An open discussion on the big question

bitcoin
fun

#1

So I have being looking into Cardano and crypto for a while now and would like to create a discussion around a few topics and general questions, I thank anyone that will share their opinion and knowledge.
The crypto market seems to me as the most extreme, various, chaotic and unpredicted market there is. The amount of crypto’s out there is just too high to wrap your head around, the reason I’m bringing this up is because crypto’s, as I see it, are first of all- a Currency! Furthermore, a global currency. So logically how can there be so many global currencies? Why is there a currency for every little “stupid” aspect in life? For example: why should I have one currency for renting a home, another for buying on the internet and a third for bank transfers? Why one crypto can’t be used for all of these actions and more? Wasn’t that the initial idea of the bitcoin (?!) which made a lot of sense.
In my opinion, the crypto market now is way too vast and chaotic. People are throwing money to any place they think will bring them some profit. The resent market drop in the last few days reduced the total market cup in almost an half, almost 400B dollars, which to my opinion is crazy.
Don’t get me wrong, I’m a huge believer in crypto, and would like some day to see it being used by everyone for everyday use. But I can’t see it happening with all those random coins around, I can see it happening with just a few good and strong global currencies that can be used for everything and every day. That’s why I chose and love Cardano, it seems like they care about developing a good product and a good system to support it all, instead of just creating a hype around a cool new idea. I feel that everyone are just using this hype around crypto to build new companies and make money.
So after sharing my opinion I would to hear yours!
What do think about all these cryptos around?
Do you believe in the core idea of the BitCoin?
Do you think the new crypto’s still represent this idea?
What do you predict for the crypto market and coins future?
THANK YOU ALL!


#2

I stopped at 400B market cap. Market cap is not a valuation in the crypto sphere.

Read these two links and you will realise how stupid the market cap methodology to rank coins used by many is:

https://www.forbes.com/sites/ktorpey/2017/12/29/comparing-bitcoin-and-other-cryptocurrencies-by-market-cap-can-be-very-misleading/#54568c702509


#3

It was just an example for how the crypto market is so called –unpredictable.
I would more like to know your opinion on where all this is going.
I think my last paragraph sums it up a bit.
thank you for your reply!


#4

Hello,

Great question and I respect your honest opinion and have the same concerns with the amount of coins currently out there and the use of it to make money. (Which inherently isn’t bad)

I myself have only been interested in the crypto market for a month now and have dived into researching the history of bitcoin, ethereum, cardano etc. and in that time I have come to a few initial opinions.

  1. No one really knows what the hell they are doing.
  2. This crypto technology in its DNA has the potential to and is already starting to revolutionize the way we look and interact with currency and the world around us.

I believe that time will tell on the coins that are currently out there. My interpretation of an old proverb that says “don’t pull the tares out that are growing mixed in with the wheat until its harvest time. In pulling out the tares you will inevitably pull out the wheat because they look almost the same. When harvest comes (price pull backs and market adjustments) the tares will be taken out and thrown away and the wheat will be given new life.”

I still believe in the core idea of bitcoin, Satoshi and the teams out there and I am choosing to believe that most of the coins that are out there still believe it as well. As long as there are still a hand full there is hope for a brighter future for the world we live in.

I am very optimistic for the crypto market itself. With the time we live in, the advancement in technology, innovation in crypto technology, that the market is gonna grow unlike anyone is expecting, and I am very optimistic of the future of Cardano and the team. To intentionally take the academic, and pier review road is in my opinion one of the most ballsiest moves I have seen but also the most sustainable one for the long game. For me crypto is an endurance run and the Cardano and IOHK team are building this structure to support a whole ecosystem inside and around it but also be robust enough to be used globally.

I could also be wrong and we are all batteries being used by the machines to power their cyber empire.

Non the less those are my thoughts and opinions and I appreciate you posting to open this up. :smile:


#5

Just throwing out some random thoughts here. I believe that many countries will try to regulate crypto currencies, then realize they can’t and then potentially ban the use of these currencies (especially the privacy oriented as they can’t track criminals).

At some point, they might realize that the concept of digital cash is neat and create a national cryptocurrency that has an exchange rate 1:1 with their fiat currency. unless some new fancy concepts emerges These will most likely be based on proof of stake or use something similar to Tangle from IOTA to keep resource use and costs low. It will likely be cheaper to maintain than cash and more difficult to forge. The amount of “coins” will of course be controlled and regulated by the national bank. And due to its 1:1 exchange rate and backing from the national bank stores and retailers will adopt these as they are easier to handle than cash and has less fees than Visa Mastercard etc.

So my guess is that we will have cryptocurrency instead of cash in the future but it will be under governmental control. The “old” cryptocurrencies will still be around and can still be used for trading across borders etc. but due to bans and/or regulations they won’t be the type of investment object the way a lot of people consider it today. This will also probably make a lot of the “currency for every little “stupid” aspect in life” be worthless and pretty much disappear.


#6

I believe that governments are prone to cost effective solutions, making their own coin would require the best in the field, and those people are already working on their own projects. So i believe that they will opt for platform that already exists.

The Cardano Foundation’s mission is liaise and influence government and regulatory bodies, form strategic partnerships with businesses, enterprises and other open source projects and aid the creation of formal software standards for Cardano, a crucial feature for its long term success and critical in adoption and government engagement.


#7

Indeed, it’s not sustainable to have this many currencies. Most of them will probably vanish 'till 2020. If we talk about protocols then the situation is a bit different, for certain tasks “specialized” protocols will often be better than a protocol that tries to solve every problem.

Why are there so many cryptos? That’s simple, it’s a super lucrative business right now. You can literally put label crypto on a shit and make ton of money overnight. This happens with every disruptive technology. Eventually balloon will pop, some will lose a lot of money, some will earn a lot. In the end most of the worth tech should endure.


#8

Yeah, I guess governments making cryptocurrencies by themselves might be a bit of an exaggeration. I guess leasing technology and solutions from a large trustworthy company or organization is more likely. Ex. If Cardanos tech is available for leasing and support in the future, governments might choose to lease it for their own currency as the tech is built on a solid and safe foundation.


#9

I think a scenario like this is plausible, time will tell if the tech can live up to its intended use.


#10

The diversity is vital to our system in order to realize more comprehensive interactions. Therefore, a dose of constructive - and perhaps collective - self-criticism is necessary to find out what’s good and what’s not. An absolutely amazing experience of a value of cryptocurrency projects comes from an awareness of a possibility to choose what you like to buy or sell. A pursuit after own excellence animate in mind an idea of pure principle which unifies everything- - this causes a need for simplification at some point. However, the originality or ever-alive impression can go ad infinitum because of the possibility to experience the diversity of events through the journey of space-time.

That is why it is so good to see what people are up to. I personally like exploring the greatness of projects and exchange ‘quantified ideas’. It is likely that some projects will fail, but do we need to think that we need just one or just a few cryptocurrencies? I would suggest that we need more flexibility and mindfulness in the way we exchange and explore ideas/tokens.


#11

When I think of crypto’s i put them into several buckets i.e. currency/storeofvalue , utility tokens, and infrastructure tokens. We are then investing in protocols that have sCurve adoption rates - and out of these protocols i tend to look at investing in the “infrastructure tokens” or train rails that carry the load of dAPPS/utility tokens being built on top of them aka they have a recurring use outside of speculation. Currency/store of value tokens are it’s own animal and cross borders.
(note i maybe totally wrong on my cryptoeconomics view and someone correct me please if i am)

In the 1st bucket (currency/store of value) that has the most commoditization in it and most likely will consolidate into a few coins around the factors of mass adoption and privacy. Personally i like Litecoin (general/mass adoption) and zenCash (privacy coin working w/IOHK).

In the 2nd bucket (infrastructure coins) these are things like Ethereum, Cardano (well Cardano is aiming to be a universal coin across buckets but for now lets place it here) , and other blockchains. The blockchains are the “rails” which apps will be built on top of. There are companies building many specialized infrastructure blockchains for specific uses because a generic platform like Ethereum doesn’t cover them all or doesn’t scale…aka Cardano is aiming to be the Financial Stack blockchain…others like Dragonchain are geared toward hybrid private & public blockchains …IBM has a private blockchain called hyperledger and the list goes on an on. So there might be general blockchains (rails) and specialized blockchains and they have coins…and the apps that are built with them will be specialized and they have coins… for example Chuck E. Cheese has an arcade but the platform we run on is the USD monetary system (RAIL)…but once we enter chuck E. cheese (specialized blockchain) we trade our USD’s for chuck e cheese coins to play the arcade games/dAPPS within that building and within those arcade games /dApps they have coins. We can also trade those Chuck E. Coins on eBay to someone else for USD’s or other coins in other systems.

In the 3rd bucket (utility coins) these are coins within dapps marketplaces created on top of blockchain infrastructure platforms like Ethereum that act as infrastructure as a service where people can create decentralized apps. These currencies/tokens represent that markeplace which is currently fragmented from systems to payments into one that is holistically connected. For example, go to bitdegree.com which has unified the markeplace of education around employers, teachers, and students…while providing a token/currency which is uniquely created for that marketplace. There are different marketplaces that can be blockchained so different “utlity tokens” that are used within that marketplace to power it. So there can be many utility tokens and they can be traded within that marketplace and outside of that marketplace.

Many currencies are not new…in fact you can see this in your everyday life. Do you use coupons? That’s a crypto currency/private currency. Do you use airline miles? That’s a crypto/private currency. Do you use foodstamps? etc. etc. What is new is that we can create/program specialized currency/tokens for specialized use cases and trade them…so going from general use case gold/silver to better technology fiat paper and electronic to better technology programmable money allows for many discrete use case currencies/tokens to be created that solve those marketplace problems and since it’s a digital asset can be assessed and traded instantly.


#12

The way I see it, the influx of investors that came in after Thanksgiving last year cause the market cap to increase from 100 Billion to over 700 Billion. A correction was needed and here we are in correction mode. I feel like this is normal. But don’t take my word as advice or anything…because I don’t know anything about charts or trading.

I read a lot about other cryptos and nothing interests me more than Cardano.

just remember to HODL, or else you’ll fall to your death

and try not to FALL for scams, or get hacked. don’t click on links posted on forums…
DONT TRUST ANYONE hahaha


#13

@saline09

um so I kind of don’t follow your logic at the end, might just me being tired as its after midnight here. I don’t see any reason why airline miles or coupons would be beneficial as a decentralized crypto system, the companies that make these kind of bonus system benefits form the close relation to their customer, they collect useful consumer data etc, an anonymous cryptotoken address would make them lose all this. This is more or less a reason why these specialized will remain the way they are and not be converted to cryptocurrencies.

And as for games and apps, the reason why they want you to swap currency (especially in free to play games) are psychological, I have been in the casual gaming business and there are plenty of tricks. Transactions are one way only so you have to spend whatever deposit you do. The amount of “coins” you get does not scale evenly in order to tempt you to buy more “coins” and get a discount or bonus. and since you can’t accurately determine the value of a coin in a fiat currency (due to the uneven scaling) you are less likely to consider the actual cost. So these in-app currencies probably wont benefit from crypto in any way that will be better for the app owner, since a shared currency would not give them these flexibilities.


#14

I found this article which does a better job of addressing your question than I ever could. Decoding the many crypto’s & business models