Temporary pause of Bitcoin withdrawals on Binance • Hacker News Board

Re: Temporary pause of Bitcoin withdrawals on Binance

#321

Post by JohnHaugeland » Mon, Jun 13, 2022, 4:20 PM UTC

seanw444 wrote: post #72

dgfitz wrote: post #45

Earlier quoted context omitted.

Quoted post unavailable.

Now that is hyperbole. There are still good actors out there. Monero is doing its job dutifully. Don't know much about Zcash, but it seems to be doing well.

> There are still good actors out there. Monero is doing its job dutifully.

I don't crypto, but, isn't monero the coin whose primary intended use case is enabling illegal transactions by rendering them untraceable even to the police?

Are ... we calling that a good actor? Or do I just misunderstand what they're for?

.

> Now that is hyperbole.

No, it's not. Hyperbole doesn't mean "thing I don't agree with" or "thing I believe is wrong."

The person speaking very clearly wasn't exaggerating and very clearly meant themselves to be taken literally.

As I see it, if any crypto wasn't a scam, crypto fans would have long since agreed to give that thing as an example. The fact that the entire "industry" can't come up with a single compelling example, a decade and a half and twenty billion dollars in, is about as clear and obvious a proof as is actually possible.

Re: Temporary pause of Bitcoin withdrawals on Binance

#322

Post by jmoak3 » Mon, Jun 13, 2022, 4:21 PM UTC

olalonde wrote: post #310

jmoak3 wrote: post #278

Earlier quoted context omitted.

> MtGox being the most infamous example. I was there for it. I mined my first coins in late 2011. Few people want to run their local node (server), few people want to point their wallet at their own node, and fewer people want to run code they've compiled themselves. If you aren't running your own node you are relying on someone else's. As a mass adoption decentralized trust-less technology for transacting, bitcoin h…

I'd say you have a more black-and-white vision than me. While it's not perfectly decentralized, e.g. some users do delegate their trust to centralized services for convenience or security, it is still more decentralized than fiat where (digital) self-custody is simply not possible. Decentralization and trust are a spectrum, not a binary. Even compiling the software yourself wouldn't get you 100% there [0]. I also fee…

>I'd say you have a more black-and-white vision than me.

I definitely do. If a part of bitcoin's chain of usage requires enough trust to ask the government to intervene to protect me, why not just trust the government?

>My suspicion was simply that many HNers tend to reflexively upvote any comment that paints crypto in a bad light.

I think that many people agree with me, and that it's not some reflex, fud, or deception.

Re: Temporary pause of Bitcoin withdrawals on Binance

#323

Post by TrapLord_Rhodo » Mon, Jun 13, 2022, 4:22 PM UTC

shawabawa3 wrote: post #15

edf13 wrote: post #7

Earlier quoted context omitted.

Didn’t read his next message? > This is only impacting the Bitcoin network. You can still withdraw Bitcoin on other networks like BEP-20.

But BTCB (Bitcoin on BSC/BEP-20) is not Bitcoin To actually withdraw Bitcoin like this, you'd have to bridge your BTCB to WBTC on Ethereum, and from there bridge it back to BTC (using a custodial bridge, AFAIK there are no WBTC/BTC decentralised bridges) You'd eat 2 sets of fees along the way plus gas, probably costing you 0.3% or more

Binance has DEX's, why would you trade it for WBTC -> BTC?

Re: Temporary pause of Bitcoin withdrawals on Binance

#324

Post by 999900000999 » Mon, Jun 13, 2022, 4:24 PM UTC

This really looks like a Bitcoin bank run.

I reckon if the tide really goes out, the money isn't really there.

We have FDIC insurance for a reason.

Luckily this happened before Crypto became mainstream. Normal people aren't likely to lose their life savings.

Re: Temporary pause of Bitcoin withdrawals on Binance

#325

Post by dehrmann » Mon, Jun 13, 2022, 4:24 PM UTC

danuker wrote: post #291

twawaaay wrote: post #266

I am so happy about this. I hope this is going to sour crypto for "investors". I use quotes, because they really are not -- investing should be reserved for fronting cash to create some value (like buying stock to infuse capital into a corporation). As it is all crypto trading is purely speculation. The world would be so much better if money tended to be exchanged in good faith, to improve something rather than just…

> As it is all crypto trading is purely speculation. The reason I stay invested is the supply-side economics. The supply is well-known in advance, and is advantageous to Bitcoin. US M2 money supply grew 8.04% in the past year [0], while Bitcoin's grew ~1.75% [1]. Yes, demand has its 80% ups and downs, but each crash was to a level higher than the previous. [0] - https://ycharts.com/indicators/us_m2_money_supply_yoy […

> Yes, demand has its 80% ups and downs, but each crash was to a level higher than the previous.

You're actually looking at demand more than supply. You're right that supply isn't going up much, but you have no evidence or theory about why people will be more interested in Bitcoin in 5 years than they are now. You really have to look at both.

Re: Temporary pause of Bitcoin withdrawals on Binance

#326

Post by trts » Mon, Jun 13, 2022, 4:26 PM UTC

mmastrac wrote: post #304

misslibby wrote: post #300

Earlier quoted context omitted.

I really don't get why people are happy about Bitcoin crashing. It is the only hope for freedom. What do you mean by "exchanging money in good faith"? So being able to prove transactions are valid is a bad thing in your opinion? You think it is a good thing that the FED can make the whole economy tumble by playing with their interest rates?

> It is the only hope for freedom. I... am not sure how to reply to something like this. Does this not strike people as a bit cult-like?

I don't agree with GP but there are legitimate reasons why people are sympathetic to this.

One reason would be the increased difficulty of a government to seize or freeze assets for people who are determined to be politically problematic (see: e-CNY and SWIFT).

Another would be the accelerating debasement of currencies which provides opportunity for the rich to become richer in wealth & assets, while wages for the working class are diminished by inflation.

Re: Temporary pause of Bitcoin withdrawals on Binance

#327

Post by optimiz3 » Mon, Jun 13, 2022, 4:27 PM UTC

bouncycastle wrote: post #280

optimiz3 wrote: post #189

Earlier quoted context omitted.

Case in point: was an early adopter of Eth, mined many of the very early blocks. Sold it all back in February. One of the reasons? The whole Eth 2.0 upgrade requires both a base level node (Ethererum sanctioned) and a "2.0 validator node" where one is supposed to trust a 3rd party implementation with minimally 10s of thousands of dollars per stake. At least with a 1st party node the Ethereum Foundation stood behind i…

Ethereum sanctioned, you mean Geth? Geth does not go away in 2.0. You will still need it, as it's still the main software that executes the transactions. "2.0 validator" is not a node, it's more like a client that talks to the PoS chain nodes (Beacon).

Until there's an Ethereum Foundation backed validator, a huge number of people are going to stay away.

The Ethereum Foundation can do things like roll back a broken DAO. A 3rd party offering a potentially broken validator cannot force a fork to fix things.

It's also super weird the foundation is not building the validation code into Geth and making it a baseline part of a reference node as PoW certainly is.

Re: Temporary pause of Bitcoin withdrawals on Binance

#328

Post by lumost » Mon, Jun 13, 2022, 4:27 PM UTC

RestlessMind wrote: post #320

candiddevmike wrote: post #237

Earlier quoted context omitted.

What does Bitcoin provide that a cheaper coin doesn't? The only thing pushing the price up is speculation, all digital coins are worth pennies as they're all completely interchangeable from an end user perspective.

> What does Bitcoin provide that a cheaper coin doesn't? Longer track record than the rest. More buy-in from people. Just like Gold vs other shiny metals.

The network effect is strong, if BTC actually was to take over for USD then people would have to have trust that BTC wouldn't evaporate the next day. BTC's incentive model and network effect provide that.

Assuming of course that BTC could outplace USD.

Re: Temporary pause of Bitcoin withdrawals on Binance

#329

Post by ALittleLight » Mon, Jun 13, 2022, 4:28 PM UTC

optimiz3 wrote: post #212

faangiq wrote: post #196

Earlier quoted context omitted.

Also ETH is nonsense with no use case.

Wouldn't go that far - the programmable aspects were at release were certainly unique and value added.

Are there any useful programs that aren't about creating or moving tokens or "play to earn" style games? (Which, to be clear, I do not consider useful)

Re: Temporary pause of Bitcoin withdrawals on Binance

#330

Post by skohan » Mon, Jun 13, 2022, 4:28 PM UTC

kirbypineapple wrote: post #191

The only thing that comes to mind here is that there was a fee spike [1] and they've got too many unspents stuck in the mempool and can't initiate further withdrawals because their wallet is effectively "spent" until those pending transactions complete and they receive their change. I find this a bit hard to believe though...wallet management isn't simple when it comes to the scale that Binance handles, however I'd b…

I can think of many of exchanges pausing withdrawals in times of extreme volatility - either close to peaks or during massive selloffs.

I think Binance probably doesn't have enough liquidity to cover their withdrawals and you probably don't need to look much farther to find an explanation.