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The thing that cryptocurrencies have really successfully decentralized and democratized is becoming a shareholder — of cryptocurrency schemes. Anyone can buy a
by pornel 5y ago
The thing that cryptocurrencies have really successfully decentralized and democratized is becoming a shareholder — of cryptocurrency schemes.
Anyone can buy a share of a coin, and make a profit as long as the amount of fiat currency put into the chain keeps growing. Every new user convinced it's going "to the moon" pays dividends to existing holders. This automatically creates a financial incentive to become an astroturfer for the project.
- paulryanrogers 5y agoSounds like MLMs with a lower barrier of entry.
- raesene9 5y agoThe thing is , that side of things in practice, isn't really decentralized. Where do you buy and sell those "shares"... exchanges (e.g. binance, coinbase, bitfinex etc), which essentially just replace the centralized stock exchanges and banks of traditional finance. Whilst it's possible to avoid those, I'd guess it's beyond many participants to do technically, so the exchanges become defacto centralization, and instead of regulated stock exchanges that operate in the same judicial location, in many cases these exchanges explicitly try to avoid regulation or accountability.
- kobasa 5y agoHave you really not heard of decentralized exchanges?
- ClumsyPilot 5y agoSounds like the housing market
- PaulDavisThe1st 5y agoHow does any of that differ from the current US stock market?
- pornel 5y agoInsider trading and wash trades are legal. You can legally lie to your "investors". And it's all untaxed if you're lucky.