Crypto-cancer fade out end of civilization for Fermi paradox?

[Drakkith]

There are circumstances when there supposed to be no/less privacy (for example in case of supposed criminal activity) in private matters. How does bitcoin provides this kind of functions?

It doesn't. Bitcoin has no intrinsic privacy features as far as I am aware. Any privacy is solely due to the difficulty of linking a specific wallet to a specific person. If you know that wallet 204B (simplified wallet address) is my personal wallet, you can see the details of every transaction to and from that wallet and track what I'm doing with it. Even 'mixers', which take in bitcoin from multiple wallets and distributes them to other wallets to hide 'hot' BTC, only works because you don't know who owns those wallets. If you don't know who owns wallet 204B, you can still see the details of every transaction, you just don't know who's doing it.

There's a reason all the ransomware demands ask for the money in Bitcoin and not dollars.

Indeed. It's like telling someone to go to the corner and drop $100 into a black lunchbox if they want their data back. Except with BTC you don't have to have someone physically pick up the cash, physically move the cash around, or physically store it, which greatly simplifies the whole process. No middlemen to rat you out, no big wads of cash for the feds to find, etc.

But in the past they just couldn't directly consume these resources ... crypto has removed such upper limits, one can waste practically all available resources on mining.

No, you can't. I don't know why you think you can. The amount of energy consumed by crypto mining will only rise until it becomes unprofitable for it to rise further. This is mostly linked to the price. Higher prices let the amount of energy consumed while mining increase, since a higher price means I can sell my mined crypto for more and afford my higher energy bill.

Also, if you look at the long term bitcoin price chart, you'll notice that it's actually increasing logarithmically, not exponentially. It's just the short timescale price jumps that are exponential.
https://www.lookintobitcoin.com/charts/bitcoin-logarithmic-growth-curve/

 

[Rive]

Bitcoin has no intrinsic privacy features as far as I am aware.

Both having privacy and having it limited are results of long evolution of the concerning legal environment: both side has very serious reasons to exist.

Without supporting both (!) side of the legal framework there is just no way it can survive for long: long enough to become any 'real' currency.

 

[Drakkith]

Both having privacy and having it limited are results of long evolution of the concerning legal environment: both side has very serious reasons to exist.

Without supporting both (!) side of the legal framework there is just no way it can survive for long: long enough to become any 'real' currency.

Why? Your normal transactions at the store are public, regardless of whether they are cash, credit, or debit. Everyone around you sees what you're buying, and the companies handling your credit/debit transactions know where you're shopping and how much you're spending. People talk about google selling your info, but I imagine there is a long history of this in the credit card industry.

I don't see that privacy is necessary for bitcoin or other cryptocurrencies to survive. In fact, it might help some of them avoid legal issues since it makes it much more difficult to use for illegal activities than a privacy-featured crypto.

 

[fluidistic]

Why? Your normal transactions at the store are public, regardless of whether they are cash, credit, or debit. Everyone around you sees what you're buying, and the companies handling your credit/debit transactions know where you're shopping and how much you're spending. People talk about google selling your info, but I imagine there is a long history of this in the credit card industry.

I don't see that privacy is necessary for bitcoin or other cryptocurrencies to survive. In fact, it might help some of them avoid legal issues since it makes it much more difficult to use for illegal activities than a privacy-featured crypto.

I agree with everything you've wrote so far in this thread Drakkith. However, some people like Richard Stallman only use cash in order to have some privacy. It doesn't really matter if a stranger sees what you buy with cash, as long as it's not recorded anywhere. The thing is, supermarkets are filled with cameras and it's probably not too hard to have a good estimate of who buys what, even if they pay by cash. If privacy is a human right, then I think that at least some "private" cryptocurrency must exist. But as you pointed out, Bitcoin is extremely far from being one, and it isn't a necessity at all for its surviving.

 

[BWV]

worth noting the idea that conventional or ‘fiat’ currency gets value arbitrarily solely based on social convention is a canard - currency gets its value from the creditworthiness of the issuer (which is why dollars are worth more than bolivars). US citizens have to pay taxes in dollars and dollars represent a claim on the credit of the US government. Maybe in the future the US government will be unable to service its debts and the dollar will then be a poor store of value, but for now its what we buy groceries with.

 

[paradisePhysicist]

worth noting the idea that conventional or ‘fiat’ currency gets value arbitrarily solely based on social convention is a canard - currency gets its value from the creditworthiness of the issuer (which is why dollars are worth more than bolivars). US citizens have to pay taxes in dollars and dollars represent a claim on the credit of the US government. Maybe in the future the US government will be unable to service its debts and the dollar will then be a poor store of value, but for now its what we buy groceries with.

I thought the US was already in debt? I don't think dollars are a good store of value, due to inflation, but you do make a solid argument for US dollars being a good currency (better than bitcoin is, for sure.) Of course there are probably many crypto currencies better than bitcoin as well.

 

[Office_Shredder]

(which is why dollars are worth more than bolivars).

Tell me more about how the us dollar is worth 100x more than the Japanese yen because the us is that much better of a credit risk.

There's obviously a lot more going on than just credit worthiness, and measuring the literal exchange rate is missing most of the point.

 

[BWV]

Tell me more about how the us dollar is worth 100x more than the Japanese yen because the us is that much better of a credit risk.

There's obviously a lot more going on than just credit worthiness, and measuring the literal exchange rate is missing most of the point.

Why are you confusing exchange rates with value? The yen was pegged at 0.5 to usd until the Depression and WW2, when understandably it depreciated quite a bit

 

[phinds]

Tell me more about how the us dollar is worth 100x more than the Japanese yen

Huh? You are talking about apples and oranges --- exchange rate vs value

EDIT: oops ... I see @BWV beat me to it.

 

[Office_Shredder]

Why are you confusing exchange rates with value? The yen was pegged at 0.5 to usd until the Depression and WW2, when understandably it depreciated quite a bit

Dollars are worth more than bolivars sounds like a statement about exchange rates to me? What metric are you using to measure this?

 

[russ_watters]

Dollars are worth more than bolivars sounds like a statement about exchange rates to me? What metric are you using to measure this?

This, for example:
https://www.investopedia.com/updates/purchasing-power-parity-ppp/

It attempts to account for differences in currency value (or a country's economic situation) that remain even after accounting for exchange rate.

 

[BWV]

Dollars are worth more than bolivars sounds like a statement about exchange rates to me? What metric are you using to measure this

the trajectory of exchange rates, not the meaningless unit conversion, reflects the relative creditworthiness of the two countries

 

[russ_watters]

Thread locked, temporarily at least.

Edit: I've deleted a number of crackpot posts and responses. Still trying to decide what to do with the thread...