer projects.

Both have massive network effects. Marginal technology improvements aren't enough to convince developers to build on a platform that has no users, no application & no infrastructure.

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#169

Post by throwastrike »

xvector wrote: post #52
throwastrike wrote: post #23

What is crypto replacing really? I’ve yet to read even a fair explanation without mental gymnastics. And I’ve been waiting to the last ten years.

Banks and physical currency alike. You can now transfer value simply by having a public/private key pair. No need for banks and their multi-day wire transfers. No need for KYC. You can borrow and lend on a decentralized network within minutes. Invest in markets, make purchases. All without relying on a centralized entity, and without being bound by your government. Crypto really is something beautiful to the cypherpu…

Can you tell me more about how you can borrow money in minutes? This I want to hear.

Re: Ethereum: A Store of Value with Cash Flow [pdf]

#170

Post by Paradigma11 »

dash2 wrote: post #65
sherlock_h wrote: post #7

What mostly excites me about Ethereum ist the very vibrant ecosystem of developers and builders around it. You can think of NFTs and DeFi whatever you want, the sheer amount of new applications and innovative ideas on the ethereum blockchain has been mind-boggling. My personal favorite is Sorare, which combines NFT collectibles with fantasy soccer. And sure, right now everything suffers from high gas prices but it lo…

A question I've asked before: are there any applications which don't involve speculation?

https://xtz.news/adoption/gravity-a-decentralized-solution-t...

https://xtz.news/nft-news/tezos-based-nft-music-streaming-an...

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