this post was submitted on 18 Mar 2025
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But what you said there is literally the end of my understanding of what crypto is. It has something to do with computers solving math problems, and somehow that’s worth money.
What?
It's a speculative asset that fluctuates based on the whims of billionaire hedge funds and early crypto investors. There is zero value in owning it unless you got in early enough. And even then it's a situation of the last man holding the bag. Someone will end up losing their asses.
On average the value of any crypto token is less than 0 because of the high cost to produce and transfer them. Ironically it seems people find the most wasteful tokens more valuable. "It's hard to make so it must be valuable" or some such nonsense.
Not all crypto is hard to mine you know. Stuff like Ethereum and Solana don't use up that much electricity bc they use a different method called proof of stake, rather than bitcoins proof of work. Basically people who wanna validate transactions stake some money on the network, and if they validate a transaction right, they get paid a bit. If they get it wrong, they lose that money they staked. And the more money they stake, the more they make from validating transactions.
I literally said that there is a difference between tokens in their cost to produce. E.g. bitcoin is more expensive than others and valued higher.