Is Crypto Dead?

[Snarfie]

I don't see the intrinsic value of bitcoin, the consumed electricity or scarcity maybe? hardly an intrinsic value. Block chain is the only interesting feature IMO.

About 10 years ago i was tempted to buy to get a feeling with bitcoin but than we ran into the MT Gox collapse an now FTX. These were exchanges (so no third parties/banks) that IMO suppose to have margin requirements and at least clearing & settlement rules in a sort adapted crypto form. So beside that you can argue about the value of bitcoin. Your Crypto wallet for now is by far not safe even if it is on an crypto exchange.

Further more the ECB is quite far with a crypto wallet for European citizens. Probably with some safety/consistency rules whats next... Bigbrother

The Inside Story of Mt. Gox, Bitcoin's $460 Million Disaster

Tokyo-based bitcoin exchange Mt. Gox filed for bankruptcy last week, saying hackers had stolen the equivalent of $460 million from its online coffers. The news rocked the bitcoin world, and it could even bring down the much-hyped digital currency.

www.wired.com

 

[Dunring]

It's a trend and now it's gone, what a house of cards like the dot com boom/bust. An unregulated currency, not backed by anything except the word of a couple of thirty year old programmers who have never handled money before... It's the perfect plan, what could possibly go wrong? I passed on the dot com mania as my friends bought in and watched their Janice tech fund go down the tubes, hanging on until the end in hopes it would come back up. Companies that had zero profit and the herd mentality took over driving their valuations to crazy levels. Justin Beeber bought an NFT of an ape for $1.5mil and now it's worth $67,000. Glad NFT's are over with, anyone who bought a cartoon image for that kind of money has too much anyway. Maybe the artist who sold it will do something positive with it.
The good news is video card prices are coming back to Earth and people can afford to upgrade again. Been using a water cooled 980TI forever and might get a new cutting edge one depending on holiday sales prices. Mining isn't cost effective for the most part anymore. This day couldn't have come soon enough.

 

[Chromatischism]

Glad NFT's are over with, anyone who bought a cartoon image for that kind of money has too much anyway.

NFTs are definitely not "over". The new tech is finding its use cases.

It's a trend and now it's gone, what a house of cards like the dot com boom/bust.

Not gone. Overlay the charts of Bitcoin and many tech stocks. They share the same patterns with a Nov 2021 top. Why? Because it's the same people and funds investing in both.

All of this works in cycles. 2021 was not the first, or the last. Watch for the next one in 2024-25.

 

[Somafunk]

NFTs are definitely not "over". The new tech is finding its use cases.

Richie Hawtin (techno dj/Plastikman) has been proselytising and selling NFT’s for ages on Twitter, funniest reply to one of his inane ramblings was Dave Clarke (another techno dj) saying “stop schilling shit and make some fucking music otherwise just fuck off and do the scene a favour”.

 

[Chromatischism]

Richie Hawtin (techno dj/Plastikman) has been proselytising and selling NFT’s for ages on Twitter, funniest reply to one of his inane ramblings was Dave Clarke (another techno dj) saying “stop schilling shit and make some fucking music otherwise just fuck off and do the scene a favour”.

The non-fungible token has a lot of use cases. Art is an obvious one, but you need to look beyond overvalued profile pictures.

 

[Destination: Moon]

I'm investing all my free cash in Lint Futures.....and clothes dryers

 

[mansr]

NFTs are definitely not "over". The new tech is finding its use cases.

Sure, and the parrot is just pining for the fjords.

 

[Chromatischism]

Sure, and the parrot is just pining for the fjords.

It's a technology, aka a tool.

 

[JeffS7444]

The inner workings of FTX are being exposed as a house of cards; is Binance next?

 

[pseudoid]

I think we got that awakening on May 12th, but yeah.

I got mine last year in August (2021) and gladly dumped w/a smile.
I've heard it been said that Musk walked away from early offer of investing in FTX/Alameda.

 

[Blumlein 88]

The non-fungible token has a lot of use cases. Art is an obvious one, but you need to look beyond overvalued profile pictures.

Can you explain what value an NFT has? I've tried to see where it is and other than the old Tulip craze idea where tulip bulbs were briefly valued more than an equivalent weight in diamonds I don't see anything there.

 

[restorer-john]

Can you explain what value an NFT has? I've tried to see where it is and other than the old Tulip craze idea where tulip bulbs were briefly valued more than an equivalent weight in diamonds I don't see anything there.

It's only worth what someone else will pay for it, and even then, the middlemen facilitating the deal will want a cut.

 

[Destination: Moon]

Can you explain what value an NFT has? I've tried to see where it is and other than the old Tulip craze idea where tulip bulbs were briefly valued more than an equivalent weight in diamonds I don't see anything there.

Nail 2 things together that have never been nailed together before and some schmuck will buy it from you.... George Carlin

 

[Chromatischism]

Can you explain what value an NFT has? I've tried to see where it is and other than the old Tulip craze idea where tulip bulbs were briefly valued more than an equivalent weight in diamonds I don't see anything there.

Non-Fungible Token (NFT): What It Means and How It Works

NFTs are cryptographic tokens that cannot be replicated. They can be used for transactions, have created new markets, and may have more use cases in the future.

www.investopedia.com

 

[Blumlein 88]

Non-Fungible Token (NFT): What It Means and How It Works

NFTs are cryptographic tokens that cannot be replicated. They can be used for transactions, have created new markets, and may have more use cases in the future.

www.investopedia.com

NFT and associated blockchain tech would have been excellently demonstrated by the Seinfeld episode where George buys the John Voight convertible (which turned out not to be the Jon Voight) because it would act as provenance that the convertible was once owned by a famous movie star making it non-fungible vs other Chrysler convertibles and therefore uniquely special.

I would ask again that you explain the value of NFT's, but never mind. NFT tech has provenance value, but people in the example link paying millions for a digital card of some NBA player is basically what restorer-john said, it is worth what someone will pay and best I can tell beyond a tulip-mania craze there isn't any inherent value to most/nearly all NFTs.

I understand it is intended in some uses to give scarcity value to digital stuff like digital art. Digital anything is something of capitalist problem regarding ownership rights. Anything digital can be effortlessly copied in near infinite numbers. The idea of NFT tech for real estate seems okay if it is cheap, but unless the gov't recognizes it then at best a curiosity. Looks like something between a solution that cannot work for digital art and a solution looking for a problem in the real world.

 

[Chromatischism]

I would ask again that you explain the value of NFT's, but never mind. NFT tech has provenance value, but people in the example link paying millions for a digital card of some NBA player is basically what restorer-john said, it is worth what someone will pay and best I can tell beyond a tulip-mania craze there isn't any inherent value to most/nearly all NFTs.

Explain how that is different than any other item. Like in your examples: vehicles or NBA trading cards.

I understand it is intended in some uses to give scarcity value to digital stuff like digital art.

It is not really to create scarcity. It is to certify authenticity and identify unauthorized copies.

 

[theyellowspecial]

Crypto is just getting started. The question is how the fight between centralization and decentralization plays out.

 

[Blumlein 88]

Explain how that is different than any other item. Like in your examples: vehicles or NBA trading cards.


It is not really to create scarcity. It is to certify authenticity and identify unauthorized copies.

What is the difference in an unauthorized copy vs authorized with digital art?

Now I'm not advocating ignoring copyright, ownership or authorship. The point is having an unauthorized digital copy is completely and exactly the same. Having an excellent copy (or forgery) of a Monet is a different kettle of fish. There is a value difference between copies and originals of paintings that you won't have with digital art.

 

[Blumlein 88]

Crypto is just getting started. The question is how the fight between centralization and decentralization plays out.

While true it still seems to me it is a solution in search of a problem. It was intended to offer decentralized, reliable, secure, safe, convenient transactions, and low transaction costs. It has accomplished none of that other than being somewhat decentralized.

The FedNow payment service to start mid 2023 addresses most of the advantages reputed to crypto in terms of use as currency. Excepting decentralization, its usefulness for criminal activity, and the value being pegged to US Dollars. . I'm sure short circuiting the appeal of crypto currency is one of the reasons it is being introduced.

 

[Sir Sanders Zingmore]

An interesting analysis of NFTs, with a lot of background on crypto and blockchain.

Warning: its a very long video ( I found it worthwhile nonetheless)