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The “strategic reserve” exposes crypto as the scam it always was

alexkolchinski.com

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Re: The “strategic reserve” exposes crypto as the scam it always was

#121

Post by quantadev »

desumeku wrote: post #119
quantadev wrote: post #117

Earlier quoted context omitted.

There is scarcity in BTC, but no scarcity on Cryptos. Every BTC investor/hodler is betting the farm that BTC will be the dominant crypto forever. BTC is very similar to a cult or Ponzi scheme where you only achieve your goal if you can convince others to join. Why do you think nearly every BTC Maxi will claim all other coins are "Sh|t coins"? ...including coins/blockchains that are running identical code to BTC?

There is scarcity in USD, but no scarcity on Fiat. Every USD bond investor/hodler is betting the farm that the USA will be the dominant nation forever. USD is very similar to a cult or Ponzi scheme where you only achieve your goal if you can convince others to join. Why do you think nearly every USA Maxi will claim all other countries are "Sh|t countries"? ...including nations/currencies that are using identical macr…

I never said Fiat was an asset. You keep pretending like I'm some kind of Fiat advocate and I'm not. I just believe in real assets not make-believe ones, backed by nothing but faith.

Perhaps a good definition of the difference between currencies and assets is that currencies are backed by faith, and assets are backed by physical reality. (However that's a "necessary but not sufficient" definition, so it's only part of the definition, not the complete definition of course)

Re: The “strategic reserve” exposes crypto as the scam it always was

#122

Post by desumeku »

quantadev wrote: post #121
desumeku wrote: post #119

Earlier quoted context omitted.

There is scarcity in USD, but no scarcity on Fiat. Every USD bond investor/hodler is betting the farm that the USA will be the dominant nation forever. USD is very similar to a cult or Ponzi scheme where you only achieve your goal if you can convince others to join. Why do you think nearly every USA Maxi will claim all other countries are "Sh|t countries"? ...including nations/currencies that are using identical macr…

I never said Fiat was an asset. You keep pretending like I'm some kind of Fiat advocate and I'm not. I just believe in real assets not make-believe ones, backed by nothing but faith. Perhaps a good definition of the difference between currencies and assets is that currencies are backed by faith, and assets are backed by physical reality. (However that's a "necessary but not sufficient" definition, so it's only part o…

Are stocks, securities and ETFs backed by "physical reality"? Are treasury bills and bonds? If you are a goldbug who just thinks we should all be using gold, you should probably say so.

Re: The “strategic reserve” exposes crypto as the scam it always was

#123

Post by dpc_01234 »

bigyabai wrote: post #114
dpc_01234 wrote: post #97

Notably, Bitcoiners are very upset about all the worthless shitcoins added to the BTC there. While the Ethereum is arguably decentralized, maybe, kind-of, the other ones: XRP, Solana, and Cardano, are basically centralized nonsense, that at best can be considered a payment system and not a decentralized commodity.

Bitcoiners are barking up the wrong tree - their blockchain is effectively unusable without L2 chains. There is pretty much no way to transact Bitcoin quickly or cheaply without acquiescing to a third-party service that could very well be centralized. Time will show us that all of them are shitcoins in the end. But don't take my word for it, just wait and see.

For something "unusable" it sure seems weird that it's near all time highs, while fees are very low. Very weird.

The real long term value is and always was due to a trustworthy, sovereign store of value properties. Trying to compete with Visa or Venmo, or enable online gambling is catchy, but does mean anything, as nothing there requires the underlying shitcoin asset. Stablecoins are far better at that, but it's hard to sell a sucker idea that the stabelcoin is going to "moon".

Re: The “strategic reserve” exposes crypto as the scam it always was

#124

Post by desumeku »

quantadev wrote: post #120
desumeku wrote: post #118

Earlier quoted context omitted.

Keep talking about how the 9th largest asset on earth by market cap has "already failed". It's very convincing. Additionally, your definition of money is simply ludicrous. Your credit cards aren't money, then? What about that app on your phone called 'PayPal'? Is it just a collective delusion?

All you tried there was two strawman arguments, or else you didn't carefully read my words. 1) I said BTC failed as a currency. And yes all the people currently holding cryptos are indeed claiming it's an asset, but they all have one thing in common: They gave their REAL money to someone else in exchange for nothing. You purchased a jar of air with the word "Digital Gold" printed on the side of it basically...with th…

> You purchased a jar of air with the word "Digital Gold" printed on the side of it basically...with the reasoning of "If everybody treats this special air as Gold, then it might as well be Gold"

And it is. You can try and dispute and rage against this fact all you want, but it already is. One bitcoin now goes for over $80,000. It's the 9th largest asset on earth. Anybody who has ever bought any over the past 15 years made a bet that has more than extraordinarily paid off. You can deny it, but it won't stop being true. You can keep saying it's going to "pop" at any minute, but that doesn't mean that it will.

Re: The “strategic reserve” exposes crypto as the scam it always was

#125

Post by bigyabai »

dpc_01234 wrote: post #123
bigyabai wrote: post #114

Earlier quoted context omitted.

Bitcoiners are barking up the wrong tree - their blockchain is effectively unusable without L2 chains. There is pretty much no way to transact Bitcoin quickly or cheaply without acquiescing to a third-party service that could very well be centralized. Time will show us that all of them are shitcoins in the end. But don't take my word for it, just wait and see.

For something "unusable" it sure seems weird that it's near all time highs, while fees are very low. Very weird. The real long term value is and always was due to a trustworthy, sovereign store of value properties. Trying to compete with Visa or Venmo, or enable online gambling is catchy, but does mean anything, as nothing there requires the underlying shitcoin asset. Stablecoins are far better at that, but it's hard…

"Very weird" is investing in a currency you can't use. Illiquidity is one thing - having to wait hours for an idempotent transaction to finish is a horse of a queer color. Bitcoin itself is a vehicle for second-layer chains, none of which have to abide by Bitcoin's principles of sovereignty or decentralization.

I'll just let you down easy here, the strategy involved is little else than legitimizing a market rife with fraud. Call them shitcoins all you like, Trump is happy to treat them with the same "strategic" levity he attributes to Bitcoin. Are you sensing a pattern, at all?

Re: The “strategic reserve” exposes crypto as the scam it always was

#126

Post by quantadev »

desumeku wrote: post #124
quantadev wrote: post #120

Earlier quoted context omitted.

All you tried there was two strawman arguments, or else you didn't carefully read my words. 1) I said BTC failed as a currency. And yes all the people currently holding cryptos are indeed claiming it's an asset, but they all have one thing in common: They gave their REAL money to someone else in exchange for nothing. You purchased a jar of air with the word "Digital Gold" printed on the side of it basically...with th…

> You purchased a jar of air with the word "Digital Gold" printed on the side of it basically...with the reasoning of "If everybody treats this special air as Gold, then it might as well be Gold" And it is. You can try and dispute and rage against this fact all you want, but it already is. One bitcoin now goes for over $80,000. It's the 9th largest asset on earth. Anybody who has ever bought any over the past 15 year…

Oh, I expect your air jars can easily get quite a bit higher than $80K, while the FoMo is still on the rise. During Tulip Bulb Mania a bud was going for the same amount as the price of a HOUSE. It's about psychology isn't it. Everyone knew that amount for a flower was insane, but did it anyway. Because, after all, something is worth whatever people are paying for it don't ya know.

Tell me this...how is your NFT collection doing these days? Am I missing out on that excellent asset class too? I want that million dollar picture of the first Tweet bro. Since Hashcodes are unique in the universe that makes my copy THE one.

Re: The “strategic reserve” exposes crypto as the scam it always was

#127

Post by quantadev »

desumeku wrote: post #122
quantadev wrote: post #121

Earlier quoted context omitted.

I never said Fiat was an asset. You keep pretending like I'm some kind of Fiat advocate and I'm not. I just believe in real assets not make-believe ones, backed by nothing but faith. Perhaps a good definition of the difference between currencies and assets is that currencies are backed by faith, and assets are backed by physical reality. (However that's a "necessary but not sufficient" definition, so it's only part o…

Are stocks, securities and ETFs backed by "physical reality"? Are treasury bills and bonds? If you are a goldbug who just thinks we should all be using gold, you should probably say so.

You realize stocks and securities are a part ownership in a company right? lolz. So yeah stocks are backed by physical reality. Maybe you can research what ETFs, and those other things are on your own time, since you apparently don't know.

Re: The “strategic reserve” exposes crypto as the scam it always was

#130

Post by throwaway48476 »

tim333 wrote: post #111
jordanb wrote: post #41

I'm assuming that next, the US will invest in a "Strategic Tesla stock reserve."

I'm relieved TRUMP and MELANIA meme coins have not yet been included.

The trump coin is on the chain of one of the announced reserve coins.
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