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Coinbase from YC to DPO

blog.ycombinator.com

181–190 of 883 posts

Re: Coinbase from YC to DPO

#181
post #35

I'm horrendously worried about crypto gaining more marketshare as long as proof of work crypto remains mainstream. It has significantly worse externalities than just about any company I can think of (including defense contractors/vaping companies), and, if it grows larger before we have clean energy, then we virtually guarantee we won't be able to tackle global warming. We are going to bestow a world that will be sig…

Agree and I can’t support companies that are putting their weight behind it (Tsla, sq). It incentivizes global warming, as a feature not a bug. Insane.

Re: Coinbase from YC to DPO

#183

Earlier quoted context omitted.

I'm skeptical of proof-of-stake, proof-of-work seems like the main innovation of cryptocurrencies that differentiates them from the standard financial industry? If you swap out POW for POS (or worse clearing house type trust orgs like Stellar) then aren't you just putting trust into some incentive based system no different than existing financial systems? Just instead a government you're trusting some other entity. Y…

For the uninformed, what mathematical guarantees does POW have that POS doesn’t?

PoW is anchored in some real-world value, the cost of electricity. PoS is not. Most of PoW’s security and tamper-resistance advantages derive from that characteristic.

Re: Coinbase from YC to DPO

#184
post #35

I'm horrendously worried about crypto gaining more marketshare as long as proof of work crypto remains mainstream. It has significantly worse externalities than just about any company I can think of (including defense contractors/vaping companies), and, if it grows larger before we have clean energy, then we virtually guarantee we won't be able to tackle global warming. We are going to bestow a world that will be sig…

Worse externalities than the fiat standard which brought us genocides, nuclear war, and mass murder? Bitcoin could eradicate democide.

Re: Coinbase from YC to DPO

#185

Earlier quoted context omitted.

Couldn't agree more. I struggle to comprehend how an energy obliterating and (relatively speaking) primitive technology like Bitcoin is the top dog in this space. Sure, first mover advantage counts for something, but come on - how has superior tech not yet left it in the rearview. In a space that moves at such rapid pace with heavy investment and buckets of innovation, at some point the crowd surely will migrate en m…

PoS is yet to be proven, I'm really hoping eth2 shows that it actually works, because the other ones with PoS aren't that heavily used or tested in adversarial ways. When it comes to money and value, the utmost important thing is security, that's the tradeoff that Bitcoin makes and that's what people are buying into. Everything else is secondary.

What would be the criteria for saying 'eth2 works' in your view ?

Re: Coinbase from YC to DPO

#186

Earlier quoted context omitted.

Not to take anything away from this accomplishment -- this is more a point of interest -- the average time from formation to IPO for a company that's going to is 6.3 years [1] [1] https://www.statista.com/statistics/320793/median-time-ventu...

Well, what's the average time to a $100B IPO?

Getting closer to infinity every day.

Re: Coinbase from YC to DPO

#187
post #35

I'm horrendously worried about crypto gaining more marketshare as long as proof of work crypto remains mainstream. It has significantly worse externalities than just about any company I can think of (including defense contractors/vaping companies), and, if it grows larger before we have clean energy, then we virtually guarantee we won't be able to tackle global warming. We are going to bestow a world that will be sig…

People always complain about Bitcoin's environmental effects. What about Gold's, the current financial system's? https://www.zerohedge.com/crypto/critics-claim-bitcoin-threa...

Bitcoin is already terrible and it’s structured to get ever more terrible.

Re: Coinbase from YC to DPO

#188
post #35

I'm horrendously worried about crypto gaining more marketshare as long as proof of work crypto remains mainstream. It has significantly worse externalities than just about any company I can think of (including defense contractors/vaping companies), and, if it grows larger before we have clean energy, then we virtually guarantee we won't be able to tackle global warming. We are going to bestow a world that will be sig…

A green crypto will not work unless it’s tied to BTC. BTC is basically a ponzi scheme built on top of ponzi schemes on top of ponzi schemes. I too was optimistic about cryptocurrencies back in 2013-14. I thought we’d eventually have a global currency that’s beneficial for all parties involved. But no. There’s simply no interest in doing that. Everyone is just in it for the money.

Your dream and Mr Robots dream died along the way.

When all debt was erased everyone filled with panic flocked to the evilcorp coin.

The system exists today for a reason. Discover and elimate each reason to change the system.

Re: Coinbase from YC to DPO

#189

Earlier quoted context omitted.

I'm skeptical of proof-of-stake, proof-of-work seems like the main innovation of cryptocurrencies that differentiates them from the standard financial industry? If you swap out POW for POS (or worse clearing house type trust orgs like Stellar) then aren't you just putting trust into some incentive based system no different than existing financial systems? Just instead a government you're trusting some other entity. Y…

For the uninformed, what mathematical guarantees does POW have that POS doesn’t?

This is the best (and also approachable well-written) book on the topic that I've found: https://bitcoinbook.cs.princeton.edu/

My (possibly incorrect) understanding is that POW is computationally expensive because that large investment of computation is what creates a chain of successive blocks (the blockchain). This prevents someone from rewriting history of transactions on the public chain (which would allow them to 'double-spend' or to take their money back).

POW currencies are guaranteed to prevent this kind of abuse unless any individual entity is able to get more than 51%. There's an incentive in addition to this because corrupting the integrity of the network would also devalue the currency. Larger networks (like BTC) are harder to do a hostile take over of because it's harder to get that much compute (though mining centralization is a risk).

POS relies on some variant individuals 'staking' coins to enable transactions, this means putting them up in escrow sort of in the network (they are paid small fees for this based on how much they stake) and if abuse is attempted, the system takes those staked coins away. There are no mathematical guarantees outside of this incentive.

POS is not as standardized across different currencies so I may be missing important bits in my understanding.

Re: Coinbase from YC to DPO

#190
post #35

I'm horrendously worried about crypto gaining more marketshare as long as proof of work crypto remains mainstream. It has significantly worse externalities than just about any company I can think of (including defense contractors/vaping companies), and, if it grows larger before we have clean energy, then we virtually guarantee we won't be able to tackle global warming. We are going to bestow a world that will be sig…

I'm skeptical of proof-of-stake, proof-of-work seems like the main innovation of cryptocurrencies that differentiates them from the standard financial industry? If you swap out POW for POS (or worse clearing house type trust orgs like Stellar) then aren't you just putting trust into some incentive based system no different than existing financial systems? Just instead a government you're trusting some other entity. Y…

And this is exactly why I'm so skeptical of cryptocurrencies in general. There doesn't appear any viable way to make them work as currencies that doesn't either have horrendous externalities, simply replicate what existing currencies already do (often poorly and with many downsides), or often both.

I don't think it's a coincidence that even a decade plus later, the primary use cases for crypto still seem to be grey/black market deals, speculative investments, and pyramid schemes.

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