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I don't see how it's a ponzi scheme. I understand your other parts but ponzi seems like an inappropriate term

rglover 4y ago
The ponzi scheme attribution is due to the money printing and fractional reserve lending system. They can't pay off previous debts [1], so they print more money to try to inflate the debt away (which only leads to the creation of more debt, keeping the cycle perpetual). If they stop printing money/issuing new debt, the whole pyramid collapses. [1] https://www.usdebtclock.org/ https://www.usdebtclock.org/
- highwaylights 4y ago
  But this isn’t true. Printing money debases the currency, it doesn’t increase borrowing. Not debasing the currency further is the reason all debt isn’t just printed away. Bitcoin is entirely a ponzi, which is why I was surprised you cited it as an example of something better.
  - rglover 4y ago
    > Printing money debases the currency, it doesn’t increase borrowing. It does both. Where do you think that printed money goes? The business model of banks is to lend out money. They go to the Fed to get more dollars and then lend those dollars out to other people. The more dollars available, the more demand for debt. > Bitcoin is entirely a ponzi You'd have to explain why because it's fundamentally not. There's nothing about it that requires coaxing others into it. You either want to use it or you don't.
    - deleted 4y ago
      [deleted]
    - highwaylights 4y ago
      I’m going to leave it here and wish you well. I could refute the above, but you’ll disagree, we’ll never see eye-to-eye, and we’d both just be arguing into the wind. I (sincerely) hope it all works out for you and we’ll find out in time what it turns out to ultimately be.
      - rglover 4y ago
        > I could refute the above, but you’ll disagree, we’ll never see eye-to-eye, and we’d both just be arguing into the wind. You're probably not wrong, but this is your dust up. Give me a shot, I'm open to well-reasoned arguments.

The ponzi scheme attribution is due to the money printing and fractional reserve lending system. They can't pay off previous debts [1], so they print more money to try to inflate the debt away (which only leads to the creation of more debt, keeping the cycle perpetual). If they stop printing money/issuing new debt, the whole pyramid collapses. [1] https://www.usdebtclock.org/ https://www.usdebtclock.org/

highwaylights 4y ago
But this isn’t true. Printing money debases the currency, it doesn’t increase borrowing. Not debasing the currency further is the reason all debt isn’t just printed away. Bitcoin is entirely a ponzi, which is why I was surprised you cited it as an example of something better.
- rglover 4y ago
  > Printing money debases the currency, it doesn’t increase borrowing. It does both. Where do you think that printed money goes? The business model of banks is to lend out money. They go to the Fed to get more dollars and then lend those dollars out to other people. The more dollars available, the more demand for debt. > Bitcoin is entirely a ponzi You'd have to explain why because it's fundamentally not. There's nothing about it that requires coaxing others into it. You either want to use it or you don't.
  - deleted 4y ago
    [deleted]
  - highwaylights 4y ago
    I’m going to leave it here and wish you well. I could refute the above, but you’ll disagree, we’ll never see eye-to-eye, and we’d both just be arguing into the wind. I (sincerely) hope it all works out for you and we’ll find out in time what it turns out to ultimately be.
    - rglover 4y ago
      > I could refute the above, but you’ll disagree, we’ll never see eye-to-eye, and we’d both just be arguing into the wind. You're probably not wrong, but this is your dust up. Give me a shot, I'm open to well-reasoned arguments.