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First, programmable money is obviously a bad thing - you only need look at the large number of disasters in the DeFi space. Second, it's not really democratize
by elil17 4y ago
First, programmable money is obviously a bad thing - you only need look at the large number of disasters in the DeFi space.
Second, it's not really democratized if only the rich can afford the transaction fees.
Third, what does "democratized access to money" even mean? Does it solve the problem of poor people being unable to access financial services? Not that I've heard. I don't know anyone who doesn't have access to a bank account but is able to store their money on the blockchain. Does it mean something else I'm not thinking of?
- sowbug 4y agoif only the rich can afford the transaction fees For at least the past year, average fees have been below a dollar, and less than five cents if you're willing to wait an extra 30 minutes for a confirmation.
- deleted 4y ago[deleted]
- j0hnyl 4y agoDemocratized access to money means that I can move my life savings as a refugee from a war torn country by just remembering 24 words. Access to a bank account doesn't preclude this need. Think corrupt countries like Ukraine or even Cambodia, Laos. There are banks, but they go belly up every week and new ones come up. If you think outside of the narrow scope of the first world, there are many unbanked folks that can benefit. As for the rich affording tx fees, maybe a replacement for daily cash isn't everyone's use case? Maybe it doesn't have to be bitcoin? It can be one of many other cryptocurrencies that has low tx fees. There are places in the world where the volatility of crypto looks stable in comparison to the local geo-political and financial climate. Cryptocurrencies offer the world a "splinter economy". Having said all that, of course this stuff is not without issues that need addressing. Regulating this technology into oblivion isn't it though.
- hnthrow1010 4y ago>Democratized access to money means that I can move my life savings as a refugee from a war torn country This has nothing to do with cryptocurrencies, blockchains, or "democratized access" at all. What you're suggesting is simply for people to use foreign banks. If your local money is being destabilized by war, I can't see why you'd want to put your money into an extremely volatile offshore casino, which is what cryptocurrency is.
- randomhodler84 4y agoNow we are getting closer to home. I don’t trust banks, they have robbed me my entire life. Have you ever interacted with foreign banks?
- hnthrow1010 4y agoWhat you're saying makes no sense, storing your money in crypto is like putting it in a even less trustworthy foreign bank.
- randomhodler84 4y agoSo I must really distrust banks then, eh! I know the usefulness of state-free money. I’ve lived it. You are just trying to worship at the feet of Authority.
- hnthrow1010 4y agoMany things wrong with that: - Cryptocurrency is not state-free money. Among other things, it requires functioning infrastructure, stable electricity and internet available at affordable prices. These things are provided by the government everywhere on earth. - Cryptocurrency is not authority-free. Actually, you're trusting several authorities any time you interact with any blockchains. - I'm not denying you got use out of cryptocurrency. I'm sure you did. At first glance it does appear to be some kind of functioning financial system, but it is not. A lot of other people have also lost significant amounts of money with it.
- dghlsakjg 4y agoYou mention Ukraine, Cambodia and Lao. None of those countries is particularly corrupt. But its worth noting that the current rate of inflation for BTC/ETH is far higher than any of those countries. Another way of framing it is that crypto currencies are less stable than a currency from a country that is actively under attack from a nuclear superpower.
- j0hnyl 4y agoThese countries are insanely unstable in a lot of ways to the point that it's hard for the average joe to move "significant to them" sums of money out of them. Furthermore, you need to pay serious bribes to operate a business. Privacy forward blockchains can help with that.
- simonw 4y ago"just remembering 24 words" Really hope you don't get a concussion on your way out of that warzone!
- HWR_14 4y ago> Democratized access to money means that I can move my life savings as a refugee from a war torn country by just remembering 24 words It also means if I know your 24 words I can take your life savings and you'll never be able to get it back. Which means I can coerce you as you cross the borders as a refugee and take everything.