Is Crypto Dead?

[Ron Texas]

@Gorgonzola the use of bitcoin as a medium of exchange is impeded by high transaction costs and volatility. At least with fiat currencies it's legal tender for all debts. Of course it's possible to screw things up by printing too much money.

 

[artburda]

Tangential but this is a very good critique and deep explainer of NFTs

(don’t be put off by the length, it’s worth it)

I‘m only half way through… WTF?!? What‘s going on out there in these online communities? It‘s completely insane. I wasn‘t aware that we‘re living in the twilight zone.

 

[Somafunk]

Looks like the sh*t is about to hit the fan, burry has been right far too many times before to bullishly discount what he says

 

[Ron Texas]

Bitcoin after briefly going below $18,000 this weekend has crawled back over $20,000. Some technical analyst wrote it will take many years to recover to it's previous high which was over $68,000. Iran has temporarily suspended bitcoin mining due to seasonal electricity shortages.

 

[tifune]

Bitcoin after briefly going below $18,000 this weekend has crawled back over $20,000. Some technical analyst wrote it will take many years to recover to it's previous high which was over $68,000. Iran has temporarily suspended bitcoin mining due to seasonal electricity shortages.

Did the analyst specify anything more than "many years"? Historically it's hit a new high within 3 years of a low. Pretty terrible chart below, but since we're all used to thinking in dB should be no problem

It's not something I follow closely anymore, but I do agree with the majority of your points. If the volatility can't be ameliorated, mass adoption is basically DoA. I *think* the Lightning integration brought the fees down quite a bit, though.

That said, "...blood in the streets" so I bought some at $19k.

 

[Blumlein 88]

You cannot keep a bad idea down. Not when greed is involved. Like the video posted earlier. The line goes up.

 

[MattJ]

I look at crypto now the same way I look at self driving cars - a good idea, but something I'm not yet willing to try myself.

 

[Blumlein 88]

I look at crypto now the same way I look at self driving cars - a good idea, but something I'm not yet willing to try myself.

Except it isn't a good idea.

 

[tw 2022]

anything backed by nothing is never a good economic investment..

 

[Lbstyling]

This afternoon Bitcoin dove below $20,000 and Etherium is below $1,000. It's been a tough year for stocks (except oil companies) and bonds too. I don't think the world is falling apart, but most days it feels that way.

So, is crypto dead? It's probably below the level where mining it is profitable.

As someone who was mining in 2013/14. Quietly, Yes.

Inflation and interest rates will as good as end it.

 

[valerianf]

Just remember how the1637 Tulip mania ended.

Tulip mania - Wikipedia

en.wikipedia.org

All these virtual fashion high price products (digital coin, ETF...) are in fact not more valuable than a tulip bulb.
There is no real collateral value.

The only real world interest in digital coin is easing dark payment by mafias and spy agencies.
There is no need anymore to send luggage full of dollar bills to pay an illegal operation.

 

[Steven Holt]

Personally, it would be fine by me if if died. Objectively, crypto is not dead, but it is going thru a brutal re-evaluation that will eventually reflect a much more realistic price. Crypto speculators are going to lose their ass, as they should. I strongly advise NO ONE to invest in any digital currency until the market shakes this out. Remember this : if the original investors are selling, it makes absolutely no sense for you to be buying.

 

[JeffS7444]

I don't understand the crypto currencies other than they seem mostly a speculative vehicle, and there really isn't much coin in bitcoin in the sense of real transactions.

I think you are understanding it perfectly.

 

[Count Arthur]

anything backed by nothing is never a good economic investment..

Presumably you don't keep dollars, euros, pounds or any of the other central bank issued FIAT currencies that no longer have any intrinsic value.

Fiat money - Wikipedia

en.wikipedia.org

 

[MattJ]

Except it isn't a good idea.

I'm not arguing that current implementation is good - quite the opposite. But anything that (in theory) can take power away from banks is not something that I would reject out of hand. But crypto (like self driving cars), as is, is not good.

 

[Blumlein 88]

I'm not arguing that current implementation is good - quite the opposite. But anything that (in theory) can take power away from banks is not something that I would reject out of hand. But crypto (like self driving cars), as is, is not good.

Case of the cure being worse than the disease.

 

[mansr]

Presumably you don't keep dollars, euros, pounds or any of the other central bank issued FIAT currencies that no longer have any intrinsic value.

Fiat money - Wikipedia

en.wikipedia.org

Those are backed by entire national (and beyond) economies and managed by reasonably competent central banks. That is where their value derives from.

 

[tw 2022]

Presumably you don't keep dollars, euros, pounds or any of the other central bank issued FIAT currencies that no longer have any intrinsic value.

Fiat money - Wikipedia

en.wikipedia.org

ok first. .. currency is backed, by govts and banks... i'm not even going deeper than that , it is just so..secondly everything monetary has *some* risk, that is just so.. you have just completely devalued the difference between an acceptable risk and being stupid...i understand that people make money on bad risks all the time , generally at the expense of others...it's *the blind squirrel finding an acorn* dynamic...

 

[tw 2022]

As someone who was mining in 2013/14. Quietly, Yes.

Inflation and interest rates will as good as end it.

i tend to agree.. but we could be wrong

 

[pseudoid]

I have zero clue about investing and finances. I had enough money in my piggy-bank that was about to be 'invested' in some expensive floor-standing speakers.
The planets were properly aligned at the time, as I was learning crypto-currency lingo and Ethereum stood out over all the other fiats on the market.
Next thing you know, I was awash in ROI within 5 months and instead of getting more greedy and hanging on to it I sold it, before the planets became unglued from each other.
Yeah, I was smiling all the way to the bank and on the way back home as well!
Bada Bing, Bada Bang and a cha-chink!
Yet, I still know jack about investing but won't dabble in bit-coinage ever again!

Moral of the story is that "timing is everything" and "greed breeds tears"!