The problem with independent money is when things go south there’s no one to go to. I’m well aware of the corruption and lack of trust in the banks and the SEC but if you can bring proof forward shit can get done. If someone rips you off in bitcoin, you’re just SOL. There’s no regulator to report the bad exchange to. There’s no government to force an exchange to follow rules. MtGOX disappears overnight and thousands of people are out their coins and there’s nothing they can do about it.
Traditionally speaking it’s only the threat of force that keeps people in line. Play by the agreed rules or we come take everything and throw you in prison. We need to make the “elites” follow this same ruleset if we really to be bound by it, and with that cash still works. Having an unregulated currency system fails for me because I know people are greedy assholes and take advantage wherever they can.
Any regulation could work both ways. And currently, the way it works highly probably would not be for your interests. At least globally. You could win a single case, but the whole system make your win useless very soon. Inflation, taxes, rent, etc - they always took everything back.
Really, crypto is not unregulated at all. It is regulated by its algorithm, not by some authority. This gives a way to create an independent currency that will be resistant to "greedy assholeness" of people. Just mathematically. Interesting that there was attempts to create unconventional currencies resistant to greed in Nazi Germany. Money you own began to loose its value if you are keep them too long. So there was no way to accumulate them and to avoid losses you had to spend them by buying goods from other people. As money change owner, countdown to the time it began to loose value started again. Being greedy with that kind of money have no sense at all. You was pushed to make them and spend them by their nature. Of course that system was not perfect, and experiment was destroyed too soon by war.
Indeed regulation can work both ways as we’ve all seen in the real world. But crypto regulated by its algorithms means is still regulated outside the control of the general user. Making up your own currency only works if other people find it useful to use. Most of us aren’t buying, trading or even using shit coins people make. There’s plenty of claims of usefulness and anonymity for various coins but as time goes on these get proven wrong.
Gold was used because it had value other than just currency. Same with silver. Bartering works because the objects or service bartered has intrinsic value in and of themselves. The paper currency most of us use is fucked with by governments and shadow cabals, but it has the security of being useful anywhere in the country it’s issued, and generally slower change in purchasing power. Crypto can be worth a lot or at least something and be worthless when you wake up the next day. We’ve tarred and feathered and beheaded politicians and rulers in the past. Someone you’ve never met online who created a shit coin and ran off with the useful money is much harder to bring to that, ahem, special justice.
But crypto regulated by its algorithms means is still regulated outside the control of the general user.
Outside any control of anybody. Just like a physics law. It is much better than any other currency.
Most of us aren’t buying, trading or even using shit coins people make.
That is because its algorithm have fundamental flaws, like long transaction time, big transaction costs, etc. Once that flaws would be fixed, most people will prefer it at least over over bank accounts.
Don't forget, that current cryptocurrencies is just a beta version. And even first beta version with all its bugs and problems gain enormous popularity. That means there is a huge demand for an independent currency.
There’s plenty of claims of usefulness and anonymity for various coins but as time goes on these get proven wrong.
That was never proved worng. Crypto is clearly usefull as a way to avoid government control and it is really anonymous, since you don't need any documents and approval to create an account. Crypto is traceable, but anonymous. Traceability does not mean lack of anonymity. It is different things.
Crypto can be worth a lot or at least something and be worthless when you wake up the next day.
Just like any other currency. Gold/silver could be just prohibited for personal owning, like plutonium. And that's all. Since it is physical object, so you will be caught and jailed immidiately if you will try to use it.
However, crypto can't be instantly made worthless by any government. That is why it is still worth something. That is one of the unique property of crypto that makes it valuable.
Someone you’ve never met online who created a shit coin and ran off with the useful money is much harder to bring to that, ahem, special justice.
Creator of shitcoin can do absolutely nothing with your coins. He can do nothing with coin network, since it grow out to other people. You could easily ignore him and use your coins as you wish. You even could take his code and run your own instance of network, completely independent. That's the point.
As for "run off" - just don't be so dumb and don't transfer your coins from your own wallet to any shitty exchange or service you don't trust. You don't give your cash to a stranger promising something, so why you do it with your crypto? Who force you to create "your" wallet on some shitty services instead of your own PC? If your crypto wallet with coins is not on your own computer - it is not your wallet. Just like cash. Nobody can run off with your coins if you don't give them out willingly by yourself.
Sorry but I feel you missed a few things with this reply.
First you say the algorithm is the regulation, but then you go on to talk about how the shit coins have flawed algorithms. You also address the long wait times and cost per transaction, thank you for your honesty and genuine intellectual approach to them. These are huge issues that require fixing for as you say this beta version.
Gold and silver could drop to zero as a currency but they haven’t totally lost value. My electronics can still be plated in the gold for corrosion resistance. My water blocks in my computer can be silver coated for thermal transfer. My gold can be turned into ear rings and bracelets and traded for a cow. My silver can burn melted and made into silver bullets in case my mother in law gets a little werewolfy. In their natural as is state, they have a use. And therefore a value. Crypto does not. It replaces a different currency, adds the value of ease of online and therefor global transactions, and some claim true anonymity. But the bitcoins only value is as a currency. It’s worth X USD. Convertible to your fiat of choice as well, but taking it out of wherever tends to require a fee. If you can even get it out.
I have friends trading coins on online markets, I’ve stayed out of that. Not going to say their experience is the same as everyone’s but I honestly got tired of listening to the bragging over some huge deals and the bitching over the losses, the pump and dumps, whale watching, movements at 3am, you name it. Plus all these coins are only increased in value when people buy them with either fiat currency from one nation or other, or with a different coin that was either purchased with again fiat or mined at great cost of electricity which is still having its bill paid in fiat. Very few self sustaining power plant based crypto mining facilities out there.
As for the “run off” part I’m referring to people who create then push a shit coin, get early adopters and people to invest, claiming high value and future speculation, then when they have enough money soaked, drain the value through their chosen method and leave everyone else holding the bag full of worthless shit coins. These situations do nothing to remove the Ponzi scheme look for a lot of crypto’s. Mark Cuban famously lost millions in crypto not that long ago, and there’s many other such cases but this is a comment not an essay and i don’t want this to be too long to ever read.
Lastly storing your crypto offline on a wallet on a hard drive in your physical possession. Great. Kinda like hoarding physical gold and silver, in your house. Except the precious metals may decay a few protons but still be there for 10000 years. I’ve had hard drives fail. Two within a month of each other(never buying Seagate again because of it, personal choice due to it pissing me off that much. Was my main computer running 2 drives, both purchased the same day.) People have accidentally lost their drives with their wallet, drive internals fail, solder joints crack, etc. It’s much less secure than a home vault or even a wall safe hidden behind grannies portrait.
To most of us, crypto simply feels like online stocks, with extra steps, and a few more headaches. Sure bank notes have serial numbers but 99% of us never care. An old farmer can give me 5 $20, i give 4 to a pot dealer, who spends one at 7/11, and each time even though the bill is traceable no one records the serial number or even cares. As long as it’s not a fake bill, it’s handed over and transaction done.
The problem with independent money is when things go south there’s no one to go to. I’m well aware of the corruption and lack of trust in the banks and the SEC but if you can bring proof forward shit can get done. If someone rips you off in bitcoin, you’re just SOL. There’s no regulator to report the bad exchange to. There’s no government to force an exchange to follow rules. MtGOX disappears overnight and thousands of people are out their coins and there’s nothing they can do about it. Traditionally speaking it’s only the threat of force that keeps people in line. Play by the agreed rules or we come take everything and throw you in prison. We need to make the “elites” follow this same ruleset if we really to be bound by it, and with that cash still works. Having an unregulated currency system fails for me because I know people are greedy assholes and take advantage wherever they can.
Any regulation could work both ways. And currently, the way it works highly probably would not be for your interests. At least globally. You could win a single case, but the whole system make your win useless very soon. Inflation, taxes, rent, etc - they always took everything back.
Really, crypto is not unregulated at all. It is regulated by its algorithm, not by some authority. This gives a way to create an independent currency that will be resistant to "greedy assholeness" of people. Just mathematically. Interesting that there was attempts to create unconventional currencies resistant to greed in Nazi Germany. Money you own began to loose its value if you are keep them too long. So there was no way to accumulate them and to avoid losses you had to spend them by buying goods from other people. As money change owner, countdown to the time it began to loose value started again. Being greedy with that kind of money have no sense at all. You was pushed to make them and spend them by their nature. Of course that system was not perfect, and experiment was destroyed too soon by war.
Indeed regulation can work both ways as we’ve all seen in the real world. But crypto regulated by its algorithms means is still regulated outside the control of the general user. Making up your own currency only works if other people find it useful to use. Most of us aren’t buying, trading or even using shit coins people make. There’s plenty of claims of usefulness and anonymity for various coins but as time goes on these get proven wrong. Gold was used because it had value other than just currency. Same with silver. Bartering works because the objects or service bartered has intrinsic value in and of themselves. The paper currency most of us use is fucked with by governments and shadow cabals, but it has the security of being useful anywhere in the country it’s issued, and generally slower change in purchasing power. Crypto can be worth a lot or at least something and be worthless when you wake up the next day. We’ve tarred and feathered and beheaded politicians and rulers in the past. Someone you’ve never met online who created a shit coin and ran off with the useful money is much harder to bring to that, ahem, special justice.
Outside any control of anybody. Just like a physics law. It is much better than any other currency.
That is because its algorithm have fundamental flaws, like long transaction time, big transaction costs, etc. Once that flaws would be fixed, most people will prefer it at least over over bank accounts.
Don't forget, that current cryptocurrencies is just a beta version. And even first beta version with all its bugs and problems gain enormous popularity. That means there is a huge demand for an independent currency.
That was never proved worng. Crypto is clearly usefull as a way to avoid government control and it is really anonymous, since you don't need any documents and approval to create an account. Crypto is traceable, but anonymous. Traceability does not mean lack of anonymity. It is different things.
Just like any other currency. Gold/silver could be just prohibited for personal owning, like plutonium. And that's all. Since it is physical object, so you will be caught and jailed immidiately if you will try to use it. However, crypto can't be instantly made worthless by any government. That is why it is still worth something. That is one of the unique property of crypto that makes it valuable.
Creator of shitcoin can do absolutely nothing with your coins. He can do nothing with coin network, since it grow out to other people. You could easily ignore him and use your coins as you wish. You even could take his code and run your own instance of network, completely independent. That's the point.
As for "run off" - just don't be so dumb and don't transfer your coins from your own wallet to any shitty exchange or service you don't trust. You don't give your cash to a stranger promising something, so why you do it with your crypto? Who force you to create "your" wallet on some shitty services instead of your own PC? If your crypto wallet with coins is not on your own computer - it is not your wallet. Just like cash. Nobody can run off with your coins if you don't give them out willingly by yourself.
Sorry but I feel you missed a few things with this reply. First you say the algorithm is the regulation, but then you go on to talk about how the shit coins have flawed algorithms. You also address the long wait times and cost per transaction, thank you for your honesty and genuine intellectual approach to them. These are huge issues that require fixing for as you say this beta version.
Gold and silver could drop to zero as a currency but they haven’t totally lost value. My electronics can still be plated in the gold for corrosion resistance. My water blocks in my computer can be silver coated for thermal transfer. My gold can be turned into ear rings and bracelets and traded for a cow. My silver can burn melted and made into silver bullets in case my mother in law gets a little werewolfy. In their natural as is state, they have a use. And therefore a value. Crypto does not. It replaces a different currency, adds the value of ease of online and therefor global transactions, and some claim true anonymity. But the bitcoins only value is as a currency. It’s worth X USD. Convertible to your fiat of choice as well, but taking it out of wherever tends to require a fee. If you can even get it out.
I have friends trading coins on online markets, I’ve stayed out of that. Not going to say their experience is the same as everyone’s but I honestly got tired of listening to the bragging over some huge deals and the bitching over the losses, the pump and dumps, whale watching, movements at 3am, you name it. Plus all these coins are only increased in value when people buy them with either fiat currency from one nation or other, or with a different coin that was either purchased with again fiat or mined at great cost of electricity which is still having its bill paid in fiat. Very few self sustaining power plant based crypto mining facilities out there.
As for the “run off” part I’m referring to people who create then push a shit coin, get early adopters and people to invest, claiming high value and future speculation, then when they have enough money soaked, drain the value through their chosen method and leave everyone else holding the bag full of worthless shit coins. These situations do nothing to remove the Ponzi scheme look for a lot of crypto’s. Mark Cuban famously lost millions in crypto not that long ago, and there’s many other such cases but this is a comment not an essay and i don’t want this to be too long to ever read.
Lastly storing your crypto offline on a wallet on a hard drive in your physical possession. Great. Kinda like hoarding physical gold and silver, in your house. Except the precious metals may decay a few protons but still be there for 10000 years. I’ve had hard drives fail. Two within a month of each other(never buying Seagate again because of it, personal choice due to it pissing me off that much. Was my main computer running 2 drives, both purchased the same day.) People have accidentally lost their drives with their wallet, drive internals fail, solder joints crack, etc. It’s much less secure than a home vault or even a wall safe hidden behind grannies portrait.
To most of us, crypto simply feels like online stocks, with extra steps, and a few more headaches. Sure bank notes have serial numbers but 99% of us never care. An old farmer can give me 5 $20, i give 4 to a pot dealer, who spends one at 7/11, and each time even though the bill is traceable no one records the serial number or even cares. As long as it’s not a fake bill, it’s handed over and transaction done.