3 ms·
It is a Ponzi scheme. It serves only as a transparent, immutable, and complete ledger of the fraud that took place.
by somewhereoutth 5y ago
It is a Ponzi scheme. It serves only as a transparent, immutable, and complete ledger of the fraud that took place.
- olalonde 5y agoA Ponzi scheme is an investment scam. How is that related to Bitcoin, a distributed protocol? Who are the victims? Who are the fraudsters? What is the deception? Which element of the scam applies to Bitcoin but not to gold or the US dollar?
- somewhereoutth 5y agoGold is a tangible commodity. USD can be used to pay your taxes. The victims are the last people to put USD into the crypto system, the fraudsters the ones who set it all up and collect the USD. The deception is that BTC is a currency, or an asset, or a technology, or indeed anything other than a complicated way to pay early entrants with money from later players.
- olalonde 5y agoIf I sold Bitcoin last year, that would make me a fraudster according to your definition? If I plan to hold Bitcoin, am I also a victim? If I have Bitcoin is it more ethical for me to keep it or to sell it? I can't say I was ever deceived though, I understand Bitcoin pretty well down to the lines of code. Also, did you know that the person or group of persons that "set it all up", Satoshi Nakamoto, never sold his Bitcoins?
- somewhereoutth 5y agoWell that is the genius of the system - nobody is quite sure who is who - not even themselves! Do you understand tulip bulbs pretty well too?