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How to Run a Ponzi Scheme for Tech People

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121–130 of 265 posts

Re: How to Run a Ponzi Scheme for Tech People

#121
post #105

Earlier quoted context omitted.

Sure, but all of those things are considerably better now than at every point in history, the fact you'd write this even ... Do you realize that up until about 2 generations ago that nobody had fulfilling work? That work was just labour? 3 Generations ago you worked on the farm, or in the factory, or keeping the shop for meagre wages. In 1960 only about 8% went to university. In 1900 it was probably only 1%. Literall…

If you live in a city with a large homeless population, I think it would be interesting for you to go and talk with them. I live in San Diego, and I've talked to hundreds of homeless people while doing volunteer work and photography. You would not believe how many people, though they may be mentally ill, are smart, honest, good people, who just got fucked by the system. They're out here scrounging for food and gettin…

West coast cities homelessness problems are indicative of nothing more than the specific economic and political realities in those cities. It is folly to extrapolate that to larger macroeconomic conditions.

While some specific cities may have their heads up their butts with regard to public policy resulting in more visible homeless the living conditions of the "almost homeless" and working poor have very much improved since the early 1970s (as far back as my knowledge goes).

You can say what you want about the blue collar middle class (off-shoring and student debt have hit them hard over the past decades) but things have very much been improving up for the poor as a whole even though some poor people are unlucky enough to live in backwards places where things have gotten worse locally.

Re: How to Run a Ponzi Scheme for Tech People

#122

I would argue that the ponzi scheme is much broader than what is described here. 1) Try to start an online business. It doesn't really matter what you're doing or if it succeeds as long as it's marketable to people aspiring to create an online business 2) Make a big fuss about the launch on all social platforms (Twitter, HN, PH, IH, your blog, etc) and hope someone with a big audience signal boosts you or you get luc…

How is that a Ponzi Scheme? Self-promoting and narrative-building to make it sound easy, but if you’re building something that someone will pay you money for, you’re literally just building a business...?

Re: How to Run a Ponzi Scheme for Tech People

#123
post #13

Earlier quoted context omitted.

> That's a bad example I don't think it's a bad example, because if you spend some time on that subreddit, you'll quickly realize people are literally gambling with their life savings. In no small part due to disillusionment and cynicism with the current economic realities -- we can no longer work at a stable company, marry a pretty wife, have a couple of kids, retire 40 years later, and live off of a plump 401k.

>we can no longer work at a stable company, marry a pretty wife, have a couple of kids, retire 40 years later, and live off of a plump 401k. This is what nearly everyone in tech who isn't spending their free time shitposting about their side projects and the nuances of programming languages is doing. Sure you can't work your whole career at one company anymore but that's just a reflection of macroeconomic conditions,…

> the stability is still there for the people who's skills are in demand

Saying this after 2008 is just empirically false. You do realize that people lost their entire 401(k)s, right? My dad worked at IBM for over a decade and was laid off. More recently, my buddy (late 20s) was laid off by IBM after working there for the past 7 years; I know people in their 40s and 50s (at big companies and startups alike) that were laid off at the drop of a hat once the pandemic hit.

I live in West LA and make a "comfortable" engineer's salary. Guess what, I'll never be able to afford a house here (unless one of my startups takes off or some other equally-unlikely miracle happens). I don't care if you blame this on "macroeconomic conditions," it just happens to be the reality of my generation. To touch on the loneliness/isolation angle, while doing the whole startup thing, particularly in my 20s, I was putting off dating; although I've recently said screw it: even if I die poor†, I'd rather be with someone.

I'm very much a libertarian "pull-yourself-up-by-the-bootstraps" entrepreneur's entrepreneur but let's be real: it's not surprising there's so much cynicism.

† Relatively, of course. I grew up in post-Communist Eastern Europe in actual poverty, so my life is much better than it used to be.

Re: How to Run a Ponzi Scheme for Tech People

#124

Seen so much of this bullshit while travelling around SE Asia. I swear 90% of nomads are dropshipping/life coaches running ponzi schemes, and the other 10% are geeks like me who lucked into remote-friendly coding gigs. Sprinkled with some truly fascinating folks who genuinely discovered some new and interesting way of making this work for them.

Yeah, my running joke while living in Thailand was that it was a circular pyramid scheme, the yoga teachers are buying life coaching, the life coaches are all learning to become drop shippers, and the drop shippers are all getting training to become yoga teachers. They just buy and sell services from each other in a circle trying to grow their own thing until they give up and go home.

Re: How to Run a Ponzi Scheme for Tech People

#125

Earlier quoted context omitted.

I'd say 95% of digital nomads are just online marketers who market their own lifestyle so that they can sell a course on how to imitate them. And obviously, their customers will imitate them and sell a course on how to imitate them. And so the cycle continues.

> I'd say 95% of digital nomads are just online marketers It’s strange ‘cuz I’ve been working in digital nomad hotspots for years and have met very very few people like that. Lots of translators, programmers, and then a complete mishmash of other people, but very few people selling courses, and the ones who _were_ selling courses generally nothing to do with being a digital nomad

What utopia have you found? I couldn't stop meeting these people on the road.

Re: How to Run a Ponzi Scheme for Tech People

#126
post #94

Earlier quoted context omitted.

Tesla was built by someone else and was purchased by a young man who grew up rich and insisted that as part of the transaction that his title be founder.

This whole comment thread is hilarious. “Oh tesla, no big deal, anyone could have made it including me if I just had the same capital.” You guys are living in outer space!

Well, it's an intersection of having the right venture, the right person, with the right leverage, at the right time. Elon Musk is perhaps close to unique in that intersection.

Are there other people who could do it but were not in the right place in the right time or didn't have the right leverage (money, connections, etc.)? Lots. If you took away those parameters, if Elon was just an engineer working for Boeing with just enough money to go on vacation every year, then he probably wouldn't have founded Tesla. He'd be some middle manager somewhere like lots of other smart/capable people.

Re: How to Run a Ponzi Scheme for Tech People

#127
post #6

This article is fantastic. I think "get rich quick" schemes are so much worse when it comes to my generation and beyond (millennials/gen-z). People have been endlessly screwed over: graduated college during the 2008 economic bust, lived with parents until their 30s, fired/laid off during the 2020 pandemic -- so I fundamentally understand the mirage of Instagram fame and endless sacks of money for doing basically noth…

I thought the point of those nomadic lifestyles is to earn the same trifling money anyone can earn over the internet with a little effort, but live where the money goes farther.

Re: How to Run a Ponzi Scheme for Tech People

#128
post #33

Earlier quoted context omitted.

> How does one break out when everyone's taking glamorous selfies in Thailand but I'm working in a dingy apartment trying to build the next big app? Isn't the idea of building the "next big app" itself based on the same kind of get-rich-quick mindset those schemes are exploiting? Only except for the "nomad lifestyle" or "selling courses", etc, it's supposed to happen by coding in a dingy apartment. But it's equally u…

I write software because I have always liked computers and always spent all my free time figuring out coding, linux, networking, and hacking in general. I don't expect to become the next Zuckerberg and I think that's the equivalent of telling kids they can make it in professional sports. I'm just content making a comfortable living building systems for someone else. I think I could have made roughly as good of a livi…

The thing is, some people don't want to do well and merely be part of the upper middle class. Some people want to get rich. And the strategies you must employ to be comfortable are much different than those required to make serious money.

Different strokes, different folks.

Re: How to Run a Ponzi Scheme for Tech People

#129
post #52

Earlier quoted context omitted.

Musk had about $140 million when he ~started~ bought (sorry) Tesla. That's a pretty far cry from a billion. On top of that, there was no guarantee that electric cars would ever be embraced, especially by Americans, who traditionally, love ICE muscle cars.

> On top of that, there was no guarantee that electric cars would ever be embraced, especially by Americans, who traditionally, love ICE muscle cars. Generous subsidies for electrics in the US and other countries helped with that. Like generous government money funnelled through NASA contracts helped Space X repeat what NASA did in the late 60s/early 70s, slightly improved, 40 years later...

Yeah, just look at all the other profitable companies in the space which did it too!

Can't turn around without bumping into an electric car / reusable rocket company these days.

Re: How to Run a Ponzi Scheme for Tech People

#130

Earlier quoted context omitted.

Front running is literally scrying and also the reason Robinhood options trading is "free." (Because traders aren't the customer. Front running quant firms are.) WSB has been duped.

What you're talking about is not frontrunning, it's purchasing order flow for market making. Frontrunning is an illegal activity with a specific definition. Purchasing order flow is not illegal. While we're at it, quant firms occupy a family of trading strategies which are a superset of HFT; not all quants are market making, trading intraday or pursuing low latency strategies. With all due respect, please stop perpet…

So what if one of those non-market making firms buys order flow?
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