this post was submitted on 21 Sep 2023
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Technology

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[–] jarfil@beehaw.org 5 points 1 year ago

Where to start...

Like any pyramid scheme it pays out to get in early, and get out before it collapses.

That's not how pyramid schemes work, the ones at the top never collapse, only the ones at the bottom end up holding the bags. GIF NFTs are pyramid schemes.

Ponzi schemes on the other hand, are the quintessential representation of fractional reserve: creditors get paid with new investors, until there is a bank run; you want to get out before that happens. USD is a Ponzi scheme, just like all currencies, including cryptos.

It’s an investment object with a speculative value, and no tangible value. The only value it has is what the next guy is willing to pay for it.

That's a currency.

Relying on crypto is high stakes gambling

Let me introduce you to FOREX Futures and intraday HFT. There is also Crypto futures, but who's counting.