News for hackers. Stuff that matters.

A comment on It’s not still the early days of blockchain. Parent comment

Re:It’s not still the early days of blockchain by ryandamm on Saturday January 15, 2022 @01:52AM (#29944266)
When has "market cap" been a measure of a currency? This is indicative of the logical fallacy so common in these debates, conflating "store of value" with "useful mechanism for transactions."

It's a Ponzi scheme. There's no inherent underlying value, its "market cap" is strictly a function of more dumb money flowing into the system. Occam's razor, this is the most likely explanation for everything in the crypto space; the model makes sense and explains a lot more than "a new financial asset" hokum.

[ Parent | on HN ]
Re:It’s not still the early days of blockchain by exdsq on Saturday January 15, 2022 @01:58AM (#29944299)
Depends if you view them as stocks or currencies, no? If it’s stocks then market cap is normal. Anyhow, if it was a giant Ponzi scheme then what about the projects ran by JP Morgan/Visa/Deloitte/etc? I have no doubt some projects are scams, but there are also non-ponzi projects and I don’t agree with painting them all with the same brush.
[ Parent | on HN ]