3 ms·

>If the "new" chain has some value post-fork, that value has been siphoned off the "old" chain Not necessarily. I don't see how that follows at all. >Suppose

>If the "new" chain has some value post-fork, that value has been siphoned off the "old" chain Not necessarily. I don't see how that follows at all. >Suppose the opposite was true. If you could create value out of thin air like that, we could all get rich just by forking cryptos over and over again. I know it _seems like_ this has been happening in past 2 years. It's an example of irrational market behavior. There is no* reason hard fork should create value. How does that matter to the IRS whether market is being irrational or rational? >However, in a rational market this information would be incorporated into prices _before_ the hard fork: there is still no rational reason for the total price of assets to magically jump after the event. The crypto market is full of hype and irrational actors

baobabKoodaa 7y ago
> >If the "new" chain has some value post-fork, that value has been siphoned off the "old" chain > Not necessarily. I don't see how that follows at all. If you can make infinite money out of thin air by making infinite hard forks, go ahead. No-one's stopping you. > >Suppose the opposite was true. If you could create value out of thin air like that, we could all get rich just by forking cryptos over and over again. I know it _seems like_ this has been happening in past 2 years. It's an example of irrational market behavior. There is no* reason hard fork should create value. > How does that matter to the IRS whether market is being irrational or rational? I didn't say it matters to the IRS. > >However, in a rational market this information would be incorporated into prices _before_ the hard fork: there is still no rational reason for the total price of assets to magically jump after the event. > The crypto market is full of hype and irrational actors We are in agreement here.

baobabKoodaa 7y ago

> >If the "new" chain has some value post-fork, that value has been siphoned off the "old" chain > Not necessarily. I don't see how that follows at all. If you can make infinite money out of thin air by making infinite hard forks, go ahead. No-one's stopping you. > >Suppose the opposite was true. If you could create value out of thin air like that, we could all get rich just by forking cryptos over and over again. I know it _seems like_ this has been happening in past 2 years. It's an example of irrational market behavior. There is no* reason hard fork should create value. > How does that matter to the IRS whether market is being irrational or rational? I didn't say it matters to the IRS. > >However, in a rational market this information would be incorporated into prices _before_ the hard fork: there is still no rational reason for the total price of assets to magically jump after the event. > The crypto market is full of hype and irrational actors We are in agreement here.