Agreed, we all want peace and easy growth, but sometimes there are real challenges and real solutions, including A Solution to the ADA Whale Fears.
Indeed I ignored your reference to that thread (which I follow closely), well, because that thread exists.
But I will put in my 2c here, regarding this very real challenge we face -
The best course of action as far as I can see is a pretty tough sell : Marginalization
We neednât care about ADA market cap, and price projections. In fact, the only thing we should care about in this respect is volatility, we want to be stable. Otherwise we should keep performing our work in the dark and try to avoid popular mainstream attention for the time being. Until IELE at least, and probably further, we should be in stealth modeâŚ
This is my biggest quarrel with âthe trading crowdâ.
Attracting the attention of big money should be delayed as much as possible.
Of-course Smart Huge Money has already taken notice of Cardano, but they feel we are harmless, which we should assist to perpetuate until itâs too late for them.
Bottom up is the way to go
Itâs slower, but it changes things fundamentally and irreversibly and it has far less visibility.
- Giving out vouchers in Asia was a good BottomUp move
- Charles talking about Africa is a great BottomUp avenue
- Starting local associations that spread the word and build the community is sooo BU (Which I strive for)
The MO is :
Explain to people everywhere how Cardano can change their lives for the better, and why they should invest in bringing cryptos into their lives. On their terms, in their demographic context, and economical circumstance, and on and on.
It feels to me that you are avid to bring fame to Cardano, yet I feel that fame is the last thing we need right now.
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Itâs not the same thread. Itâs a new thread created today, which is why I shared it with you. It has a similar but different name.
Nope, if I wanted to do that I would be on talk shows and blasting out press releases about Cardano and various projects. I donât want to attract the attention of anybody except enough people within our community to understand and appreciate how significant the ADA concentration issue is. Itâs not just about whales controlling everything. If you read the new post at the link above, I explained that itâs also about hostile takeovers by other groups who know that the ADA concentration creates a significant structural incentive for outside groups to swoop in and fork the code with a new capital structure.
Thatâs the biggest threat we will face; and I presented a solution in that post.
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@ADALove Glad to hear that about the fame 
I agree with your concerns and their priority. I realize the approach I suggest is quite incomplete.
I saw in the other thread that you support decentralization in the face of whales.
Can you be more specific? Sorry if this is a reiteration, just want to make sure I get it.
OK, sorry to sound thick, but Iâm really not sure I follow.
You propose a capital restructuring, consisting of diluting IOHK/CF/EMURGO portion. Please correct me if I am wrong. So the two things I donât understand are :
-
Isnât it likely that IOHK/CF will act this way anyhow? We should ask them if they plan on diluting or handing over some of their share at some point? (itâs probably confidential though, heh @jonmoss )
-
How does that solve the whales problem?
As far as the 50%human votes/50% stake votes, I donât think this is a satisfactory means.
People who are not invested in Cardano should have no say in its future. And regarding the whales, I donât see that this would affect them, people are cheap to buy, even cheaper than money. So I just donât see how people over capital resolves anything.
The unequal distribution of wealth & power is the status quo, our working assumption.
The only way I can see to beat bad whales for the time being is with good whales. Whales willing to relinquish their power when the time comes. Whales like IOHK/CF themselves and the organizations/individuals they have elected, fingers crossed xx 
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Itâs not that youâre thick (Based on your comments in the past, I think youâre quite smart.); itâs that these issues are much more complicated than many people realize, which is why I have presented all these posts to discuss. Iâm rushed for time now, but will be checking in later. In the meantime, please focus these capital structure comments in the solution thread.
I missed all this madness
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For me, Cardanoâs purpose is to reach 5 dollars a coin in 2.5 years and 10 dollars a coin in 5 yearsâŚthat is what I wantâŚperiodâŚ(mic dropped)âŚ
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@pesuazo Love it, but I think you set your sights too low. Youâll likely get that, but youâll also be able to tell your friends you were involved at the start of a new financial world order. Bragging rights are worth much more than money.
I missed all the madness too⌠TLDR;
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I enjoyed this post! hopefully it does reach those numbers lol
P.S. âmic dropâ not âmike dropâ.
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Thanks !..post edited and correction done !..English as a second languageâŚLOL
What Do You Think Cardanoâs True Purpose Is?
I thought it was to be a financial stack + Constitution in a box for nation states that were under-served through the traditional banking entities. It would allow those nation states to unlock the value hidden itâs people & resources by bringing back some form of âhonest moneyâ + âhonest rule of lawâ i.e. Trust in a box.
Do you agree with my points here or do you have a different perspective?
I agree with your points - especially around trust. This topic reminded me of an article written by a militant Catholic titled We are the Gold. Not to say you are militant or religious but more in understanding that there is deeper thread past profit all of this underscores the need for âtrustâ which previously was the glue that held a fragmented system together that required religion/moral people, law, and various systems to be strewn and held together through the collective âtrustâ of the people based in their former individual & collective in âGod we Trustâ to create the right framework for a liberty minded secular society. Short of a spiritual revival with which each man/woman questions why they gave their energy to consumerism & this debt & death paradigm (iâll post more on this in another thread), we now must shift/persuade people both individually and through a shared collective âtrustâ to the statement in âCode we Trustâ.
âAt the end of the day, any currency is backed not by physical commodities or a collective abstraction called âa governmentâ. No. A currency is backed by the character and integrity of men that constitute the issuing nation or body. In short, WE ARE THE GOLD. We are the bearers of the âfull faith and creditâ which backs our Federal Reserve notes today. And that, dear readers, is why this country is not going to turn itself around anytime soon, and is almost certainly doomed in the short-run.â - excerpt from article
I think the only thing that I would add is that money has a spiritual element because it ultimately ends up being a proxy for human time/talent/labor âŚthat is until AI of course âŚputting that aside for a momentâŚitâs a hell of an ask to persuade human beings to quantify their lifeforce in ADA. Thatâs why this is so important of a topic in my eyes because it could be the end of this debt & death based slavery paradigm or a start of another block/slave-chain humanity paradigmâŚ
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@saline09 Thank you for this thoughtful post. Regarding that guyâs âWe are the Goldâ blog post, I agree with most of his comments and intentions, especially on the problems caused by fractional reserve banking, âgovernments are criminal,â âinsolvent banks,â etc., but itâs clear he does not have real-world experience in economics and institutional finance. Specifically:
recessions are a necessary fact of economiesâŚ
Yes, but economic depressions, market monopolies, bad-faith (and often corrupt) international trade agreements, economic imperialism imposed by military empires that become empires through corrupt mercantilist trade practices, and many categories of market failures are economic events that have nothing to do with the natural inhalation and exhalation of a market. Libertarians (including me, when I was a libertarian) often blame these non-market events solely on government. That is only partially true: Blaming government without recognizing the symbiotic dance between government and gigantic corporations that are allowed to amass so much financial/political power that theyâre able to capture the government is also an equally toxic symbiotic factor.
Marxists are liarsâŚ
I donât subscribe to Marxism, but anybody who says âMarxists are liarsâ has never fully read anything written by Karl Marx, doesnât understand how influential Marx was on virtually all forms of modern economics, and doesnât know how to engage people rationally without name-calling, all of which reduces their credibility. Marx predicted virtually all the malfunctions of capitalism on Earth today. That alone earns him the respect of any rational thinker. Marxâs solutions are not ideal, but neither are the toxic neoliberal trade theories that have concentrated enormous economic/political power into the hands of a tiny number of oligarchic kings who own/control more wealth than the GDP of entire countries today.
Marxism leads to unappealing socioeconomic outcomes from the perspective of a free-market mind, but the problems we are debating in some of these threads are about the pre-market genesis of a crypto market before it even became an actual market. As with all natural and man-made organisms, birth-defects can have life-long adverse consequences. IMHO, the ADA concentration issue is a major birth defect, which will have lasting consequences. Good people can debate in good faith what those consequences will be; and I respect their right to do so.
all home mortgages must be marked-to-market every single dayâŚ
This reflects a shallow understanding of institutional finance. Itâs not even technically possible to effectively mark-to-market (M2M) every day because the value truth of any market is very different from the day-to-day price fluctuations within a market. Prices can fluctuate wildly for many non-market reasons that have nothing to do with the intrinsic value of an asset/commodity. If firms whose corporate charters require them to hold a certain level of assets in reserve are forced to M2M, then M2M forces them to rapidly liquidate all their assets to satisfy margin calls and other reserve requirements. That would dramatically increase volatility, reduce the stability of the market, and amplify market bubbles and busts. Standard IFRS/GAAP valuation methods are not perfect, but theyâre far less destructive than M2M.
A currency is backed by the character and integrity of men that constitute the issuing nation or body. In short, WE ARE THE GOLD.
I understand and appreciate the spirit of what heâs trying to say, but this is not substantiated by any facts; itâs just a nice-sounding platitude. The reality is that a fiat currency is backed by the coercive power (guns) of governments. Commodity-backed currencies are backed by the socially agreed value of those commodities. Both kinds of currencies require human faith, but fiat currencies are far more susceptible to collapses of faith because the political machinations of governments (and their guns) is a much more subjective and emotionally-charged concept than a societyâs relatively more objective perception of the exchange value of a commodity.
Additionally, many populations have no meaningful power to reign in the prodigality of their governments. When faced with tanks and machine guns of an all-powerful state, âthe character and integrity of menâ become lifeless piles of flesh and blood on the street. That imbalance of power between state and citizen has nothing to do with the integrity and character of the citizens per se, but I understand his point: We, as citizens, should find the courage to fight back against tyrannical and prodigal governments whenever possible.
[everything so far is] contingent on a moral society with a functioning rule of law, honest regulation and a populace that was mostly honorable and trustworthy. . . . If you have a nation of moral degenerates, all bets are off. If the people are more dishonest than honest, and the government is nothing more than a mafia, then all economic systems and all postulations fly apart at the seams. If there is no rule of law, and if theft, graft and looting are the prevalent systems of economic activity, then no matter what your banking system, no matter what your currency â fiat or commodity-backed, your system and your economy will absolutely, positively fail eventually. . . . Sadly, that is where we are in this country.
Throughout that entire section until the end, he makes many broad generalizations that are only partially true; and he ignores many nuances about markets, economics, politics, etc. that are important if he truly wants to accurately diagnose the problems he is venting about.
More importantly, heâs unnecessarily resorting to highly subjective concepts like morality and religion, thereby making the entire issue much more complicated than it needs to be. The problem is clear: When governments allow banks and corporations to become gigantic Tyrannosaurus Rexes (aka, âwhalesâ) that stomp all over their socioeconomic ecosystems, then political and corporate corruption, wretched poverty, environmental pollution, bureaucratic overgrowth (in governments and corporations), and unsustainable concentrations of economic and political power are the inevitable results.
The solutions to these problems are also equally clear to me, but the solutions will be rejected by anybody operating within a puritanical libertarian ideology because they will refuse to see any shades of color between all the isms that plague homo sapiens today. So, itâs not worth the time/effort to debate the trolls that are trapped in their ism prisons, but I really appreciated this post and your open-mindedness in general. Thank you.
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Thank you for the response - the writer of the article is assessing the problems from a puritanical religious worldview. In absence of some game changing paradigm to stop the cyclical nature of human history religion is probably the only solution i.e. you can not change the world to make yourself happy or free. You must change yourself to make your world happy & free.
Thought Experiment - i want to tease out Cardanoâs purpose to what that purpose in action would look like once implemented 10 - 20 - 30 year increments, letâs say the whale issue is sufficiently addressed and Cardano is adopted by a nation states in AfricaâŚJapanâŚetc what do you expect to happen both internally within that state and in relation to itâs counterparts internationally?
For example, does the nation itself morph into a Jeffersonian Democracy over time and does it have a competitive advantage internationally?
Wouldnât wealth over time still concentrate into a hands of a few i.e is there need for a debt jubilee pre-programmed mathematically ?