cryptocurrency

[jenny1001]

I would like to ask everyone’s opinions on cryptocurrency

 

[CaffeineAddict]

Cryptocurrency is IMO used to purchase criminal activities, guns, drugs etc.
It's also used on sites such as odysee to pay video artists for their work.

Overall I don't need it for these things.

Cryptocurrency is also bad for national currencies and banks and is one reason why governments around the world don't legalize it.

 

[Vimmer]

I think cryptos are just a different type of currency: they don't have any redeeming features unless, as caffeineaddict implied, you are purchasing illegal products. They are based on cryptography, and therefore are obscure and to me, somewhat nonsensical. As long as your normal money is accepted, whey go to the trouble of cryptocurrencies? If someone wants to share their opinions or disagrees with me, then i'm all ears.

One time I looked into bitcoin mining as a source of income since I don't have all the money in the world, and it's incredibly expensive and probably not worth your time unless you want to treat it like a full time job. Doing it profitably will undoubtedly raise your energy bills.

 

[GatorsFan]

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pros​

• Some supporters like the fact that cryptocurrency removes central banks from managing the money supply since over time these banks tend to reduce the value of money via inflation.
  In communities that have been undeserved by the traditional financial system, some people see cryptocurrencies as a promising foothold. Pew Research Center data from 2021 found that Asian, Black and Hispanic people "are more likely than White adults to say they have ever invested in, traded or used a cryptocurrency.
• Other advocates like the blockchain technology behind cryptocurrencies, because it’s a decentralized processing and recording system and can be more secure than traditional payment systems.
  Some cryptocurrencies offer their owners the opportunity to earn passive income through a process called staking. Crypto staking involves using your cryptocurrencies to help verify transactions on a blockchain protocol. Though staking has its risks, it can allow you to grow your crypto holdings without buying more.

cons​

• Many cryptocurrency projects are untested, and blockchain technology in general has yet to gain wide adoption. If the underlying idea behind cryptocurrency does not reach its potential, long-term investors may never see the returns they hoped for.
  For shorter-term crypto investors, there are other risks. Its prices tend to change rapidly, and while that means that many people have made money quickly by buying in at the right time, many others have lost money by doing so just before a crypto crash.
  Those wild shifts in value may also cut against the basic ideas behind the projects that cryptocurrencies were created to support. For example, people may be less likely to use Bitcoin as a payment system if they are not sure what it will be worth the next day.
  The environmental impact of Bitcoin and other projects that use similar mining protocols is significant. A comparison by the University of Cambridge, for instance, said worldwide Bitcoin mining consumes more than twice as much power as all US. residential lighting - https://ccaf.io/cbnsi/cbeci
• Some cryptocurrencies use different technology that demands less energy.
• Governments around the world have not yet fully reckoned with how to handle cryptocurrency, so regulatory changes and crackdowns have the potential to affect the market in unpredictable ways.

There’s no question that cryptocurrencies are legal in the US., though China has essentially banned their use, being the communist government they are - they cannot control it, and ultimately whether they’re legal depends on each individual country.

The question of whether cryptocurrencies are legally allowed, however, is only one part of the legal question. Other things to consider include how crypto is taxed and what you can buy with cryptocurrency.

You might call them cryptocurrencies, but they differ from traditional currencies in one important way: there's no requirement in most places that they be accepted as "legal tender." The U.S. dollar, by contrast, must be accepted for "all debts, public and private." Countries around the world are taking various approaches to cryptocurrency. For now, in the US., what you can buy with cryptocurrency depends on the preferences of the seller.

Personally I do not use cryptocurrency and most likely never will since it appears problematic to me - cash and credit are king for now and for some time in the future until everything comes tumbling down like the Walls of Jericho

 

[KGIII]

Moved to off-topic.

 

[gvisoc]

Edit: Typos, of course. All over it. As always. Everywhere.

My opinion on the cryptocurrency is that it has failed its principles.

In principle it was targeting geographies and groups that were excluded from the international financial systems, to let them flourish economically away from the control of a few.

With time, what we saw is that the two methods of producing tokens are prone to create the same control structure, but in a few hands:

• Proof of work: the dude that owns most of the computing power owns most of the tokens. The rich get richer.
• Proof of stake: the dude that owns most of the tokens of the chain gets most of the future tokens. The rich get richer.

And, worst of it all, the control groups in the cryptocurrency realm are unregulated and do not have any duty for the commons.

In addition, there are very few lawful goods and services you can purchase with tokens. Hence, what is left in practice is a speculative instrument that allows you to bet on the possibility of growing some fake money to buy real money.

 

[Vimmer]

In principle it was targeting geographies and groups that were excluded from the international financial systems, to let them flourish economically away from the control of a few.

I think the idea that a different currency can lead to economic flourishing where there wasn't before is a flawed one in general. You still need the resources and services themselves for livelihood, a lot of these venture capitalists seems to have fooled themselves into thinking that you can make an income out of thin air...well, you sort of can: it's a called a scam!

 

[The Duck]

I know a few folks who claim to have hundreds of thousands of dollars in cryptocurrency although barely get by from month to month.

I asked why they are living below or at poverty level if they have that much money in cryptocurrency.

Their answer was that they were unable to use the cryptocurrency to pay bills and improve their quality of life.

If cryptocurrency is really legitimate than why can't those who claim to have $$$$$$ are not able to improve their quality of life using the cryptocurrency.

Sounds to me that cryptocurrency is a scam created for the chumps and suckers of the world.

If a person has hundreds of thousands of dollars in cryptocurrency and if cryptocurrency was legitimate that it could be turned into cash in hand.

Perhaps I'm wrong although I don't think so.

 

[CaffeineAddict]

If a person has hundreds of thousands of dollars in cryptocurrency and if cryptocurrency was legitimate that it could be turned into cash in hand.

Problem with cryptocurrency is that no state controls it.

Regular currencies are controlled by governments world wide, depending on economic situations of a country whose currency you're holding you can predict how much you're going to lose or gain, but that's not the case with crypto, crypto is very volatile and decentralized.

That's what I meant by "not legal", no country in the world is using or promoting cryptocurrency whether their own or not.