Who’s into Crypto? • Hacker News Board

Re: Who’s into Crypto?

#11

Post by errantmind » Fri, Jul 16, 2021, 9:53 PM UTC

VoodooJuJu wrote: post #8

errantmind wrote: post #7

Earlier quoted context omitted.

I've wasted enough time on this site explaining my position. Too few care about overcoming their own bias. However, one more time: * Yes, cryptocurrency is overvalued with respect to its current adoption. That doesn't make it a ponzi scheme, tulip mania, etc. * Yes, a LOT of people are more interested in getting rich from crypto than they are in the real benefits of decentralized finance. That doesn't mean there is a…

If you want to hedge against devaluation of your currency, then buy land, grow olive trees, not bits.

I'm arguing I shouldn't have to hedge against the devaluing of my currency (although I do), instead my currency shouldn't be continually devalued. Why is it a given that I have to buy stuff to retain value?

Re: Who’s into Crypto?

#12

Post by errantmind » Fri, Jul 16, 2021, 10:12 PM UTC

jstx1 wrote: post #9

errantmind wrote: post #7

Earlier quoted context omitted.

I've wasted enough time on this site explaining my position. Too few care about overcoming their own bias. However, one more time: * Yes, cryptocurrency is overvalued with respect to its current adoption. That doesn't make it a ponzi scheme, tulip mania, etc. * Yes, a LOT of people are more interested in getting rich from crypto than they are in the real benefits of decentralized finance. That doesn't mean there is a…

> It cannot be unilaterally tampered with. Perhaps the tokens on the blockchain can't be tampered with but their real value is manipulated by small groups of people all the time. Bitcoin lost around 40% of its value in the 10 days after Elon Musk sent out a negative tweet about it in May. In less extreme examples, the daily price changes are subject to the action of small groups of wealthy traders. This is everything…

> Perhaps the tokens on the blockchain can't be tampered with but their real value is manipulated by small groups of people all the time

One of the only reasons people focus on its exchange rate against the dollar is the dollar has disproportionately more adoption. As adoption of cryptocurrency increases, its volatility against other currencies will decrease

> I really don't think that cryptocurrencies are saving us from speculative bubbles and poor investments

People messing around with defi get-rich-quick schemes don't fundamentally affect my ability to buy a house. The FED keeping interest rates near zero, along with QE, does. It is driving up the prices of houses and other assets, which effectively punishes people who prefer to save as opposed to taking on debt.

This is hard for some people to wrap their head around, but not everyone wants to take on loans to buy stuff. Contrived example: if a house sells for $300k with interest rates at 2.5%, but $600k with interest rates at 0.1%, I'm in a worse position in the latter situation if I want to pay cash for the house from my savings.

We could have a whole separate discussion on the usefulness of debt financing, and ways to profit off investing money in assets that appreciate faster than debt interest rates.. another time.

Re: Who’s into Crypto?

#13

Post by anthony_barker » Sun, Jul 18, 2021, 1:59 AM UTC

VoodooJuJu wrote: post #8

errantmind wrote: post #7

Earlier quoted context omitted.

I've wasted enough time on this site explaining my position. Too few care about overcoming their own bias. However, one more time: * Yes, cryptocurrency is overvalued with respect to its current adoption. That doesn't make it a ponzi scheme, tulip mania, etc. * Yes, a LOT of people are more interested in getting rich from crypto than they are in the real benefits of decentralized finance. That doesn't mean there is a…

If you want to hedge against devaluation of your currency, then buy land, grow olive trees, not bits.

hard to pay for a apartment in paris in land or olives in Argentina - but I can use bitcoin.

Meanwhile it is almost impossible to send out Argentine money without government approval. This is the case for most non OECD countries....

Re: Who’s into Crypto?

#14

Post by anthony_barker » Sun, Jul 18, 2021, 2:01 AM UTC

herbst wrote: post #10

codegeek wrote: post #6

Earlier quoted context omitted.

"transfer money without over regulation" That was the idea yes. But is there where we really are today ? I want currency to be stable. Something I can use in a grocery store. Something I can use to buy milk. In terms of transferring money, it is already solved by services like transferwise/xoom etc these days. I literally can send money in minutes to most countries.

Well I do buy groceries with crypto, I don't see why that should be an issue. There are even crypto credits cards these days in case the shop doesn't support it. Price stability is relative, I do earn some money in USD and always exchange it asap because USD is loosing value relative to my currency. Sure crypto tanked more in the last month's, but it could very well go up as well next week and is still way more than…

Main issue is sending outbound from maybe 50 countries.