4 ms·

Stating the obvious, but the recourse is to not bother with crypto at all and stick with insured and better safeguarded financial mechanisms.

thebean11 5y ago
> better safeguarded Again, better safeguarded in some ways (or for some participants), less for others.
- ninepoints 5y ago
  Hard to imagine how an economic system that has literally no real safeguards against wash trading is "safer" in any sense.
- munk-a 5y ago
  This is the primary barrier to adoption and one that is, IMO, insurmountable. The ways in which traditional currency is safeguarded is far more important to most of the population. I completely understand some people's hesitancy around government regulation and it's totally sane given what some folks have lived through. But the consolidation of banking institutions in the real world is pretty clearly mirrored in the cryptoworld and that side of banking is already far less reliable than real world banking. Mt. Gox was a while ago, sure, but a lot of people lost a lot of money doing something that shouldn't have been dangerous. Most of the population trusts the government more than enough to protect themselves against this sort of blatant fraud and, at this point, I think most crypto currency is legitimately held by speculators which can create liquidity to drive transactions but which, on its own, does not a market make.
  - hdsjfg 5y ago
    >But the consolidation of banking institutions in the real world is pretty clearly mirrored in the cryptoworld and that side of banking is already far less reliable than real world banking. Crypto doesn't have "banking". Exchanges are fairly centralized, but it's a misuse of the technology to use an exchange for custody. There are some crypto lending platforms, but they are not banks. >...most crypto currency is legitimately held by speculators which can create liquidity to drive transactions but which, on its own, does not a market make. Liquidity is provided by market makers, who (by definition) are not holding or speculating.
    - elefanten 5y ago
      Except for when those market makers also do a bunch of other things... such as holding and speculating.
      - hdsjfg 5y ago
        Of course. Butlers aren't murderers, except for when they are!

thebean11 5y ago

> better safeguarded Again, better safeguarded in some ways (or for some participants), less for others.

ninepoints 5y ago
Hard to imagine how an economic system that has literally no real safeguards against wash trading is "safer" in any sense.
munk-a 5y ago
This is the primary barrier to adoption and one that is, IMO, insurmountable. The ways in which traditional currency is safeguarded is far more important to most of the population. I completely understand some people's hesitancy around government regulation and it's totally sane given what some folks have lived through. But the consolidation of banking institutions in the real world is pretty clearly mirrored in the cryptoworld and that side of banking is already far less reliable than real world banking. Mt. Gox was a while ago, sure, but a lot of people lost a lot of money doing something that shouldn't have been dangerous. Most of the population trusts the government more than enough to protect themselves against this sort of blatant fraud and, at this point, I think most crypto currency is legitimately held by speculators which can create liquidity to drive transactions but which, on its own, does not a market make.
- hdsjfg 5y ago
  >But the consolidation of banking institutions in the real world is pretty clearly mirrored in the cryptoworld and that side of banking is already far less reliable than real world banking. Crypto doesn't have "banking". Exchanges are fairly centralized, but it's a misuse of the technology to use an exchange for custody. There are some crypto lending platforms, but they are not banks. >...most crypto currency is legitimately held by speculators which can create liquidity to drive transactions but which, on its own, does not a market make. Liquidity is provided by market makers, who (by definition) are not holding or speculating.
  - elefanten 5y ago
    Except for when those market makers also do a bunch of other things... such as holding and speculating.
    - hdsjfg 5y ago
      Of course. Butlers aren't murderers, except for when they are!