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(And yes it's an expert opinion, because I actually worked in cryptography research and high-tech ventures)
Expert opinion is still an opinion lol

If we have learned anything in the past few years it's that experts know far less than they'd have us believe

There are so many examples of experts getting blindsiding by disruption
 

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In all seriousness, I think this crypto stuff has been a kind of fever dream of the last 5 years and in a few years, many are going to ask themselves -- what the HECK was I thinking?
...yep.

I dabbled in crypto many times and I understand what I would say is 99% of it.

But even still... I think the coins are just useless.

The technology is great and it can do wonderful things in the future. But you don't need a coin with some arbitrary value backed by nothing to use the technology.

My friends still call it "investing" and they "buy the dip" because the crypto will do well (according to them). But they don't know this. It is blind emotions. The fact is that the coins are useless and represent basically nothing except for a volatile store of value (which in and of itself, makes the store of value part useless).

There is, of course, always money to be made.
 

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Discussion Starter · #1,043 ·
There is, of course, always money to be made.
Sure, you can make money, just like people make money gambling in penny stocks. There were depressed energy stocks that have gone up nearly 10-fold since the pandemic started.

I don't dispute there are trading opportunities and speculation can make money.
 

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Sure, you can make money, just like people make money gambling in penny stocks. There were depressed energy stocks that have gone up nearly 10-fold since the pandemic started.

I don't dispute there are trading opportunities and speculation can make money.
Funny you mention pennies.

I actually wrote that in my original post but deleted it before posting. 🙃
 

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Discussion Starter · #1,045 ·
Funny you mention pennies.

I actually wrote that in my original post but deleted it before posting. 🙃
Ha! Well I see a lot of similarities between crypto securities and penny stocks.

One hears stories about penny stocks. My coworker claims that his cousin made a million bucks in a penny stock and retired early. Meanwhile, my aunt lost all her money in a penny stock back in the 1990s. Her penny stock was all the rage, discussed by everyone at the office, and she thought she'd get in since everyone at work was doing it.

Sounds familiar don't it.
 

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Sounds familiar don't it.
The people who fomo into hype late only because the price has already gone up are the ones who lose money

People who do the research and buy long before the hype are the ones who sell to them. Crypto was very quiet for a few years and that's where people made big money

Markets are markets and humans are humans. I wouldn't buy a house in the current market for the same reason
 

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Ha! Well I see a lot of similarities between crypto securities and penny stocks.

One hears stories about penny stocks. My coworker claims that his cousin made a million bucks in a penny stock and retired early. Meanwhile, my aunt lost all her money in a penny stock back in the 1990s. Her penny stock was all the rage, discussed by everyone at the office, and she thought she'd get in since everyone at work was doing it.

Sounds familiar don't it.
You posted on here that you bought BTC precisely at the peak of the 2017 bull run.

Here is a 10 year logarithmic chart of BTC with that moment circled. Even then it only took 3 years to recover and it's still far from hitting that peak again. Nobody who bought and held BTC for a few years is losing money. To lose you have to fomo in to the peak and panic at the bottom with no conviction

I assume you understand what a log scale is and that no penny stock has a 10 year chart anything close to this
Atmosphere Azure Black Font Slope
 

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UST hit .30 this morning. LUNA has collapsed 97% from its cosmic rise to the top 5

Sounds like UST's reserve isn't sold off automatically to maintain its peg. A true algorithmic stablecoin needs a fully automatic reserve mechanism

LUNA in known to be mostly backed by VC insiders and not decentralized at all. This looks like it could be a coordinated attack to show its flaws.

Do Kwon had been very vocal/gloating lately and certainly wasn't making friends. Now it's all over just like that
Slope Plot Rectangle Font Parallel


I would put the other chains that are mostly red on this chart in a similar bucket. Centralized VC chains
Product Font Line Circle Screenshot
 

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@sags
Just a question, where can I get these secure trusted servers?
Pretty much every country has suffered significant hacks, and recently Costa Rica has massive country wide outtages.

I'd suggest that since there is no such thing as a truly secure server, we should assume every server is potentially compromised and switched to a more modern zero trust system.
 

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The Chinese hacked our credit reporting agencies in 2017. Our SSN or SIN numbers were never intended to be our government ID and are notoriously lacking

Decentralized IDs are coming. California is already adopting DIDs. It's just a matter of who will deliver the system we will adopt. There will probably be many interchangeable systems just like we all have many "internet" logons.

Instead of "login with" google, apple or facebook account.. web3 will be connect your ethereum, cardano or algorand wallet
 

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The crypto world runs on servers and the internet, so the crypto exchanges and apps just create yet another layer of insecurity.

Security breaches most often occur at entry points on individual servers. Creating millions more possible entry points isn't a very good solution.

The lack of high level security on individual computers with access to networks as in the defi world, is a big concern for digital security experts.

Of course, I am relying on information I have read from security experts.

It would probably be wise to ask James4beach the question as I believe that is in his field of work and expertise.
 

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The crypto world runs on servers and the internet, so the crypto exchanges and apps just create yet another layer of insecurity.
You miss the point, they don't rely on the servers being secure anymore.
That's the key point, with crypto you don't need to trust that the "bank" is secure, because you're not trusting them with any money.
 

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It would probably be wise to ask James4beach the question as I believe that is in his field of work and expertise.
@james4beach says he works with cryptography. That is just one piece of the puzzle.

It's like saying a Proctologist is also a Gynecologist. Although they are somewhat similar.. they are very different fields of expertise.. An expert by definition is not a generalist. Although james understands finances quite well and I believe he also understands the concept of decentralization. I think he has all the general skills to understand it

He just seems to have a very risk averse investment strategy that doesn't jive with all the scams and risks that come with such a disruptive technology. He also seems to be very hands off which would not work well with digital assets. Everyone has different strategies and risk tolerance. Investing in the internet in the 90s was very risky

I just got tired of my responsible traditional assets being manipulated and I believe many will see the light eventually (those with the appropriate time horizon)
 

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The lack of high level security on individual computers with access to networks as in the defi world, is a big concern for digital security experts.
Name 1
really, find any competent security expert who thinks this is a big concern.

Of course, I am relying on information I have read from security experts.
Go ahead name them.
Cite the information you've read.

I'd bet it is simply ignorant pieces from people who don't understand the technology.

It would probably be wise to ask James4beach the question as I believe that is in his field of work and expertise.
James isn't the one making silly unsupported claims.

The one thing that crypto detractors have is they confuse a lot of different ideas together in a way that doesn't really fit.
For instance, you think an individual insecure computer has widespread impact. With blockchain the impact is ONLY on that single computer.

This is the improvement that blockchains bring about. Under old server focused systems a single insecure server can cause problems, because other computers likely trust it, so it spreads.
With blockchain technologies you don't trust the servers, so an corrupted server is easily identified and safely ignored.
 

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It's interesting watching coinbase's stock price right now. I think there's a lot of artificial downward pressure from speculators, but also a lot of people genuinely getting out of dodge.
 

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Name 1
really, find any competent security expert who thinks this is a big concern.


Google "defi security risks" and pick the authors and content you believe is trustworthy, unless you believe they are all untrustworthy.
 

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That's the key point, with crypto you don't need to trust that the "bank" is secure, because you're not trusting them with any money.
This is only indirectly related to the "security" issue:


Because custodially held crypto assets may be considered to be the property of a bankruptcy estate, in the event of a bankruptcy, the crypto assets we hold in custody on behalf of our customers could be subject to bankruptcy proceedings and such customers could be treated as our general unsecured creditors
...but it should be reasonable to infer that assets held custodially are also at risk from the companies security policies and practices too.
 

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Discussion Starter · #1,059 ·
"Stable coins" are crashing. People are waking up from the fever dream.

It's a scam guys. I've told you since my first post on this topic... the whole crypto space is a scam (of varying forms).

There will be many years of criminal prosecution as the DoJ has recently stepped up investigations and enforcement of crypto operators. And when you look at something like a "stable" coin, what you don't see is the incredible leverage behind the scenes.

Many of the "innovators" and "entrepreneurs" involved in crypto and DeFi are con men and scam artists. During a tech bubble, people like this can get away with a lot because their techno-babble confuses others and people think... maybe there really is something to this. I know this because I've interacted with these "entrepreneurs" in my professional work. Our lawyers used to go over each one of the entrepreneurs we encountered, rejecting each one.
 

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really, find any competent security expert who thinks this is a big concern.


Google "defi security risks" and pick the authors and content you believe is trustworthy, unless you believe they are all untrustworthy.
I did google, didn't find it, that's why I'm asking you to show it.
The biggest crypto risks are
1. Giving away your password.
2. Giving your money to someone who is untrustworthy.

This is only indirectly related to the "security" issue:
..Coinbase link..
Yeah, if you give your stuff to someone who isn't secure or trustworthy, you have a problem.
That's the whole point of NOT giving your money to these guys.
 
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