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On anti-crypto toxicity

blog.mollywhite.net

651–660 of 734 posts

Re: On anti-crypto toxicity

#651

Earlier quoted context omitted.

> Bitcoin's aversion to change means mostly demagogues are left, and all the talk is money talk. That's true, but you say it as if that's a bad thing. Bitcoin is valuable because it does not change, its proven to work, and people know that. If the downside is that there isn't as much to talk about at a conference, then I don't give a shit.

You’re right that Bitcoin is still the most valuable because it’s resistant to frivolous changes, however there’s far more development happening in the space today than ever before! Here’s links to 3 full days of talks from the Open Source Stage at the Bitcoin 2022 conference: https://twitter.com/ODELL/status/1513487641538269188 Each YouTube video is about 5 hours long and broken into chapters per talk.

Aren't like all major tokens following BTC?

If BTC fell, ETH fell too.

Re: On anti-crypto toxicity

#652

Earlier quoted context omitted.

So you think there is only a 50-50 chance of Ethereum being proof of stake by EOY?

Absolutely. Again, testnet has already merged.

Honestly that's a lot more cautious optimism than I would have expected from someone willing to put $30k on the line.

Re: On anti-crypto toxicity

#653
post #508

Earlier quoted context omitted.

I'd be interested to hear who you bought the hosting from, I'm sure the US government would also like to hear who has been helping you evade sanctions. Sanctions are there for a reason.

Yeah, "crypto is great because it allowed me and my co conspirators to do illegal things" isn't gonna be the most persuasive to governments or above-board businesses -- love the rebellious spirit though.

I dont know what you mean by "co conspirators" and "illegal things", but my project is site for cardboard game and 99+% of userbase is from EU/NA/SA.

P.S. There are no sanctions prohibiting companies to sell hosting to me (by me I mean ordinary citizen with "toxic" passport), it is just VISA/Mastercard decision not to serve us so I dont have other means to pay.

Re: On anti-crypto toxicity

#654

Earlier quoted context omitted.

> Or are you saying that holding bitcoin for 1-30 days is "regular usage" ? Holding money for 1-30 days is regular usage. You get paid, you spend it over a month on wages and expenses. Bitcoin originally promised to be usable for that. Some companies actually paid you in BTC, some stores actually allowed you to pay with BTC. The original goal was to use BTC like a checking account. Lightning is great at replacing the…

> Holding money for 1-30 days is regular usage. This is (roughly speaking) the description of a currency, isn't it? I would point out that as a store of value, bitcoin's up > [BTC's] original task of matching or exceeding fiat money in actual day to day usability. I don't think BTC was intended to serve in the way you're describing. I believe it was designed to neuter/obviate at-large Central Banks (e.g. money printe…

Don't quote the old magic to me, I was there when it was written.

And Bitcoin was treated and hyped as a true replacement for Euro or US Dollar. And we hyped it as well. Online stores started accepting BTC, some companies started paying wages in BTC, the first BTC ATMs showed up.

Dogecoin started their tip bot with a tipping culture.

Neither Doge nor BTC absolutely were seen as investment vehicle or store of value, but instead as payment system and true currency.

I remember discussion about the volatility, and claims that with more and more people using it, its value would change less and less and it'd stabilize at about a BTC per Euro cent.

Re: On anti-crypto toxicity

#655
post #584

Earlier quoted context omitted.

Cryptocurrencies might not answer to all of these questions. However there is one question where it gives an answer. It is how to create more efficient financial system. And part of this answer might lead to rebalancing some of distribution of the wealth, mostly by reducing operating costs and profit margins of the current Wall St and other local oligopolic financial institutions. Blockchains do create fundamental va…

as a trader I know defi is not more cost-effective. the fact that most of the alpha in defi is in arbitrage tells the whole story. the range of possible exploits on centralized equities and futures exchanges is very limited. HFT works, and works well, to drive down costs for retail and institutional traders. there is no happy path in defi which results in narrower spreads, and less risk of block re-orgs, or other exp…

> As a trader I know defi is not more cost-effective.

> the fact that most of the alpha in defi is in arbitrage tells the whole story.

What measurements do you use to define cost-effective? I am happy to do an apple-to-apples comparison if you tell what would you like to see in comparison. Also if there is a post/study that shows that there is only arbitrate in DeFi I am happy to read it and try to understand if I am wrong. While this might have been a situation in the past, I am seeing it changing over the last year and half.

In my post, towards the end, I pointed out some facts that even with HFT and industry consolidation, traditional finance has not always worked in the favour of a consumer.

Re: On anti-crypto toxicity

#656

Earlier quoted context omitted.

Well, all redistributive social security systems have a strong pyramid like scheme inherent to them. Take the German retirement funds which - AFAIK — works similarly to „social security“ in the US: Every employee in Germany is required to pay a share of about 20% of their income (1) into the retirement „fund“ — which isn’t one really as the money is not invested to gain interest but instead is immediately payed out t…

OK, so redistributive pension systems are pyramid schemes… I’ll just note that this is a highly debatable interpretation of such systems. Now if we think about it for a moment: social security need money for 3 major things: unemployment, retirement, and health care. At any given point in time, you can divide the population in 2 categories: those who are currently working, and those who are not. And those who are curr…

Right. In essence, I think these details of the redistributive function are what make it Ponzi-like or sound.

On one end of the spectrum, you have personal and "defined contribution" saving and investment schemes: the individual carries a personal pool into their later years where they draw it down. How are differences between the contribution+performance and lifetime needs reconciled? Estates pass inheritances or individuals are bankrupt and we recursively ask ourselves what sort of system will cover their needs.

In the middle, you have what I think you want. An insurance pool redistributes the contributions, performance, and needs among a cohort. How are the aggregate assets and lifetime needs of the cohort reconciled? Contributions could be curtailed in response to excess accumulation or increased to cope with unexpected needs. Like any insurance scheme, the risk management has complexity around managing liquidity in the face of time-varying needs, contributions, and investment/economic performance.

But what skeptics see is an ugly reality unfolding further down that spectrum. Population growth and the long delay between contribution and withdrawal is (either naively or willfully) misinterpreted as excess accumulation. This is used to justify either insufficient contribution or "theft" of assets to fund other initiatives than the insurance pool. This leaves a hollowed out pension systems with defined benefits that cannot be satisfied with their meager holdings. As with a Ponzi scheme, they appear to work while the incoming contributions from an ever growing cohort are used to pay outgoing benefits to an earlier, smaller subset of participants. They collapse when the participation rate fails to grow fast enough to meet the ever growing needs of the aging cohort.

Re: On anti-crypto toxicity

#657
post #447

Earlier quoted context omitted.

> "just pass a law" If I search for that phrase you are quoting/referencing in this thread, you are the only one using it. I explained what point I was making. Do you have anything to contribute beyond attacking your strawman over and over?

> You make a law that everyone must be served by the banks. Easy. Here is the "just pass a law" line. I've summarized a line that makes this exact point. I see no straw-men here. Can you point out where I make a straw-man? Genuinely interested in why you see this as creating a straw-man in my summary. I fail to see how else you can interpret other than 'just pass a law'.

I suspect because "make a law" conveys some sense of the actual process of legislating, whereas "just pass a law" sounds as if it deliberately minimizes the process and makes it sound as if it is something trivial to do.

Re: On anti-crypto toxicity

#658

I don't think I am ever going to get used to "crypto" meaning "cryptocurrency" and not "cryptography". Can't we just keep calling it "cryptocurrency"? I thought this article would be about the various misguided governments' attempts to outlaw cryptography.

Given the recent decline in interest in both NFTs and cryptocurrency in general, I'd say within the next 5 years or so we'll be able to go back to using "crypto" to mean "cryptography" without much fear of confusion.

"decline in interest" seems incorrect

https://dune.com/rchen8/opensea

looks like up and to the right

Re: On anti-crypto toxicity

#659
post #415

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This is a prime example of what others were saying! We asked for an example of "good/useful/entertaining websites", and you are giving us technology demos, something that is only interesting to Web3 people. How about some real-life useful stuff? Don't give me youtube, show me Kurzgesagt channel. Don't talk about Javascript, DOM and browser optimization, show me Google Maps. Right now, all the stuff Web3 people produc…

You are basically saying "these GNU people only produce things that are interesting for people into software stuff. Don't give me a C compiler, give me Visicalc." It's not because this is not "real-life" enough for you that it means that it is not worthy of being done.

Um, no -- the goal of GNU was to provide free software, so the analogy would be: "These GNU people only produce things for their weird philosophy. I don't care about freedom, give me software I can use."

And guess what? In just 4 years since GNU started, they had "assembler, an almost finished portable optimizing C compiler (GCC), an editor (GNU Emacs), and various Unix utilities (such as ls, grep, awk, make and ld)" [0]. Something that could be used even if you don't care about Stallman or software freedom.

If the goal of Web3 was to create blockchain libraries, no one would complain. But people, like you, say that Web3 has "useful applications" -- so what are those? Web3 is around for way long than 4 years, and it has much more people working too.

[0] https://en.wikipedia.org/wiki/GNU_Project

Re: On anti-crypto toxicity

#660
post #477

Earlier quoted context omitted.

Do you know of any websites which are run by people who are shut out from PayPal/Stripe, and which use cryptocurrencies? So far most crypto-related websites seem to be run by people from rich countries with full access to banking system.

Yes. To this day if you work with marijuana dispensary you will be denied of any payment processor. Sex workers are denied credit card applications, even where prostitution is legal. There is also "not exactly blocked but so many hoops to jump that is practically as it doesn't exist" markets: try being a consultant working from South America without getting ripped off in transfer/exchange fees and ask them how many w…

So, those South America consultants, why are they not using crypto right now? The tech to transfer money via crypto has been around for a long time.

Could it be that crypto has a number of practical problems, so unless you are a crypto enthusiast or wanting to ~~steal~~ raise some money, traditional methods are more available?

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