Tether will be the big failure which causes the entire ecosystem to unwind IMO. The market cap is now declining rapidly from an insane 83B.
A good example of an unregulated market. Has anyone seen Tethers billions of dollars which are supposed to back the project.
Btc = $6k == I feast
Down 99.95% in less than a year.
Wow that is a big drop if they get it for that.
Quite a big move.
Fork day tomorrow. Are we to expect anything exciting to happen?
Just hoping all of the ETH in the world doesn’t vanish Neil!
I’m expecting any rise to be short lived given the wider macro environment…but think long term it will be a great move for Ethereum
A good article for those who think FT should avoid crypto at all costs but assume the VC’s desperately want the sweet profit from having the option on FT.
I don’t think there is anything wrong with Cryptocurrency per se it’s the poor management of the crypto exchanges.
Regulation will come; it will clean up the industry and crypto will have another boom. Might take several years though.
(Just my humble opinion before all the haters jump on me).
I think that is the whole point of the article, it is a wild west at the moment with little to no regulation. Whales manipulate markets meaning retail are just lucky if they are up at any time. This is why I dont get FT wanting crypto when their ethos they like to bang the drum about doesnt really match the crypto world.
Crypto definitely has a future but most coins will disappear before the regulation etc makes it more stable and safer. Problem is, when you get to that stage the huge gains potential will lower and be less attractive to the gambling crypto crowd.
Just saw this posted on etoro.
𝗛𝗼𝘄 𝗺𝗮𝗻𝘆 𝗺𝗼𝗿𝗲 𝘀𝗰𝗮𝗺𝘀? How many more scams will it take for people to stop wasting their money on cryptocurrencies? Before I get attacked, let me give you a little background on me. I am a Software Engineer and have worked closely with people who contributed to block chain technology, while I personally also worked on very related topics in privacy and security using peer-to-peer networks. I have been involved in this space since 2012. I have also worked in a high frequency trading firm where we were market making for cryptocurrencies in Binance and other leading exchanges. So I know what I am talking about when it comes to block chain, crypto currencies, exchanges and trading. Block chain is greatly misunderstood. It is a beautiful invention and has great utility in some niche areas, but it is not a universal technology like say a database and it’s not going to revolutionize everything. The problem that it solves is that it removes a single point of failure in some systems. For example, in banking a bank is a central system which keeps track of all transactions of digital currency. But the bank is a single point of failure prone to hacking, disasters, government control and corruption. Block chain instead is a distributed peer-to-peer database which is resistant from such failures. To make an entry in the blockchain a majority of the participants should acknowledge and record the entry in their own copies of the database. It is really hard to hack or control so many independent peers. Once an entry is added to the database, it cannot be undone. Here come in crypto currencies. They are tokens which can be traded and transactions will be recorded on the block chain. In case of $BTC, people who contribute their compute resource to be a part of the p2p network are rewarded with these tokens when they acknowledge transactions. But what gives value to these tokens? They provide a crucial utility. They can be traded without any restrictions*. Now it’s hard to imagine why that capability is of any value. Most of us are happy with our current arrangement where we use credit cards to buy all kinds of stuff online, knowing well that our spending habits and order history is sold to advertisers and other questionable entities. In a apocalyptic dooms day scenario, it can be used to move your assets to prevent corrupt governments from seizing it. It is also a hedge against the economic system which may collapse due to hyper-inflation. It also has value for certain nefarious entities and people who want want to bypass economic sanctions, buy things like drugs and weapons, maybe something a little less menacing like pornography or pirated IP. Now that we’ve discussed what it is, its time to discuss what it isn’t. * It is not meant to replace the fiat currencies. * Our economies work on credit. You save your money in a bank, which loans the same money out to someone else. At this point the same money shows up in both of your accounts. As long as the banks remain diligent and the debtors pay back their loans this system works pretty well. You cannot do this with crypto currency without introducing central authorities like banks which make it prone to the same problems as fiat currencies, so you gain nothing. * Wealth in capitalist economies tends to flow to the richest and the ability to print money is an important lever in the hands of the government to distribute wealth among the poor. Imagine what would happen to the poor, if the government wasn’t able to give unemployment benefits and subsidies during COVID. If currency supply was fixed, eventually all of it will land in the hands of a few and we will have to bear with French revolutions across the world every few decades. * It is not immune to human greed; nothing is. * When you trade crypto currencies, your transactions are not recorded on the block chain. In fact you are transferring your crypto currencies to the exchange. You then trade these currencies but the transactions are recorded in (WAIT FOR IT…) a central database. Meanwhile the exchanges are free to trade your cryptocurrencies in a bigger exchange. Because of lack of regulations this system is in fact more prone to scams than stock markets. * Some people made a lot of money by selling cryptocurrencies in time. You were a fool to still hold them, and are looking for an even bigger fool to hand it over too. Human greed knows no end and you will eventually find a bigger fool, but at least if you understand the game maybe you can play it better. * Not all crypto currencies are same. * Unfortunately there are a lot of shit coins today. Some popular coins like $XRP are not in fixed supply and can be created by a single entity at will in unlimited supply. Buying this is a bad idea from the get go. A good crypto currency should have some built-in supply limit or at least a production limit.
Could a lot of Crypto exchanges be just swapping monies about, and the whole thing is built on a house of sand?
(its not related, but the youtube/patreon thing feels like the same… they’re all supporting each other, with the idea of fishing a few others to throw money in which joins that scheme - the internal money just swirls, and they’re just taking out new suckers)