Current Events > The crypto bubble popped

(+) Yeah! (+)

DarkRoast posted...

It's not an asset.
It's literally nothing.

This.

Phonies.

I know someone who lost about a thousand on the Luna coin. Theyre feeling kind of down about it but did say it was a gambke

Crypto proponents need to stop pretending they're doing some kind of stock market alternative. They need to stop using stock market imagery, jargon related to investing comment etc. There is literally no underlying value to anything they're doing.

The entire cryptocurrency ecosystem is propped up solely by speculative trading between investors and sellers. Nothing else. There is literally nothing else to it.

It is straight up gambling, nothing else.

And after watching these Stablecoins (basically attempts to create Crypto hedges) collapse overnight, it should be crystal clear that there is no underlying safety value in any kind of cryptocurrency.

What we saw with Terra Luna is what happens when there's zero liquidity. There are protections for that in the actual stock market that don't exist in cryptocurrency. Mathematically, it is almost an inevitability that any coin that bases its value on another coin will enter a similar death spiral.

And the reason why is because a stock itself has value even outside of its ticker price. Cryptocurrency's value is literally nothing but what people are willing to pay for it.

Asset is an accounting term, and intangible assets have been a thing since long before crypto has been around. Cryptocurrency literally is an asset.

EndOfDiscOne posted...

Asset is an accounting term, and intangible assets have been a thing since long before crypto has been around. Cryptocurrency literally is an asset.

It's no more an asset than your chips on Red at a roulette table is an asset. At any moment it can become completely worthless.

Stablecoins have failed.

At one time, the FDIC didn't insure bank accounts. When the first bank collapsed and couldn't give the money back to people who had accounts, it sparked a mad bank rush because nobody trusted banks. Stablecoins were supposed to be the financial security that Crypto investors needed to keep the faith in the stability of the system.

That faith is gone.

https://gamefaqs.gamespot.com/a/user_image/2/6/6/AAeEwGAADOm6.jpg

whitelytning posted...

If you cant see that buying an appreciating asset at a discount is an opportunity you arent using your brain.

What you keep forgetting here is what has been explained very clearly over and over again. You guys have this mentality like "I'll never be the one that goes bust!" but that isn't how reality works. Money isn't free. You aren't smarter than everyone else. You are just playing a game of hot potato and last one that has it loses everything and jumps off a building.

Shadow Don posted...

What you keep forgetting here is what has been explained very clearly over and over again. You guys have this mentality like "I'll never be the one that goes bust!" but that isn't how reality works. Money isn't free. You aren't smarter than everyone else. You are just playing a game of hot potato and last one that has it loses everything and jumps off a building.

That's exactly what Crypto is, when all is said and done. Just a fancy way to fleece the last few guys who try to get in. Because you're not trading stocks - you're just betting money against other people's money. And for every winner there's an equal and opposite loser. And sometimes the only winner is the rug-puller. But it's still, in the end, an unsustainable system.

The fact that these people don't seem to understand that they are absolutely ruining people so they can make a profit is truly sad.

I think the issue here is were not making a distinction.

Yes there are multitudes of people that use blockchain technology purely as a speculative investment and try to make money off the appreciation and changes in demand of a token.

However the technology itself can and is widely used in a variety of ways.

The distinction arises with the purpose in owning the tokens. Because day trading and currency are only a couple in numerous. I know of and have crypto that convey/accommodate real-world tangible benefits and the ongoing price of them is often entirely moot. Its not ALL just bros taking turns circle jerking around a price chart.

This problem is not necessarily a crypto specific problem. On the whole, the common retail investor has all the easy access these days but none of the know-how, temperament, or even an idea of the time horizons. Where crypto exasperates the problem is, ironically, lack of regulation.

People really need to start learning to separate crypto and blockchain. Even if all crypto ceases to exist you're in for a rude awakening if you think blockchain is going anywhere lol

https://youtube.com/shorts/qiXMm-nP6bs?feature=share

Crypto investing to the outside world

BignutzisBack posted...

People really need to start learning to separate crypto and blockchain. Even if all crypto ceases to exist you're in for a rude awakening if you think blockchain is going anywhere lol

block chain is worthless it does NOTHING new

AceMos posted...

block chain is worthless it does NOTHING new

If nothing else it's a much more consistent advancement of the torrent-era distributed computing/filesharing system.
Although I do find it funny that people act like the entire concept is new - the concept literally existed since the Napster era, if not earlier.
It at least solves the issue of too many leeches and not enough uploaders.

Crypto goes through bull runs and they dip hard, then they run again, this has happened before. Why are some of y'all acting like this is brand new?

Taharqa_ posted...

Crypto goes through bull runs and they dip hard, then they run again, this has happened before. Why are some of y'all acting like this is brand new?

A top 10 crypto designed explicitly to instill confidence in market stability went from $90 to $0.000009 in the span of 24 hours.
Exposing the "man behind the curtain"

In this case, the reality that nothing keeps Crypto stable except the blissful ignorance of happy investors trusting the wise oversight of experts that don't actually exist

Yeah the bottom falling out of a stablecoin because there wasn't any real world capital backing it up is a big deal in cryptospace since quite a few of the major ones operate the same way. Tether is another one that doesn't have anything behind it.

__aCEr__ posted...

Yeah the bottom falling out of a stablecoin because there wasn't any real world capital backing it up is a big deal in cryptospace since quite a few of the major ones operate the same way. Tether is another one that doesn't have anything behind it.

Not to mention finding out that liquidity during a sell-off is apparently quite similar to the liquidity during the bank runs of the 30s.

AceMos posted...

block chain is worthless it does NOTHING new

Tell that to every insurance company who is dying to implement it the first chance they get lol, they even created a chapter about it in the CPCU books. Big data and blockchain will be the insurance industry standard sooner rather than later.

What benefits does block chain give the insurance injury?

DarkRoast posted...

If nothing else it's a much more consistent advancement of the torrent-era distributed computing/filesharing system.
Although I do find it funny that people act like the entire concept is new - the concept literally existed since the Napster era, if not earlier.
It at least solves the issue of too many leeches and not enough uploaders.

I thought the main benefit of blockchain was that all entries on the chain would be immutable.

BignutzisBack posted...

Tell that to every insurance company who is dying to implement it the first chance they get lol, they even created a chapter about it in the CPCU books. Big data and blockchain will be the insurance industry standard sooner rather than later.

sure it will

i notice you could not list anything block chain does that is special or how it will help with any of this

The problem with Blockchain Worship amongst Crypto Bros is that they never seem to be able to answer the obvious next question of "how does the blockchain's existence justify trading fake money for real money in a clear Ponzi scheme?"

@SHRlKE posted...

What benefits does block chain give the insurance injury?

Coordination is the name of the game, every insurance company is going to put all of their claims, insured info, fraudulent activity, on the blockchain. Using big data they're going to be able to do a significantly better job preventing fraud by instantly knowing whether another company paid out a claim, see any flagged potential or confirmed fraudulent claims be insured may have put forward through a previous company. They will also be able to do a much better job picking what spots they actually want to insure because they will have the data of every big insurance company. When an insurance company wants to insure a new state or a new portion of a state they will now be able to see exactly how much money was paid out per catastrophe, exactly how much certain companies charge whether it's mechanics, roofers, drywall work, anything you can think of.They will also be able to pick which people they want to insure better based on people's background, number of vehicles they insure, amount of claims, all that good stuff. Blockchain to store all the information and Big Data to analyze it. Claims will be processed significantly faster through smart contracts, millions will be saved through streamlining.

Whenever you complete your CPCU you get invited to go on a trip where you can mingle with insurance bigwigs. I went to New Orleans a few years ago, it was all people talked about. Whether you're just sharing a glass of wine or listening to CEOs of State farm, Allstate branches gush about blockchain. They made it clear that there is still going to be competition, but coordination is going to make companies so much more money than how things were done in the past.

Everyone talks about how they lost all this money or made all this money and all they're actually doing is holding. So dumb.

HovaRex posted...

Everyone talks about how they lost all this money or made all this money and all they're actually doing is holding. So dumb.

Clearly people are selling if its going down. The smart ones HODL tho

BignutzisBack posted...

@

Coordination is the name of the game, every insurance company is going to put all of their claims, insured info, fraudulent activity, on the blockchain. Using big data they're going to be able to do a significantly better job preventing fraud by instantly knowing whether another company paid out a claim, see any flagged potential or confirmed fraudulent claims be insured may have put forward through a previous company. They will also be able to do a much better job picking what spots they actually want to insure because they will have the data of every big insurance company. When an insurance company wants to insure a new state or a new portion of a state they will now be able to see exactly how much money was paid out per catastrophe, exactly how much certain companies charge whether it's mechanics, roofers, drywall work, anything you can think of.They will also be able to pick which people they want to insure better based on people's background, number of vehicles they insure, amount of claims, all that good stuff. Blockchain to store all the information and Big Data to analyze it. Claims will be processed significantly faster through smart contracts, millions will be saved through streamlining.

Whenever you complete your CPCU you get invited to go on a trip where you can mingle with insurance bigwigs. I went to New Orleans a few years ago, it was all people talked about. Whether you're just sharing a glass of wine or listening to CEOs of State farm, Allstate branches gush about blockchain. They made it clear that there is still going to be competition, but coordination is going to make companies so much more money than how things were done in the past.

Thats not necessarily a unique benefit of blockchain. Thats having the same data available between companies. Obviously blockchain is one way to accomplish that but I dont see what makes BC more viable a solution over other solutions such as a centralised database everyone has access to.

TigerTarTheo posted...

Clearly people are selling if its going down. The smart ones HODL tho

whenever it crashes I just buy more.

TigerTarTheo posted...

Clearly people are selling if its going down. The smart ones HODL tho

How'd that work out for Terra Luna

SHRlKE posted...

Thats not necessarily a unique benefit of blockchain. Thats having the same data available between companies. Obviously blockchain is one way to accomplish that but I dont see what makes BC more viable a solution over other solutions such as a centralised database everyone has access to.

Also its wildly irresponsible to just make everybodys data semi-public.

DarkRoast posted...

How'd that work out for Terra Luna

https://gamefaqs.gamespot.com/a/user_image/1/5/9/AAfPfjAADO03.jpg

Protip: You didn't actually make that much money when the blockchain is shut down. The actual currency no longer exists. There's zero liquidity.

If you think Crypto is a Ponzi scheme, imagine trading coins that aren't even recognized as valid transactions.

Anyone selling Terra Luna right now is selling nothing. Like, literally nothing.

If someone made $750k selling Luna, they literally scammed someone.

Call me when that person turns that 750k into actual dollars. Until then it's worth less than a toilet flush.

Shadow Don posted...

Call me when that person turns that 750k into actual dollars. Until then it's worth less than a toilet flush.

They could turn it into actual dollars if they find someone stupid enough to buy it. But with the blockchain shutdown it'd have to be a private 1:1 transaction and the buyer would be a ****ing gullible idiot.

But my guess is this moron bought coins at $0.0001 and the number changed on the ticker and now he's magically up to $750k except for the minor detail of nobody being willing (or able) to buy it for that price.

This is why the Crypto Cult needs to be exposed for what it is. They don't know how this shit works. They look at pictures like that and think "GWARSH I BETTER GO ALL IN" and then they get swindled by someone smarter than them who knows how liquidity works.

[LFAQs-redacted-quote]


If this is the case then good for that person but it kind of ignores the last 2 pages of discussion on survivorship bias.

Everyone posting about how much money they made but we aren't gonna see very many posts from the people who lost everything and put a shotgun in their mouths.

[LFAQs-redacted-quote]


LUNA. ISN'T. REAL.

THERE IS NO LUNA COIN. IT DOESN'T EXIST.

There's no transaction here. There are idiots and there are people even dumber than the idiots giving them money.

And sure, you could argue that being able to sell your JACK SHIT somehow counts as liquidity. In the same sense that not being at the bottom of a Ponzi constitutes liquidity.

If you think playing financial hot potato constitutes ethical moneymaking, you're sick. Whoever's last in line and opens the bag to find the nothing inside is the one who loses their life's savings. But hey, as long as it's not YOU, might as well boast about it!

This shit ruins people. For every one person that makes money off this kind of "trading" there's dozens of people who lose everything. It's disgusting.

Response talking up the Blockchain

Ignores fact that Luna's blockchain was taken down

This is what I ****ing hate about Crypto. You can't even fucking point out OBVIOUS SCAMS without the Crypto Defense Force swooping in to protect Ponzis.

I just assumed crypto was an application of blockchain. Not that they are one and the same. Is that not the case? Can you really use the terms interchangeably?

DarkRoast posted...

Response talking up the Blockchain

Ignores fact that Luna's blockchain was taken down.

They aren't buying or selling ANYTHING. Not even a real crypto. It's all bullshit!

This is what I ****ing hate about Crypto. You can't even fucking point out OBVIOUS SCAMS without the Crypto Defense Force swooping in to protect Ponzis.

Just because you put something in block capitals doesn't add any gravitas to your post. Just saying.

SHRlKE posted...

I just assumed crypto was an application of blockchain. Not that they are one and the same. Is that not the case? Can you really use the terms interchangeably?

It is in the case of a Stablecoin like Luna / UST

SHRlKE posted...

Just because you put something in block capitals doesn't add any gravitas to your post. Just saying.

Just because you're scamming people with Crypto doesn't mean you're not scamming people.
Distributed scams! It's the future! Less guilt because you don't know!

The fact that magical buzzworlds and GEE-WHIZ-MIRACLE-TECH makes you feel warm and fuzzy as you swindle people is nice, isn't it?

You're creating a transaction that can't be repudiated, is guaranteed to go through, and is essentially forged into the blockchain which itself can be thought of as a giant ledger.

A wonderful miraculous flawless Ponzi scheme!

Nobody can repudiate that you paid actual money for a coin that is no longer recognized as valid, so basically it's OK because the Blockchain!

[LFAQs-redacted-quote]


You can bookkeep a Ponzi scheme, too.
In fact, you kinda need to bookkeep a Ponzi scheme to keep it going long enough.

Yes, your feel-good magical Blockchain world has many great applications.

But one application is Ponzi.

Nobody's arguing against blockchain technology.

I'm arguing against cryptocurrency (and let's be honest, it's not actually a currency) abusing the technology.

Or to quote a Crypto engineer:

Crypto is essentially an economic cult that taps into very base human instincts of fear, greed and tribalism, combined with economic illiteracy as a means to recruit more greater fools to pile money into what looks like a weird, novel digital variant of a pyramid scheme, argues Stephen Diehl, a crypto-sceptic software engineer. Although, its all very strange because its truly difficult to see where the self-aware scams, true believers and performance art begin and end. Crypto is a bizarre synthesis of all three.

And this:

https://www.ft.com/content/9e787670-6aa7-4479-934f-f4a9fedf4829

For Jackson Palmer, one of the creators of dogecoin the joke cryptocurrency that shot to prominence this year thanks to Musk this has now morphed into something profoundly pernicious. After years of studying it, I believe that cryptocurrency is an inherently rightwing, hyper-capitalistic technology built primarily to amplify the wealth of its proponents through a combination of tax avoidance, diminished regulatory oversight and artificially enforced scarcity, Palmer wrote on Twitter this summer, announcing his permanent withdrawal from the industry. These days even the most modest critique of cryptocurrency will draw smears from the powerful figures in control of the industry and the ire of retail investors who theyve sold the false promise of one day being a fellow billionaire, he added. Good-faith debate is near impossible.

If you're a big proponent of the future of blockchain tech, good for you. But if you really care about the legitimacy of it, you need to stop defending its most prevalent and abused use.

DarkRoast posted...

It is in the case of a Stablecoin like Luna / UST

I don't know much about stable coins. Can you elaborate?