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Former US SEC attorney: 'Get out of crypto platforms now'

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Re: Former US SEC attorney: 'Get out of crypto platforms now'

#71

Post by uLogMicheal »

FormerBandmate wrote: post #52
uLogMicheal wrote: post #29

Earlier quoted context omitted.

You comment this as many major central banks are conducting trial / rollout plans for CBDC. I prefer the decentralized side of cryptocurrency where the rules, censorship, and supply is transparent and limited.

Banks work fine now for payments. The only real advantage of crypto over CBDC is that you can more easily sell drugs and guns. No one is losing their bank account for donating to Donald Trump

https://www.npr.org/2023/06/12/1181675580/epstein-jane-doe-1...

This was done in USD. Maybe crime wouldn't be whitelist only on a transparent blockchain and that is what is feared? Money is the root of most activity in this world, criminal or good. Transparent transactions bring all crime into the spotlight and for some that is problematic.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#73

Post by waynecochran »

Hermitian909 wrote: post #60
waynecochran wrote: post #45

With crypto trading platforms, the SEC lacks any sort of oversight and access — and has scant ability to detect, investigate and deter fraudulent conduct. As a result, the crypto marketplace operates without much supervision Isn't that the main idea of a decentralized currency? No doubt this has/does/will harbor criminal activity, but it will also foster the ability to exchange goods and services without third partie…

Sure - and the question is - do we as a society want to allow that, do we think it's worth the tradeoffs? Five years ago I think the answer was still "wait and see", I think it's reasonable by now to say "actually, no, it's not worth it".

Not to argue, but it really strange how the things that my generation valued (e.g. individual freedom) are being overturned. The old axiom "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety." was a mantra in my younger days.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#74

Post by BasedAnon »

jacobwilliamroy wrote: post #55
uLogMicheal wrote: post #13

John Reed Stark is their expert? https://twitter.com/JohnReedStark/status/1670457201943511040 "The only killer app for crypto that seems tangible is its excellent use to orchestrate global crimes." The bias is abundant, it's well known this guy hates crypto.

Other than crime the only other use-case I've seen for crypto is for getting money into Russia because the sanctions mean my English teacher friend in Vladivostok can't use normal banks to accept payments for the online distance teaching thing he does. But I could oversimplify this to "bypassing international sanctions" which might be a crime? Crypto mainly seems to be useful to people who can't or won't use normal b…

>Other than crime the only other use-case I've seen for crypto is for getting money into Russia

Violating sanctions is a crime. Given the trend we've seen people should start getting used to being considered criminals.

>What am I missing here? What are the cool things bitcoin does that something like visa cannot?

It's easier to send Bitcoin to people without doxing myself than a visa transfer.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#75

Post by burnished »

Woof, lots of emotional and nigh incoherent responses to a pretty thoughtful little statement.

Doesn't inspire confidence when the average response seems to boil down to a form of religious fervor.

Which is too bad, seems like it would have been the perfect place for a thorough rebuttal.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#76

Post by EA-3167 »

burnished wrote: post #75

Woof, lots of emotional and nigh incoherent responses to a pretty thoughtful little statement. Doesn't inspire confidence when the average response seems to boil down to a form of religious fervor. Which is too bad, seems like it would have been the perfect place for a thorough rebuttal.

I think there's a lot of sunk cost in those comments, along with a lot of frustrated ideology. For people who thought they had finally gotten a way to bring their ideology into the real world, or imagined all sorts of riches, the state of crypto and the burgeoning regulatory environment may be too much to emotionally process and accept.

As for why there isn't much in the way of thorough rebuttals, I suspect anyone trying to formulate one would pretty rapidly run into the wall of reality not agreeing with their existing stance.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#77

Post by misnome »

wongarsu wrote: post #48
_jab wrote: post #15

Earlier quoted context omitted.

I mean, is he wrong? Genuinely the only other application I’ve seen which seems plausible is for use in places like Venezuela where the official currency is worthless.

Well, you just said that's he's wrong. One "killer application" is that it's a "stable" store of value. Not perfectly stable, it can quickly fall by a factor of about 2, and if you buy in the worst bubble it might fall to a fourth of its value. That's decidedly less stable than Western currencies, but it's more stable than some others. And for many people Bitcoin is more accessible than the foreign exchange market. I…

So, it’s stable as long as you understand it is unstable, and helps people without access to banking but with a stable, constant internet connection and perfect operational security, access none of the benefits of having a bank account.

Oh, and it’s actually neither of those but if you wish _reaaaaly_ hard and ignore all the practical problems, it might be, someday.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#78

Post by BasedAnon »

roarcher wrote: post #62
babypuncher wrote: post #54

Earlier quoted context omitted.

And then they wonder why regular consumers aren't fleeing banks to start using crypto for everything. I've yet to see cryptocurrencies actually solve a problem that your everyday average person has when buying groceries or going out to eat. They just make things more difficult and confusing, and all these attempts to alleviate that just lead us straight to "banks, but worse".

The volatility alone must be a dealbreaker for most people. Shockingly, the average consumer does not enjoy the rollercoaster thrill of having no idea how much buying power they'll have tomorrow.

The increasing volatility of fiat is making this less of a problem.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#79

Post by roarcher »

BasedAnon wrote: post #78
roarcher wrote: post #62

Earlier quoted context omitted.

The volatility alone must be a dealbreaker for most people. Shockingly, the average consumer does not enjoy the rollercoaster thrill of having no idea how much buying power they'll have tomorrow.

The increasing volatility of fiat is making this less of a problem.

Maybe, but the world's major currencies have a long way to go before they're anywhere near Bitcoin levels of volatility. At the moment crypto is suitable for speculation and not much else. As a currency it's only superior in a couple of use cases, namely if a government has frozen your accounts or you're doing something illegal.

Re: Former US SEC attorney: 'Get out of crypto platforms now'

#80

Post by misnome »

bulbosaur123 wrote: post #69
babypuncher wrote: post #54

Earlier quoted context omitted.

And then they wonder why regular consumers aren't fleeing banks to start using crypto for everything. I've yet to see cryptocurrencies actually solve a problem that your everyday average person has when buying groceries or going out to eat. They just make things more difficult and confusing, and all these attempts to alleviate that just lead us straight to "banks, but worse".

This is what most people got wrong. Crypto solves one problem and one problem only: censorship. Crypto is the only, single censorship resistant asset on the entire earth. You can't remove private key by force ($5 wrench is not an argument). You can confiscate land, stocks, freeze bank accounts, take gold. You can't extract a string of numbers which you aren't even sure is there in the first place. Not yet at least. M…

So, people have no problem - say - redeeming tokens that have been through Tornado? Or trouble redeeming bitcoins that have been through known, sanctioned wallets?

How is “Everyone can see every transaction you have ever done” censorship-resistant, doesn’t that mean you have to be extra careful about every single person or service you have ever transacted with?

And, excluding the $5 wrench seems a really, really large oversight when it results in every single asset or piece of ”money” you own being irretrievably, instantly stolen.

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