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Well, I think it's more proper to inform and educate friends and people instead of scarring them. For me what SEC and regulators in majority of other countries

Well, I think it's more proper to inform and educate friends and people instead of scarring them. For me what SEC and regulators in majority of other countries are doing is scarring people (with all the warnings) - I'd find education more effective.

aaron-lebo 9y ago
The SEC is warning people so they don't get scammed. Good for them. Their actions aren't unwarranted because there's been a lot of scams. You're asking for an open market so that people can be defrauded.
- cryptofyodor 9y ago
  Not really, first of all when SEC warns it is usually when people already actually get scammed. Second - if my father kept telling me "son, don't go there" I wouldn't know why, and how to distinguish safe places from unsafe. All I mean is that by scarring you don't protect people from being defrauded. And I wouldn't care if I'd like to see people being defrauded, but in fact I do care, and don't find the "scarring/warning approach" to be working.
  - maksimum 9y ago
    Since you made the same mistake twice: scarring ~ creating scars; scaring ~ frightening.
  - nacho2sweet 9y ago
    My dumb friends can go get defrauded all they want, but if they know it is a bubble, and know they are mostly likely in the gambling unINformed losers end of the deal they will probably only get defrauded and gamble with what they are willing to lose. Like going to a casino.
  - soundwave106 9y ago
    What is wrong with the SEC's statement on Bitcoin? (https://www.sec.gov/news/public-statement/statement-clayton-2017-12-11 https://www.sec.gov/news/public-statement/statement-clayton-...) My opinion is, if you read that and believe this is the SEC attempting to merely "scare" you, that you really shouldn't be investing in Bitcoin. None of their statements seem incorrect. Bitcoin is new, but it is most similar to forex IMHO, and all the disclaimers to forex apply. Forex has higher than average risk, particularly in developing countries where volatility can be very high -- the possibility of losing almost everything is above average. It is also quite a bit more prone to scams compared to other investment platforms. It can work out well, but I wouldn't plunge into forex without doing a heck of a lot of research, and I wouldn't bet the farm on a single forex investment. That applies to Bitcoin too. But there are some additional specific risks not linked to forex though. With forex, you can use various economic indicators of the nation of the currency to attempt to make a more solid investment. I'm not sure what economic indicators are out there to help with Bitcoin. Bitcoin's not backed by any government, furthermore, so there is higher risk for government intervention as we've seen to some degree in China and South Korea, which will at the very least cause greater volatility. Furthermore, bitcoin has a huge disadvantage compared to forex right now: it is relatively illiquid. All that adds up to a very risky investment from my perspective at this point. Some might be willing to take the plunge anyways. But the office talk I hear on Bitcoin is way too casual compared to the actual risk.
  - IncRnd 9y ago
    In all your posts you write "scarring". I think you mean "scaring," if you refer to what which will scare. Scarring somebody means they are being scarred.
donkeyd 9y ago
Every time theres a crypto for which I can explain why the value makes no sense, there's another ten that pop up that are the next big thing, which they 'researched'. There's no way to keep up with this stuff. Just the fact that a tweet from John McAfee can push a crypto up over 100% is reason for me to stay away from that stuff. Too much manipulation and FOMO going on. I'd consider investing in a regulated crypto IPO though, if there's serious due diligence and a product that's actually being used.

aaron-lebo 9y ago

The SEC is warning people so they don't get scammed. Good for them. Their actions aren't unwarranted because there's been a lot of scams. You're asking for an open market so that people can be defrauded.

cryptofyodor 9y ago
Not really, first of all when SEC warns it is usually when people already actually get scammed. Second - if my father kept telling me "son, don't go there" I wouldn't know why, and how to distinguish safe places from unsafe. All I mean is that by scarring you don't protect people from being defrauded. And I wouldn't care if I'd like to see people being defrauded, but in fact I do care, and don't find the "scarring/warning approach" to be working.
- maksimum 9y ago
  Since you made the same mistake twice: scarring ~ creating scars; scaring ~ frightening.
- nacho2sweet 9y ago
  My dumb friends can go get defrauded all they want, but if they know it is a bubble, and know they are mostly likely in the gambling unINformed losers end of the deal they will probably only get defrauded and gamble with what they are willing to lose. Like going to a casino.
- soundwave106 9y ago
  What is wrong with the SEC's statement on Bitcoin? (https://www.sec.gov/news/public-statement/statement-clayton-2017-12-11 https://www.sec.gov/news/public-statement/statement-clayton-...) My opinion is, if you read that and believe this is the SEC attempting to merely "scare" you, that you really shouldn't be investing in Bitcoin. None of their statements seem incorrect. Bitcoin is new, but it is most similar to forex IMHO, and all the disclaimers to forex apply. Forex has higher than average risk, particularly in developing countries where volatility can be very high -- the possibility of losing almost everything is above average. It is also quite a bit more prone to scams compared to other investment platforms. It can work out well, but I wouldn't plunge into forex without doing a heck of a lot of research, and I wouldn't bet the farm on a single forex investment. That applies to Bitcoin too. But there are some additional specific risks not linked to forex though. With forex, you can use various economic indicators of the nation of the currency to attempt to make a more solid investment. I'm not sure what economic indicators are out there to help with Bitcoin. Bitcoin's not backed by any government, furthermore, so there is higher risk for government intervention as we've seen to some degree in China and South Korea, which will at the very least cause greater volatility. Furthermore, bitcoin has a huge disadvantage compared to forex right now: it is relatively illiquid. All that adds up to a very risky investment from my perspective at this point. Some might be willing to take the plunge anyways. But the office talk I hear on Bitcoin is way too casual compared to the actual risk.
- IncRnd 9y ago
  In all your posts you write "scarring". I think you mean "scaring," if you refer to what which will scare. Scarring somebody means they are being scarred.

donkeyd 9y ago

Every time theres a crypto for which I can explain why the value makes no sense, there's another ten that pop up that are the next big thing, which they 'researched'. There's no way to keep up with this stuff. Just the fact that a tweet from John McAfee can push a crypto up over 100% is reason for me to stay away from that stuff. Too much manipulation and FOMO going on. I'd consider investing in a regulated crypto IPO though, if there's serious due diligence and a product that's actually being used.