Cryptocurrencies are a massive fraud

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GusTheCrocodile wrote:

Hey look completely unrelated, but I invented a machine that wastes ridiculous amounts of energy for no reason. If you pay me money, I'll tell you that some of it was wasted on your behalf. Who wants in?

Gosh, sounds neat. How much?

Only $40. Wait sorry, $45. No, $60. $54? $2.50? $180? $8? Thirteen cents?

Just as a side note: DeFi100 just recently did an exit scam and ran away with $32 million in investor funds.

Their website was updated with a note:

'We scammed you guys, and you can’t do shit about it. HAHA. All you moon bois have been scammed and you cant do shit about it'

To be honest, I'm not even sure whether I really symphatize that much with greedy, rich, gullible people and their lost money.

Like already stated anyone can create crypto and it is more than likely that some of these projects will be scam attempts to steal investor's money. It is an unregulated mess.

It will never be used as real money as it fluctuates all over the place. The main reasons people buy it, is to get rich as quickly as possible or they see it as an asset to fight inflation, labeling it as 'digital gold'. And some will become rich except for the last, biggest fools who will not be able to sell it to anybody. It is currently worth what the biggest fool is willing to pay for it.

To quote a recent statement of Geert Noels, a Belgian economist:

"Bitcoin is really well designed. It is a high technological perfected ponzi cheme. It can increase in value for several decades although it is worth intrinsically nothing."

To quote a myself, a statement of Lachdanan, a local forum Hatepreacher:

"Money is really well designed. It is a highly medival perfected ponzi cheme. It can increase in value for several millenias although it is worth intrinsically paper. Its backed by a government and billions of stupid willing to die for its concept."

Unlike the recent entertainment trends, yes my brother just right now made me laugh when he entertained me with the question if i knew "where he could buy digital "currency*" ".
What i find more troublesome is the toying around with reallife money, to be precise i´m asked to spend money i don´t have to accomodate the feelings of animal-welfareists to improve the livingconditions of human food, and i have to pay 60% of what the welfareists want to put into law, which makes me question if i´m even allowed to make my own financial decisions in this field of work and if its worth to nurture that many humans.
Maybe i just have more homegrown food to sit that discussion out than those theoretical lawmakers and its solving itself.
What sane Hivemind would suggest to create less food for itself.

https://www.youtube.com/watch?v=jFp86n7QCf0


https://www.youtube.com/watch?v=iomRREashI0


https://www.youtube.com/watch?v=y--7HycnXF0


Some comments pulled from the followers of those non-technical crypto priests:





Says enough really ...

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Lachdanan wrote:

"Money is really well designed. It is a highly medival perfected ponzi cheme. It can increase in value for several millenias although it is worth intrinsically paper. Its backed by a government and billions of stupid willing to die for its concept."

Christianity condemned usury and profit during Medieval times. The Quran also forbids lending money on interest.European nobility relied on court Jews to do their financial accounting.

The first modern banking systems arose during the Italian Renaissance in rich cities as Florence, Venice and Genoa. The earliest paper contracts might be traced back to Medieval trade fairs where moneychangers issued documents redeemable at other fairs, in exchange for hard currency. These bills made it possible to transfer large sums of money without the complications of hauling large chests of gold and hiring armed guards to protect the gold from thieves.

With the uprising of Calvinism and by inventing legal court fictions, to get around the ban on usury, Christians also gave rise to powerful banking families such as Peruzzi, Bardi and Medici. By the later Middle Ages, Christian Merchants who lent money with interest were without opposition, and the Jews lost their privileged position as money-lenders.

The first paper banknotes were issued in 1695 by the Bank of England.
The establishment of the Bank of England, the model on which most modern central banks have been based on, was devised by Charles Montagu, jewish of origin and 1st Earl of Halifax, in 1694.

The history of currencies -and the thought process attributed to it- is indeed intriguing. It's no wonder people get fooled by cryptocurrencies, since most people don't understand how more traditional, central bank backed currencies function, either. Even many economists have false conceptions on the subject matter.

I mean, sure, if Bank of England or US central bank decided to pull the plug, monetary system would pretty much collapse. So in a sense it's a 'scheme'. However, in the end value of US dollar for example is backed by immense economic power of the entire country, with a government able to set taxes, royalties etc. In fact, US government has a sort of monopoly on its sovereign power, which means it can't really go bankcrupt in the more traditional sense. This, by the way, is a common misconception on how sovereign countries operate: that if they lend too much money, they will go 'bankcrupt' and become 'insolvent'. That is a false parallel.

Of course, a national economy can become ruined for several reasons. In Germany it required lost war and punitive war reparations to ruin German mark. Talking about runaway inflation often forgets the surrounding facts, such as actual occupation of the country or some very real internal disorder (often associated with conflict or governments inability to retain control anymore) such as events seen in Zimbabwe.

But then again, if for example US government lost it's ability to keep internal order or to enforce domestic laws, the value of dollar would be the least of troubles ensuing, so there's that. That's why I'd say it's a bit misleading to call fiat currencies 'a ponzi scheme'. Besides, whether you bind currency value to arbitrary amount of metal or not doesn't make the value itself any more or less arbitrary (remember -it wasn't a pile of gold hidden somewhere which makes US dollar have value, but the sovereign power of US government). I'd personally go further on saying gold bugs driving gold value up are doing the same exact imaginary thing for gold that they think they are trying to escape, or which at least they pretend to be overcoming. Sure, there's some instrumental value with gold as a metal. But I wouldn't be betting it is nowhere near where its market value points at, which is it's perceived value.

Cryptocurrencies are a whole another story. Their sovereignty rests with shady dealers, opaque companies based on Fitzi Island and plain money launderers. Even if I'm not a big admirer of US government, I'd pretty easily bet my savings on it's sovereign power of maintaining internal control of the country rather than Ignacio de Cicciolino sitting in his office -gods know where- with his homies and homebrew hackers. You wouldn't know under which jurisdiction they operate at all.

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vmt80 wrote:

Just as a side note: DeFi100 just recently did an exit scam and ran away with $32 million in investor funds.

Their website was updated with a note:

'We scammed you guys, and you can’t do shit about it. HAHA. All you moon bois have been scammed and you cant do shit about it'

To be honest, I'm not even sure whether I really symphatize that much with greedy, rich, gullible people and their lost money.

Envious much?

Anyway, all that actually happened was their website got hacked.