5 ms·

Bitcoin’s gold rush was always an illusion

theknocker 5y ago
Bitcoin is at like 300% compared to where it was this time last year.
tracedddd 5y ago
“Cryptocurrencies are described by their fans as a people-powered revolution, digital banking unchained from the interests of the wealthy and powerful.“ Not quite correct. The wealthy and powerful can be wealthy and powerful and express their interests. They just have no special powers, as crypto currencies aim to be permissionless and deregulated. That means price manipulation or other financial games are largely quite ok by crypto standards so long as anyone is invited. It’s anti-bank and anti-government.. not anti-capitalist or anti-finance. Whether you are on board with this vision or if it’s good for society is another issue, but crypto is largely fulfilling its goals in my opinion.
- llcoolv 5y ago
  Yeah. On top of that the article is a bit misleading as the goal of crypto, gold, etc is not to become rich, but not to become poorer due to inflation.
  - 0des 5y ago
    The goal is permissionless transactions on an immutable ledger.
    - xadhominemx 5y ago
      What is the goal of that?
      - imtringued 5y ago
        It's funny. What he is saying is that Bitcoin's value is philosophical in nature.
        deleted 5y ago
        [deleted]
    - kemonocode 5y ago
      You can have different, non-conflicting goals. Specific projects bring something in particular to the table. Permission-less transactions on an immutable ledger is the very least most bring. A form of rebellion against centralized banking and an unfair global financial system where if you have the means and the connections you can get away with pretty much anything: lemon socialism, laundering billions and paying pittances on your taxes. To some, these are important goals; to others they are troublesome things to get rid of because they believe centralized economic systems are superior and inherently more trustful and less prone to abuse by criminals and terrorists, or that the perceived ecological impacts crypto mining are excessive. There are valid points on both sides, but it'll be extremely hard for me to change my position on crypto when it's become a personal lifeline for so long.
coralreef 5y ago
PCs / internet are too slow and expensive for practical home use. iPhones wont sell well because they don't have keyboards. All you can do is download fart apps? Waste of money. Etc.
- xadhominemx 5y ago
  Bitcoin has been around for a decade now and no one has imagined much less implemented use cases beyond anonymous payments for illegal cross-border transfers or illicit goods and trading other crypto coins
  - neb_b 5y ago
    What about cross-border payments to family members living in a different country?
    - Ma8ee 5y ago
      It’s is usually trivial to do international money transfers between banks today. And if that isn’t possible, there are services like Western Union.
      - rfd4sgmk8u 5y ago
        Settlement within an hour? For cents (vs $10 for wires)? Without permission of 3rd parties? To regions that are not connected to the international banking system? No. Bitcoin is better for international money transfers than WU or your local bank. I can't believe this is even a talking point in 2021.
        toomuchtodo 5y ago
        It’s more expensive to use Bitcoin than TransferWise to send international payments or money transfers. TransferWise often settles very fast if the destination country has good fintech plumbing (Australia, Canada, SEPA, etc).
prohobo 5y ago
Cryptography brings computational solutions to finance. The end.
InternetPerson 5y ago
The article argues that, "Through successive booms and busts, the price of Bitcoin has been manipulated by a handful of large players, using fake transactions, imaginary assets and sophisticated timing." It highlights the role that Tether plays. "[W]henever Bitcoin’s price began to fall, Tether was issued by Bitfinex and sent to two other exchanges, where it was used to buy Bitcoin – which would then rise in price."
- webinvest 5y ago
  Yes of course. When Bitcoin drops in price, tether increases in price. Bitfinex has to issue more to keep the price at $1.
  - snypher 5y ago
    Are they revoked or redeemed at any point, or is this just a one way street?
vlucas 5y ago
Non-paywall link: https://archive.is/coOQ5 https://archive.is/coOQ5
- sMarsIntruder 5y ago
  Thanks. I guess that considering the shortsighted analysis, it’s ok to not waste money on that!
deleted 5y ago
[deleted]

Bitcoin is at like 300% compared to where it was this time last year.

“Cryptocurrencies are described by their fans as a people-powered revolution, digital banking unchained from the interests of the wealthy and powerful.“ Not quite correct. The wealthy and powerful can be wealthy and powerful and express their interests. They just have no special powers, as crypto currencies aim to be permissionless and deregulated. That means price manipulation or other financial games are largely quite ok by crypto standards so long as anyone is invited. It’s anti-bank and anti-government.. not anti-capitalist or anti-finance. Whether you are on board with this vision or if it’s good for society is another issue, but crypto is largely fulfilling its goals in my opinion.

llcoolv 5y ago
Yeah. On top of that the article is a bit misleading as the goal of crypto, gold, etc is not to become rich, but not to become poorer due to inflation.
- 0des 5y ago
  The goal is permissionless transactions on an immutable ledger.
  - xadhominemx 5y ago
    What is the goal of that?
    - imtringued 5y ago
      It's funny. What he is saying is that Bitcoin's value is philosophical in nature.
      - deleted 5y ago
        [deleted]
  - kemonocode 5y ago
    You can have different, non-conflicting goals. Specific projects bring something in particular to the table. Permission-less transactions on an immutable ledger is the very least most bring. A form of rebellion against centralized banking and an unfair global financial system where if you have the means and the connections you can get away with pretty much anything: lemon socialism, laundering billions and paying pittances on your taxes. To some, these are important goals; to others they are troublesome things to get rid of because they believe centralized economic systems are superior and inherently more trustful and less prone to abuse by criminals and terrorists, or that the perceived ecological impacts crypto mining are excessive. There are valid points on both sides, but it'll be extremely hard for me to change my position on crypto when it's become a personal lifeline for so long.

coralreef 5y ago

PCs / internet are too slow and expensive for practical home use. iPhones wont sell well because they don't have keyboards. All you can do is download fart apps? Waste of money. Etc.

xadhominemx 5y ago
Bitcoin has been around for a decade now and no one has imagined much less implemented use cases beyond anonymous payments for illegal cross-border transfers or illicit goods and trading other crypto coins
- neb_b 5y ago
  What about cross-border payments to family members living in a different country?
  - Ma8ee 5y ago
    It’s is usually trivial to do international money transfers between banks today. And if that isn’t possible, there are services like Western Union.
    - rfd4sgmk8u 5y ago
      Settlement within an hour? For cents (vs $10 for wires)? Without permission of 3rd parties? To regions that are not connected to the international banking system? No. Bitcoin is better for international money transfers than WU or your local bank. I can't believe this is even a talking point in 2021.
      - toomuchtodo 5y ago
        It’s more expensive to use Bitcoin than TransferWise to send international payments or money transfers. TransferWise often settles very fast if the destination country has good fintech plumbing (Australia, Canada, SEPA, etc).

prohobo 5y ago

Cryptography brings computational solutions to finance. The end.

InternetPerson 5y ago

The article argues that, "Through successive booms and busts, the price of Bitcoin has been manipulated by a handful of large players, using fake transactions, imaginary assets and sophisticated timing." It highlights the role that Tether plays. "[W]henever Bitcoin’s price began to fall, Tether was issued by Bitfinex and sent to two other exchanges, where it was used to buy Bitcoin – which would then rise in price."

webinvest 5y ago
Yes of course. When Bitcoin drops in price, tether increases in price. Bitfinex has to issue more to keep the price at $1.
- snypher 5y ago
  Are they revoked or redeemed at any point, or is this just a one way street?

vlucas 5y ago

Non-paywall link: https://archive.is/coOQ5 https://archive.is/coOQ5

sMarsIntruder 5y ago
Thanks. I guess that considering the shortsighted analysis, it’s ok to not waste money on that!

deleted 5y ago

[deleted]