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I'm not convinced that cryptocurrency is a ponzi scheme. Crypto is an asset, not a market. Decentralized digital assets cannot inherently be ponzi schemes. The

I'm not convinced that cryptocurrency is a ponzi scheme. Crypto is an asset, not a market. Decentralized digital assets cannot inherently be ponzi schemes. The level of transparency and trust in the market on which they trade is what determines if it's a ponzi scheme. I am convinced that many cryptocurrency markets/exchanges are ponzi schemes and need to be significantly regulated so that market manipulation is reduced significantly, especially when non-accredited investors are involved. However the fact that these markets trade crypto is not relevant. Every time crypto implodes (what are we, on the sixth extinction?) people love to stand by the sidelines and say "see I told you so!". All that's really happening, as someone else on HN aptly put it, is we're speed-running the history of finance out again in crypto-land. It is a shame that self-regulatory efforts that Gemini and Circle tried essentially failed, but it's not really surprising. Power corrupts, and there's almost no regulation in the industry. The industry has clearly shown it needs regulation, so the time to claim that it doesn't is completely gone. I for one, am extremely optimistic about what cryptocurrency means for the human race. I honestly believe it will do for the human economy what the internet has done for knowledge. I hope I am not wrong, and I'm certain that there will be dark periods full of bad actors, just as there was/is for the evolution of the internet. I should state that I own no cryptocurrency at the moment, even while being optimistic about the future of cryptocurrency.

diab0lic 4y ago
> All that's really happening, as someone else on HN aptly put it, is we're speed-running the history of finance out again in crypto-land. I’d be surprised if the person who said this meant it was a good thing. The sentence literally acknowledges a similarity between crypto and traditional finance. Yet instead of taking those lessons and implementing the solutions the crypto space insists on making the mistakes over again and maybe learning the lessons. The cognitive dissonance in this space is intense.
- robcohen 4y ago
  Yes, the space is making the same mistakes but that has more to do with the nature of humanity and its tendency toward corruption. It does feel like a missed opportunity, but intellectually I am pretty convinced the corruption was inevitable. That said, this is all growing pains. It’ll pass. The price of crypto does not need to stay high for the benefits to be present. It just needs to stay above the price level where an adversary can simply buy a significant percentage of the network. I still believe in the promises of crypto.
rebelos 4y ago
> Every time crypto implodes (what are we, on the sixth extinction?) people love to stand by the sidelines and say "see I told you so!". And each of those times there was more saturation of public interest to be achieved, which levitated prices across the entire asset class. That’s now done. Expect to see a steady waning of interest and prices until some stable state is achieved. The entities left in the space will predominantly be obstinate true believers and criminal enterprises.
moeffju 4y ago
I find it incredibly funny to read "every time crypto implodes" in a statement that is positive about crypto. A system that keeps imploding and the only reason it's not staying dead is stuff like Tether cooking their books at fusion temperatures seems like it might be a net negative for humanity, no? It's also weird to see people repeating - at scale - mistakes from the past, as if following a playbook. Finance regulation is a pretty well researched and historically attested field? I suppose greed tops all.

diab0lic 4y ago

> All that's really happening, as someone else on HN aptly put it, is we're speed-running the history of finance out again in crypto-land. I’d be surprised if the person who said this meant it was a good thing. The sentence literally acknowledges a similarity between crypto and traditional finance. Yet instead of taking those lessons and implementing the solutions the crypto space insists on making the mistakes over again and maybe learning the lessons. The cognitive dissonance in this space is intense.

robcohen 4y ago
Yes, the space is making the same mistakes but that has more to do with the nature of humanity and its tendency toward corruption. It does feel like a missed opportunity, but intellectually I am pretty convinced the corruption was inevitable. That said, this is all growing pains. It’ll pass. The price of crypto does not need to stay high for the benefits to be present. It just needs to stay above the price level where an adversary can simply buy a significant percentage of the network. I still believe in the promises of crypto.

rebelos 4y ago

> Every time crypto implodes (what are we, on the sixth extinction?) people love to stand by the sidelines and say "see I told you so!". And each of those times there was more saturation of public interest to be achieved, which levitated prices across the entire asset class. That’s now done. Expect to see a steady waning of interest and prices until some stable state is achieved. The entities left in the space will predominantly be obstinate true believers and criminal enterprises.

moeffju 4y ago

I find it incredibly funny to read "every time crypto implodes" in a statement that is positive about crypto. A system that keeps imploding and the only reason it's not staying dead is stuff like Tether cooking their books at fusion temperatures seems like it might be a net negative for humanity, no? It's also weird to see people repeating - at scale - mistakes from the past, as if following a playbook. Finance regulation is a pretty well researched and historically attested field? I suppose greed tops all.