Canadian Money Forum banner
501 - 520 of 578 Posts

·
Registered
Joined
·
16,574 Posts
A good video that explains pretty well why crypto is a ponzi scheme type of scam.

 

·
Registered
Joined
·
8,758 Posts
A good video that explains pretty well why crypto is a ponzi scheme type of scam.
You could say the stock market is a ponzi scheme too.

I got halfway through before my brain shut off.
It's the same old tired arguments.

Yes most people are speculating, yes for many people it is a ponzi scheme.

However that doesn't mean there isn't real value in there.
Just like in Tulip bulb mania, or the stock market, if you strip away all the scheming, there is something of value left.
 

·
Registered
Joined
·
5,316 Posts
It's a tulip mania bubble, except that at least tulips had some actual value.
Ok boomer

The US Senate just spent all morning talking about crypto. Even though they are boomers even they seem to get it more than the typical Canadian boomer. Regulation and clarity is overdue for centralized exchanges. If done right it will open the floodgates and make a lot of money for the bankrupt western governments. For example a withholding tax on the yields instead of banning them seems like a no brainer to me..

Canadians are missing out on so many opportunities to develop a digital economy and collect revenue here.. yet they all just want to talk about bond yields
 

·
Registered
Joined
·
8,758 Posts
It's a tulip mania bubble, except that at least tulips had some actual value.
Your statement suggests you don't understand the value of blockchain/crypto technologies.
As you use an encrypted protocol to make the post.
 

·
Registered
Joined
·
16,574 Posts
There is already cloud computing for data storage, peer to peer digital financial transactions, and legal online contracts.

What great need does bitcoin or blockchains solve ?

As to blockchain being beneficial as a "public ledger"......when did business start wanting to reveal their business to the public and competitors ?

Does Walmart want to tell Canadian Tire all their business ? Do they want to reveal how much they pay suppliers for products ? Do they want to reveal their profit margins or tax bills ? Do people want their legal contracts on a public ledger ? Would people want all their purchases on a public ledger ? Their health information ? Criminal records ? It sounds an awful lot like a "big brother" concept.

At a time when people are growing more concerned about their personal information and security, blockchains are going in the opposite direction.

Bitcoins, dogecoins, blockchains.......have no useful purpose to justify their extensive waste of energy.
 

·
Registered
Joined
·
2,985 Posts
Where we live it is affinity fraud. People buy into schemes because their friends are associates are. Often target people in their mid 50's and up who may have assets like homes or RSP's that can be leveraged. Target is someone who has lost money in the market, pulled out, not re-entered, and now realizes their loss. Promised incredibly high returns while their capital investment is guaranteed.
Real estate and currency trading are among the favorites. Sad to see people loose everything to con artists but the reality is Barnum was right. There is a sucker born every minute.

My spouse had a cousin buy a load of Iraqi dinars while that scam was alive in western Canada. Definitely an affinity scam. People in her church were jumping into it. The actually thought that buying 5K worth of worthless dinars would yield $500K because they were such wonderful Christians. Go figure.

Before buying the only verification was checking with other church friends or relatives who fell for the same gag. They did not even bother to check the FX market to see whether it was even possible to sell/dispose of them. So they are stuck with boxes of worthless wall coverings. One google search at the time on this issue would have netted them the Forbes article that outlined the entire scam. I guess if one scam does not get them, another will be soon be coming around the corner to catch them out.

Your cannot fix stupid.
 

·
Registered
Joined
·
8,758 Posts
There is already cloud computing for data storage, peer to peer digital financial transactions, and legal online contracts.
Care to share what peer to peer digital financial transaciton system you use to send a few cents to someone?

What great need does bitcoin or blockchains solve ?
Programmable contracts.

As to blockchain being beneficial as a "public ledger"......when did business start wanting to reveal their business to the public and competitors ?
If that's a feature you want, you can use it. If it is not, don't use it.
Businesses are already required to publicly publish their financials.

Does Walmart want to tell Canadian Tire all their business ? Do they want to reveal how much they pay suppliers for products ? Do they want to reveal their profit margins or tax bills ? Do people want their legal contracts on a public ledger ? Would people want all their purchases on a public ledger ? Their health information ? Criminal records ? It sounds an awful lot like a "big brother" concept.
No, and they shouldn't use a public ledger for those things, just like you don't put them on a billboard outside your home.

At a time when people are growing more concerned about their personal information and security, blockchains are going in the opposite direction.
That's simply wrong.
If you want privacy, use a privacy chain. Unlike cash, they don't even have serial numbers to trace.

Bitcoins, dogecoins, blockchains.......have no useful purpose to justify their extensive waste of energy.
Sure they do, and what "extensive waste of energy".
Some use lots of energy, and some do not.

You are repeating the same wrong drawingbacks.

lets take a simple one.
I can make an untracable private digital transaction with cryptocurrencies.
I can't do that with any other technology.
 

·
Registered
Joined
·
8,758 Posts
At a time when people are growing more concerned about their personal information and security, blockchains are going in the opposite direction.
Here is your argument.
The mail system is bad, when I use a postcard, people can read my information.
Blockchain is bad, when I use a publicly viewable ledger, people can read my information.

But with mail, I can put it in an envelope, then it is secret.
But with Blockchain, I can put it in a shielded transaction, then it is secret.
 

·
Registered
Joined
·
5,316 Posts
sags repeats the most basic complaints about everything year after year and never seems to learn anything. pointless rehash after rehash so I won't even bother

I can't recall any positive contribution especially about anything financial?
 

·
Registered
Joined
·
4,156 Posts
I'm not a boomer but I still don't understand why anyone would ever want to own crypto unless you're purchasing one of those cryptos that pays a yield. And even then... It's gotta end at some point.

Sure, there are some applications for it. It is not "useless", but I still can't understand why a coin or value needs to be associated with it.

How Bitcoin is the biggest just because it was the "first of it's kind" is kind of beyond me.

I don't hold any crypto. But I have friends that have tons. They tell me I'm an idiot. Some even have hundreds of thousands in it.

Good luck to them, I guess.
I just don't get it.
 

·
Registered
Joined
·
5,316 Posts
Sure, there are some applications for it. It is not "useless", but I still can't understand why a coin or value needs to be associated with it.
The easiest one to explain is paying for decentralized immutable computations. Most tokens are built on ethereum and require ETH gas fee for each transaction to pay for the nodes processing/securing the network. It's a finite commodity that also earns yield from those fees

How Bitcoin is the biggest just because it was the "first of it's kind" is kind of beyond me.
The network effect makes it the most secure - it requires the most resources to attack. The most populous and powerful authoritarian government already tried to shut it down. It is the most secure store of value with the benefit that you can take it anywhere. Imagine trying to protect wealth in Lebanon, Afghanistan, Venezuela etc

Anything that could shut down bitcoin would also shut down the current banking system. In that case we go back to physical gold (gold in some warehouse does you no good either) If treasuries allocate even 5% of their portfolio to BTC it is extremely undervalued

I don't hold any crypto. But I have friends that have tons. They tell me I'm an idiot. Some even have hundreds of thousands in it.

Good luck to them, I guess.
I just don't get it.
Thank you, I guess.

I don't believe it's the be all end all but when you see the biggest financial institutions adopting it while the government is printing fiat to pay for the endless debt spiral.. I wouldn't waste my time trying to explain it if I didn't want to help you. But I'm afraid if you still don't get it at this stage or even try to listen there's no use
 

·
Registered
Joined
·
16,574 Posts
sags repeats the most basic complaints about everything year after year and never seems to learn anything. pointless rehash after rehash so I won't even bother

I can't recall any positive contribution especially about anything financial?
Yea, I am a financial dummy so don't listen to me.

Don't listen to Warren Buffet either.......because he is a dummy too. And that Charlie Munger fella.......a dummy.

And everyone else who points out the flaws in the cryto concept.......all dummies.

And the biggest dummies of all.......the banks, the bond dealers, and the government regulators.

Good thing for you that you are smarter than all those dummies.
 

·
Registered
Joined
·
16,574 Posts
It took me from 7 to 8 figures in the last year after 10 years to save 7. I don't believe it's the be all end all but when you see the biggest financial institutions adopting it while the government is printing fiat to pay for the endless debt spiral.. I wouldn't waste my time trying to explain it if I didn't want to help you

That would explain why you are pumping it, but I seriously doubt you have earned a wealth of over 10 million dollars from it.
 

·
Registered
Joined
·
4,156 Posts
Thank you, I guess.

It took me from 7 to 8 figures in the last year after 10 years to save 7. I don't believe it's the be all end all but when you see the biggest financial institutions adopting it while the government is printing fiat to pay for the endless debt spiral.. I wouldn't waste my time trying to explain it if I didn't want to help you

But I'm afraid if you still don't get it at this stage or even try to listen there's no use
Hold on a second...

You are worth 8 figures?

As in, at least 10 million dollars?
 

·
Registered
Joined
·
16,574 Posts
Wouldn't it be a paradox to have $10 million in crypto wealth but be unwilling to convert it to fiat because you believe fiat is devolving into a worthless asset ?
 

·
Registered
Joined
·
5,316 Posts
Wouldn't it be a paradox to have $10 million in crypto wealth but be unwilling to convert it to fiat because you believe fiat is devolving into a worthless asset ?
I'm not unwilling at all. I regularly rebalance up to 20% USDC which earns good yield itself. Crypto regularly crashes 20-30% so I always keep powder ready for opportunities

I only put 6 figures into crypto but it is not uncommon to get 10-100x in crypto. I've put 7 figures into stocks so 6 figures was actually 5% to play with higher risk/reward

I'd rather have more in stocks but the opportunities just aren't there and honestly crypto turns out to be much more open and transparent once you sort the chaff
 

·
Registered
Joined
·
1,254 Posts
Wouldn't it be a paradox to have $10 million in crypto wealth but be unwilling to convert it to fiat because you believe fiat is devolving into a worthless asset ?
That's not a matter of belief -- it's a matter of fact.

It used to be that you could put your fiat into a savings account or GIC and keep up with inflation, or even come out ahead if you shopped around for good rates. Now you are guaranteed to lose to inflation. Many people are losing 3% or more on their savings.

If you want any hope of not losing money you have to invest in something. Take your pick, all assets including stocks and real estate are at nosebleed levels.

We live in a country where house prices doubling in five years is considered normal and expected. Being a millionaire nowadays doesn't even mean you're well-off. It just means you're not poor...yet.
 

·
Registered
Joined
·
8,758 Posts
I'm not a boomer but I still don't understand why anyone would ever want to own crypto unless you're purchasing one of those cryptos that pays a yield. And even then... It's gotta end at some point.

Sure, there are some applications for it. It is not "useless", but I still can't understand why a coin or value needs to be associated with it.

How Bitcoin is the biggest just because it was the "first of it's kind" is kind of beyond me.

I don't hold any crypto. But I have friends that have tons. They tell me I'm an idiot. Some even have hundreds of thousands in it.

Good luck to them, I guess.
I just don't get it.
Some Cryptocoins have no real value, because they have no real functionality (today)
The only real value is that other people want them too.
In that case mindshare is important, bitcoin is the biggest and has the biggest mindshare, so it has the most "value".

Similar for other leading coins where their current price might not reflect the actual economic value of what the platform can accomplish today (or in the likely future).

If you were to try and sell bitcoin to a random person, they might be interested, dogecoin, less interested but might know what it is. Cardano, they likely have no idea what you're talking about, despite it being one of the more interesting projects.
 
501 - 520 of 578 Posts
Top