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China declares cryptocurrency deals ‘illegal’

dailybusinessgroup.co.uk

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Re: China declares cryptocurrency deals ‘illegal’

#631

Post by imtringued »

monological wrote: post #487
rtkwe wrote: post #481

Earlier quoted context omitted.

That energy isn’t a fundamental requirement of the dollar as a currency though it’s a function of it but isn’t required. BTC on the other hand requires constant energy to process a fraction of the transactions.

Oh it’s not fundamental? What do you think would happen to the value of the dollar if the military didn’t exist and the US was invaded by a foreign county. Connect the dots.

The value of the dollar depends on the land and property of the united states which is protected by the army. It takes multiple steps to get to "military props up USD".

Re: China declares cryptocurrency deals ‘illegal’

#632

Post by imtringued »

space_fountain wrote: post #432
monological wrote: post #415

Earlier quoted context omitted.

How do you think the dollar keeps its value? Do you understand that the reason it has value is because it’s backed by the US military, which provides peace and stability for industry to consume a vast amount of energy to produce goods that get shipped around using fossil fuel? Have you calculated the total energy expenditure of the entire US financial system, direct and indirect, and then compare it to proof-of-work…

Doesn’t that mean the US dollar maintain it’s price by providing useful goods and services?

Of course.

Re: China declares cryptocurrency deals ‘illegal’

#633

Post by imtringued »

DethNinja wrote: post #368
nightski wrote: post #336

Wow, imagine living in a country where the legal financial assets you own can be turned criminal where accessing them is punished with hard labor. Sounds like a dystopian nightmare.

Coming soon to a country nearby you… Plebs cannot be allowed to have access to sound money, otherwise financial parasites can’t exists.

Why do plebs care about sound money? The more sound money you have the more you benefit from it. Plebs don't have most of the sound money, they'll lose out.

Re: China declares cryptocurrency deals ‘illegal’

#634

Post by imtringued »

quantumBerry wrote: post #532
lottin wrote: post #427

Earlier quoted context omitted.

Are you sure you got this right? Keep in mind that the only way to make money with bitcoin is literally by taking it away from other "investors".

Now apply your idea to dollars, and think about who prints the dollars.

Dollars are created by granting credit and promising debt.

Basically to people who need dollars to do productive work.

Oversimplification: The promise of work creates dollars and therefore dollars are created through work.

Re: China declares cryptocurrency deals ‘illegal’

#635

Post by UncleMeat »

plebianRube wrote: post #624
UncleMeat wrote: post #584

Earlier quoted context omitted.

Then share. I assure you that I am capable of understanding.

Why? The information is yours to seek. People only eat for a day when you give them a fish.

I'm seeking it right now. So let's try again.

The mining curve is reasonably described as monetary policy, seeing as it has a major impact on the distribution of coins and on inflation, which many crypto advocates worry about very deeply.

The mining curve was defined by Satoshi based on their original implementation. If there was to be a change in the mining curve we would need (1) a new version of the btc codebase that does mining rewards differently and (2) for the miners to swap to this fork. There is no mechanism for me, as a single person, to have a voice in this process except through contributing hash power to my preference. This is an amount of voting power associated with my wealth. That is antidemocratic.

Or do you want to just keep telling my that I am mysteriously ignorant over and over? That'll certainly endear people to the community.

Re: China declares cryptocurrency deals ‘illegal’

#636

Post by cortic »

avianlyric wrote: post #623
cortic wrote: post #597

Earlier quoted context omitted.

So he is turning down real investment in renewables in the hopes that other more agreeable investment materializes out of thin air.. meanwhile his plan crashes the price of renewable energy endangering those industries and shrinking the market.. allowing established fossil fuel industries a bigger share. genius.

Please don’t overestimate the importance of crypto in this world. Crypto investments in renewables are, at best, a rounding error. The ROI from them certainly won’t offset the very real harm being done by all the additional fossil plants being brought online to deal with the increased demand they create.

Fossil fuels being used to fill demand of any sort is its own problem. We need global carbon taxes on a Montreal Protocol level to incentivize any excess demand (investment) to target renewables. -But with this, crypto would be a great boost to renewable technology, guaranteeing a minimum return for business investing in Research and Development.

Re: China declares cryptocurrency deals ‘illegal’

#637

Post by quantumBerry »

imtringued wrote: post #634
quantumBerry wrote: post #532

Earlier quoted context omitted.

Now apply your idea to dollars, and think about who prints the dollars.

Dollars are created by granting credit and promising debt. Basically to people who need dollars to do productive work. Oversimplification: The promise of work creates dollars and therefore dollars are created through work.

> dollars are created through work.

[citation needed]

You seem to have a fairy tale level of knowledge about how dollars are created. One of the Fed's favored way of created more money is simply buying treasury bonds with newly created money. Care to explain what work is done there (other than the work done by individuals at the Federal Reserve)?

Re: China declares cryptocurrency deals ‘illegal’

#638

Post by jumelles »

A4ET8a8uTh0 wrote: post #425
nightski wrote: post #336

Wow, imagine living in a country where the legal financial assets you own can be turned criminal where accessing them is punished with hard labor. Sounds like a dystopian nightmare.

Eh.. I don't want to diminish the impact of Chinese action, but US not so long ago banned owning gold ( https://en.wikipedia.org/wiki/Gold_Reserve_Act ) by individuals. It is only recently that this got relaxed. Government can and do whatever the populace will bear.

45+ years is “not so long ago”?

Re: China declares cryptocurrency deals ‘illegal’

#639

Post by [deleted] »

imtringued wrote: post #605
arcticbull wrote: post #466

Earlier quoted context omitted.

It's a negative sum wealth redistribution scheme the takes money from new entrants and gives it to miners and to old entrants. The miner portion is what makes it negative-sum. It doesn't meet the traditional definition, no, which is why I referred to it as a "distributed Ponzi scheme" - it's closer to an MLM in classical parlance. [edit] Here's the SEC definition: > A Ponzi scheme is an investment fraud that pays exi…

I personally don't like the term ponzi scheme because it describes deliberate fraud. Bitcoin isn't a ponzi scheme or at least it wasn't built for it. I personally like the term MLM (multi level marketing) because you can do MLM with any product, even products that aren't specifically designed for MLM. It's just that cryptocurrencies lend themselves especially well to MLM.

[deleted]

Re: China declares cryptocurrency deals ‘illegal’

#640

Post by quantumBerry »

imtringued wrote: post #629
dnautics wrote: post #489

Earlier quoted context omitted.

"Base demand" I get that this is working econ theory, but is that even meaningful? Do you honestly think people hold dollars because "someone can use it to.pay taxes"?

You have to pay property taxes so yes, getting military protection by a national military for your land is worth every dollar you spend on property tax.

Property taxes don't go to the federal government or national military, at least in the US. Lots of myths here.
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