Quote (DiamondHands @ Dec 4 2021 03:21pm)
Tulip mania is known as the first speculative bubble. The cryptomania will go down in the history books as the greatest.
Modern communication technology and the worldwide low interest rates in combination with blockchain technology are the ingredients that make this bubble possible.
It's complicated enough that most people don't understand exactly how it works, but it does fulfill the get-rich-quick dream and underlying greed. In addition, it also gives the illusion of control over their lives with the idea that by trading cryptocurrency they are investing like day traders in Wall Street and at the same time rebelling against the Wall Street establishment.
It's also much nicer to think that success is due to your own ingenuity rather than being in a pyramid structure growing at the bottom. For others, it simply fulfills the irresistible urge to gamble.
Idealists see potential for a fairer future. For many others, herd behavior is in the form of "fear of missing out".
So blockchain technology has many uses for fulfilling human needs, but in a very different way than Satoshi Nakamoto had envisioned when he conceived Bitcoin.
Some have already compared the crypto community to a religion, unfortunately I find that that classification fits narrowly well with what we see happening now.
The bubble is now so big that an implosion will trigger a global crisis where outsiders are not spared either. The alternative is a future where crypto fanatics impose their religion on others to maintain the pyramid.
Can you explain how the current US and global monetary systems works? I assert its no less complicated than our status quo, likely less. The only difference is crypto opens up a lot of doors for things like 'sovereign wealth' and transactions that aren't inherently molested by the government.
Beyond that, blockchain has vast applications beyond fintech.
This post was edited by RedFromWinter on Dec 6 2021 09:06am