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You realize Bitcoin/Ethereum are simply computer software right? And you missed the essential caveat; aprox 4.11% of Bitcoin addresses control 96.53% of all BT
by cryptobeanbaby 8y ago
You realize Bitcoin/Ethereum are simply computer software right?
And you missed the essential caveat; aprox 4.11% of Bitcoin addresses control 96.53% of all BTC in circulation. This is a conservative estimate, as anyone familiar with how Bitcoin addresses and wallets work, would know one user is likely controlling many addresses.
A perfect example of this, is a few days ago 1933phfhK3ZgFQNLGSDXvqCn32k2buXY8a created a script to subdivide 111,114 BTC into several hundred addresses, from 60,000 / 30,000 / 20,000 / 10,000 / 5,000 / 500 and then to 100 BTC accounts, over the course of a few hours. [2] Following the movement here now leads to recent deposits into the Binance and Bitfinex wallets.
And most importantly, on the computer science behind Ethereum - In any DLT network with an adversarial threat model it's impossible to create a smart contract with any functionality relying on external data inputs (betting on the outcome of a sports game, or tracking any real world data input) within the network as there's no way to validate the authenticity of that data unless a trusted 3rd party is designated, at which point the network becomes useless. Not even to mention the question of why anyone would want to use a token with such wildly fluctuating market price, and who's supply is controlled by a small userbase of oligarchs.
Additionally, the entire cryptocoin market has an Achilles' heel.. Tether, and Bitfinex are widely suspected of counterfeiting aprox $4,000,000,000 USD (by producing USDT for free anytime they want) [3] [4] [5]
[1] https://www.sec.gov/rules/sro/cboebzx/2018/34-83520.pdf https://www.sec.gov/rules/sro/cboebzx/2018/34-83520.pdf
[2] https://www.reddit.com/r/Bitcoin/comments/9bfnff/near_1b_are_currently_on_the_move_from_a_silkroad/ https://www.reddit.com/r/Bitcoin/comments/9bfnff/near_1b_are...
[3] https://medium.com/@bitfinexed/latest https://medium.com/@bitfinexed/latest
[4] https://blog.chainalysis.com/reports/tether-aug https://blog.chainalysis.com/reports/tether-aug
[5] https://www.bloomberg.com/news/articles/2018-08-24/not-even-515-million-in-new-tether-can-help-this-crypto-dump https://www.bloomberg.com/news/articles/2018-08-24/not-even-...