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The entire crypto ecosystem is a ponzi

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Re: The entire crypto ecosystem is a ponzi

#31

Post by thepasswordis »

everfree wrote: post #23
chrisgd wrote: post #6

Earlier quoted context omitted.

I don’t think that is true at all. There is economic value in a piece of equity in google. The price someone is willing to pay for it changes frequently. Crypto is closer to art than anything else. I get less value from a rothko than someone else may

> There is economic value in a piece of equity in google. It doesn't entitle you to profits, it doesn't entitle you to assets (except in bankruptcy), you can't eat it, and it's only worth what other people will pay you for it. Unlike a rothko, I can't hang it in my living room. Where's the value?

Well you see at some point in the future I can hope to sell it to somebody else for more money than I paid!

Re: The entire crypto ecosystem is a ponzi

#32

Post by m00dy »

ratg13 wrote: post #11
chrisgd wrote: post #6

Earlier quoted context omitted.

I don’t think that is true at all. There is economic value in a piece of equity in google. The price someone is willing to pay for it changes frequently. Crypto is closer to art than anything else. I get less value from a rothko than someone else may

Relevant Warren Buffet commentary on crypto: https://www.youtube.com/watch?v=HVm7Pfb0ilY

I'm not sure he is able to understand blockchain concepts like proof of work etc.

Re: The entire crypto ecosystem is a ponzi

#33

Post by CPLX »

jrm4 wrote: post #3
seydor wrote: post #2

Quoted post unavailable.

This. Today's stock market bears little relation to "a thing where you can buy shares of a company, and if it does well you can get paid by selling it."

The extremely conspicuous Twitter story currently in everyone’s face provides a very easy to understand counterpoint.

Re: The entire crypto ecosystem is a ponzi

#34

Post by JumpCrisscross »

everfree wrote: post #23
chrisgd wrote: post #6

Earlier quoted context omitted.

I don’t think that is true at all. There is economic value in a piece of equity in google. The price someone is willing to pay for it changes frequently. Crypto is closer to art than anything else. I get less value from a rothko than someone else may

> There is economic value in a piece of equity in google. It doesn't entitle you to profits, it doesn't entitle you to assets (except in bankruptcy), you can't eat it, and it's only worth what other people will pay you for it. Unlike a rothko, I can't hang it in my living room. Where's the value?

> doesn't entitle you to assets (except in bankruptcy)

Of course it does. When the company is sold, you are entitled to the proceeds. M&A is the ultimate enforcer of equity value.

Re: The entire crypto ecosystem is a ponzi

#36

Post by _uhtu »

glennvtx wrote: post #16

This is a terrible argument, and clickbait. Obvious enough to anyone who actually understands how bitcoin, or eth work, it does not fit the definition of a ponzi scheme. Most tech stocks fit the definition better. Just because a few centralized banks, (FTX, centralized crypto exchanges are banks) have failed, means nothing, since the original idea of cryptocurrency was to do away with centralized institutions like th…

If the idea was to do away with the centralized institutions but overwhelmingly people use centralized institutions which frequently act like ponzi schemes, perhaps the "idea" no longer matters and the actual real-world situations matter more.

Re: The entire crypto ecosystem is a ponzi

#37

Post by fishcrackers »

dghlsakjg wrote: post #17
fishcrackers wrote: post #10

Quoted post unavailable.

Either this is sarcasm or you don’t understand where the money you ‘made’ came from.

at the end of the day it all comes from the same place, web3 just democratizes the path

there are a small amout of scams that are overblown by people trying to control the narrative which won't work because the blockchains are decenteralized and free for all to investigate

Re: The entire crypto ecosystem is a ponzi

#38

Post by ohgodplsno »

glennvtx wrote: post #16

This is a terrible argument, and clickbait. Obvious enough to anyone who actually understands how bitcoin, or eth work, it does not fit the definition of a ponzi scheme. Most tech stocks fit the definition better. Just because a few centralized banks, (FTX, centralized crypto exchanges are banks) have failed, means nothing, since the original idea of cryptocurrency was to do away with centralized institutions like th…

Classic crypto-enthusiast denial.

Your dreamt of, decentralized system that was imagined by Satoshi is gone. It will either never exist anymore and be gangrened by said centralized exchanges (which are the only things that are artificially prop up the value of your coins), or it will go back to the days where you can pay 10 000 BTC for a pizza because someone decided it would be fun. ETH would be worthless without exchanges (because its current value is only propped up by "what bullshit can I sell that mimics real world services but without any legal repercussions when I commit fraud and exchange it for cash, disappearing in the Bahamas in the process?"), doge would be worthless, USDT would be worthless, etc.

A system that has no real world value will not exchange anything, unless scammers like Binance and FTX come in to sell get-rich-quick dreams to suckers and artificially bring in money and "volume". When 99% of your volume is just big traders sending money to one another and keeping the price high (because it makes cryptobros feel good when they see their big number go bigger), you don't have an economy, you have at best a really shit game of Monopoly.

Re: The entire crypto ecosystem is a ponzi

#39

Post by [deleted] »

everfree wrote: post #23
chrisgd wrote: post #6

Earlier quoted context omitted.

I don’t think that is true at all. There is economic value in a piece of equity in google. The price someone is willing to pay for it changes frequently. Crypto is closer to art than anything else. I get less value from a rothko than someone else may

> There is economic value in a piece of equity in google. It doesn't entitle you to profits, it doesn't entitle you to assets (except in bankruptcy), you can't eat it, and it's only worth what other people will pay you for it. Unlike a rothko, I can't hang it in my living room. Where's the value?

[deleted]

Re: The entire crypto ecosystem is a ponzi

#40

Post by JumpCrisscross »

m00dy wrote: post #32
ratg13 wrote: post #11

Earlier quoted context omitted.

Relevant Warren Buffet commentary on crypto: https://www.youtube.com/watch?v=HVm7Pfb0ilY

I'm not sure he is able to understand blockchain concepts like proof of work etc.

> not sure he is able to understand blockchain concepts like proof of work

Which is irrelevant to the value of a consensus-based currency, other than as a smoke screen for naive investors and catnip to the technically minded.

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