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1. Artificial digital scarcity is usually not needed. 2. It costs an enormous amount of energy to create this artificial digital scarcity. 3. If you own an as
by joshdance 5y ago
1. Artificial digital scarcity is usually not needed.
2. It costs an enormous amount of energy to create this artificial digital scarcity.
3. If you own an asset you can generate revenue from it. With NFTs you can't really. The only way to generate revenue is to sell the NFT, for increasingly higher sums.
4. Someone will be left holding the empty bag at the end.
- facorreia 5y ago> Someone will be left holding the empty bag at the end. This. It's a modern variation on tulips.
- hmrtn 5y ago> Someone will be left holding the empty bag at the end. I fail to see how this is different than any speculative asset?
- eqvinox 5y ago> I fail to see how this is different than any speculative asset? To drive home the point from pjc50's sibling post, NFTs are "empty" speculative assets. If you speculate with company stock, housing, or whatever else — there's generally at least some material value that could be liquidated. Even during a bubble when it's overvalued, it's generally not zero. And the cases where it can become zero (companies going completely bankrupt), there's warning signs and possibly even fraud. NFTs just have no backing. Even "fiat money" (frequently said to "only have value because people back it", after gold standards went away) is different since it's backed by some country. NFTs? Nope. Just nothing.
- hoseja 5y agoCountries are just successful memes that pulled up the ladder as well as they could.
- VoodooJuJu 5y ago>Countries Populated with real, physical resources, and real, physical people, who will take real, physical action to secure themselves, their resources, and their ideas. Who is defending my unique set of bits? How are they defended? What is gained from defending them? What is lost if they're not defended?
- pjc50 5y agoThere have historically been attempts to restrict the sale of purely speculative assets to the general public (Howey test, binary options ban etc), because gambling is such a compelling addictive product that people ruin their lives by it.
- pkdpic 5y agoPossibly a separate question, but I was wondering just how serious the energy use problem is. I haven't actually seen what the stats are for carbon footprint etc.
- pjc50 5y agohttps://kylemcdonald.github.io/ethereum-emissions/ https://kylemcdonald.github.io/ethereum-emissions/ Estimates that Etherum alone is responsible for a couple of coal power plants. Proof-of-waste is the worst invention since leaded petrol and CFCs.
- pkdpic 5y agoThank you so much for the link! And ditto on the thank you for introducing the term proof of waste. Extremely helpful.
- zepto 5y agoThanks for being the first to introduce the term ‘proof of waste’ to me! It’s so obvious on seeing it that proof of work is just not an accurate term to describe what is going on.