Crypto crash deepens, stocks slip • Hacker News Board

Re: Crypto crash deepens, stocks slip

#211

Post by Faaak » Wed, May 19, 2021, 2:53 PM UTC

intotheabyss wrote: post #142

lottin wrote: post #107

Earlier quoted context omitted.

Ah, yes, it's taking over traditional finance except they still haven't figured out how to make loans, but never mind that.

There are undercollaterized / no collateral loans on Ethereum. You can build a credit score using decentralized identities. But yeah, keep dismissing it. You'll eventually use Ethereum or something like it whether you want to or not.

undercollaterized loans are valid for one transaction only. You should research what you preach before dismissing others

Re: Crypto crash deepens, stocks slip

#212

Post by JoeAltmaier » Wed, May 19, 2021, 2:53 PM UTC

afterburner wrote: post #199

kllrnohj wrote: post #26

Earlier quoted context omitted.

Bitcoin & Ether are both down -40% from a week to a month ago. Both of those are, in theory, large enough that investors "letting off some steam" shouldn't move them that much. If $SPY dropped 40% we'd all call it a crash. This isn't that different. Also unlike the stock market, crypto is under the delusion of being a viable currency. If USD or Euro dropped even 20% we'd start questioning if it's a recession, much le…

Regular stock markets have circuit breakers in place and don't even operate 24/7. There are plenty of things that slow down price movement there. If they didn't have circuit breakers and did operate 24/7, I'd imagine we would have seen far greater record price movements over history, maybe even as bad as the absolute worst crypto swings.

Is this a condemnation of crypto markets then? Because you put most of that stuff in place, you probably lose the 'value' of crypto (anonymity, lack of central governance etc).

Re: Crypto crash deepens, stocks slip

#213

Post by Ar-Curunir » Wed, May 19, 2021, 2:54 PM UTC

SavantIdiot wrote: post #82

zpeti wrote: post #20

Earlier quoted context omitted.

My personal take: There might well be ponzi schemes on top of the bitcoin infrastructure, but the technology behind bitcoin is not a ponzi scheme. It might well be that a lot of people are crazed over it and want to buy bitcoin and push up the price, but that's because there is something here with cryptocurrency. It definitely is a new way of accounting, and it could potentially be a hedge against the fiat system. Th…

> I still think it is revolutionary technology that may well revolutionise things in 5-10 or 50 years, who knows. If there's one thing I love most about the technology behind bitcoin, it is the permanent, public, unalterable ledger of every purchase I've ever made and every purchase I'll every make, and who I gave the money to. I'm super excited about the complete lack of personal financial privacy that Bitcoin's blo…

That’s not an inherent feature of decentralized ledgers; you can have protocols like Zerocash which hide the sender, receiver, amount completely, via the use of zero knowledge proofs

Re: Crypto crash deepens, stocks slip

#214

Post by SavantIdiot » Wed, May 19, 2021, 2:54 PM UTC

paulpauper wrote: post #195

fsflover wrote: post #171

Earlier quoted context omitted.

If you care about privacy, then consider Monero.

i love when ppl say this. you realize that turning monero into usable cash will at some point req. revealing your identity?

But then the argument is: why would I turn it into usable cash if everyone used it. And by the time you reach that point in the discussion, back slowly away...

Re: Crypto crash deepens, stocks slip

#215

Post by Mc_Big_G » Wed, May 19, 2021, 2:54 PM UTC

randomsearch wrote: post #203

Mc_Big_G wrote: post #178

Earlier quoted context omitted.

This makes no sense. 1 BTC still equals 1 BTC.

Currencies are used to purchase things. If the purchasing power of 1 BTC changes dramatically, it matters.

You're assuming I care how much something costs in dollars.

Re: Crypto crash deepens, stocks slip

#216

Post by aabbcc1241 » Wed, May 19, 2021, 2:55 PM UTC

singularity2001 wrote: post #124

ProjectArcturis wrote: post #56

Bitcoin is the ultimate, purely financial object. It has no revenues or profits. The supply is fixed -- unlike, say, gold, where high prices mean people will eventually start digging mines, BTC supply is entirely price-inelastic. The only thing that determines BTC price is demand. And over the past 13 years, we've seen reflexivity at work: The price has gone up, so more people want it, so the price goes up further, a…

The supply is infinite if you take the whole crypto space: You can create as many BTC#3 EGold-plus ... as you wish, and future generations will.

The later-created coins are similar to bitcoin but they're not "the bitcoin". In this way, the supply of bitcoin is still limited

Re: Crypto crash deepens, stocks slip

#217

Post by arcticbull » Wed, May 19, 2021, 2:55 PM UTC

inter_netuser wrote: post #190

arcticbull wrote: post #174

Earlier quoted context omitted.

> That's because Bitcoin is very tightly held, and the amount of tradeable float is very very small compared to holdings. By the diamond-est of hands: those who lost their keys.

I see you often comment on Bitcoin negatively, curious why?

It's a substantially-manipulated negative-sum distributed Ponzi scheme. The most blatant example of a naked emperor I've seen in my lifetime. And it consumes the energy of Argentina to achieve as much work as a Raspberry Pi.

Re: Crypto crash deepens, stocks slip

#218

Post by ramijames » Wed, May 19, 2021, 2:55 PM UTC

bronzeage wrote: post #192

jmacd wrote: post #11

As an outside observer, who has no crypto holdings at all, but is very deeply invested in the public stock market with a heavy weight on technology stocks... this doesn't look like a crash to me at all. It just looks like some steam being let off and old investors cash out and new investors get more comfortable with how much and where to invest. I consider crypto currency as it is to be an elaborate Ponzi scheme (per…

It's not a Ponzi scheme because in ponzi scheme you deliberately use late investors money to pay early investors. What happens in cryptocurrency is fake-exchange scheme. Tether is a fake currency printed in unlimited way by bitfinex which is also an exchange. By pretending tethers are real dollars you create the appearance of a stronger market for cryptocurrency than actually exists. It all rests on increasing the nu…

Except that during crashes like this one, what you see is everyone moving their crypto holdings to stablecoins. The intent is to wait things out and then buy back in and profit during the next cycle.

Re: Crypto crash deepens, stocks slip

#219

Post by fybs » Wed, May 19, 2021, 2:56 PM UTC

"The bitcoin flow picture continues to deteriorate and is pointing to continued retrenchment by institutional investors,"

Quotes like that, in my experience, always turned out to be a buying opportunity.

Re: Crypto crash deepens, stocks slip

#220

Post by gher-shyu3i » Wed, May 19, 2021, 2:56 PM UTC

Attention seeking headline. Stocks are down as well. From the very first sentence:

> Global stocks slipped and cryptocurrencies sank deeper on Wednesday as a threat of unwanted inflation had investors shy away from assets seen as vulnerable to any removal of monetary stimulus

This whole fiasco is because of money printing at will.