Bitcoin....who's gotten into it?

[muted reborn]

‘i got mine so i won’t critically examine the process’

america in a nutshell

i never bought bitcoin 10+ years ago because (i didn’t need drugs and) it was apparent it had become a fake tech advertising gold rush which just means those lagging in tech understanding/access would be the new plebs. the friction is still way too high

that’s a new version of the same, not a revolution

NFT self-flagellation highlights our current state of detractive tech development in a perfect way

I suspect many simply hold their nose and accept the stench. I know I do and reconcile it by biking everywhere possible, having no kids, recycling etc etc.

Fuck off.

[Garbowski]

I see BTC as analogous to gold- other precious metals are clearly more valuable, more useful, more everything- but in the end gold is king of metals and always will be until people don't care about metals as a store of value.

[jono]

Again; for me, BTC was my first entry to crypto. It took me a while to get past my reservations which included the undeniable environmental impact. However because my cost base for BTC is so low there's substantial inertia in rotating to other cryptocurrencies. If/when I do liquidate my BTC I'd rotate to things that are more ESG - friendly; of which there are many choices. Partly that would be personal ethics, partly that would be because I feel that many consumers look askance at BTC's impact. However, I have no idea at what point I would liquidate.

I suspect many simply hold their nose and accept the stench. I know I do and reconcile it by biking everywhere possible, having no kids, recycling etc etc.

That's interesting, thanks! This sounds like an intersection of a long term buy to accumulate strategy and a trade. Maybe I'm taking this too far, but it sounds like you do expect (or at least won't be surprised by) a departure from BTC for environmental reasons, which I assume means you would plan to move quickly if you started to see this beginning? As opposed to just buying every dip and waiting for more money to flow into the game for new highs. Or do you see BTC settling gently enough that you'd have time to get out without any great urgency?

[MakersTeleMark]

Happy Black Friday!

[jackstraw]

Happy if you own REQ.

[Benny Profane]

Welcome to hell.

https://www.ianwelsh.net/the-terror-...ctronic-money/

[jm2e]

This is the most honest page I’ve seen in this thread.
I like the Ponzie Game analogy.
It doesn’t have as much to do with a young visionary generation changing the world as it has to do with a generation that doesn’t think about planning, patience, work, security. This is the ultimate lottery ticket/Instagram/YouTube/whatever play at becoming a millionaire with minimal effort.
The millions of people (like me?) putting a few grand in with FOMO are paying the thousands of people who will ultimately “win”.


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[byates1]

People should fear missing out on the evolution of technology and the creation of an entirely new asset class.

[byates1]

That is one of the better explanations of speculative manias I have read. Kudos.

That's like thinking the invention of the computer and internet was a speculative mania.

[Benny Profane]

People should fear missing out on the evolution of technology and the creation of an entirely new asset class.

I don't know about you, but, I rode the wave of technology in my career and investments, but, stood back a short distance and made sure I wasn't blindly following fools into dead ends. Therefore, no Pets.com, among many.

[byates1]

Which is why I've said ad nauseam to allocate 10% to this new asset class, mainly BTC and eth.

[MakersTeleMark]

Go to 56:05 and grab that 30 second nugget:



Once their all out. Send.

[stalefish3169]

Spiderman NFTs on WAX.

https://www.google.com/amp/s/www.eng...190650100.html

Sent from my Pixel 6 Pro using Tapatalk

[shera]

I did my weekly link buy with btc at 0.00043586. You can see me catching the falling knife.

Also bought more link with eth mining payout. Degen or based?

Prev1: This morning I bought more link with btc at 0.00047407.

Prev0: I just purchased more link with btc at 0.00049130 and will probably continue to average into it while the price is favorable

[byates1]

Saylor buys another 7000 BTC for 415 million. Dude is the Savage of all savages.

[LeeLau]

Held nose and bought some ETH over the weekend.

Also bought and staked KLIMA and Wonderland (TIME). I must say its refreshing not to get bent over a barrel on the usual gas fees and that both Polygon and Avalanche were fast, inexpensive and easy to use.

Left some MATIC and AVAX in the wallet to have some exposure.

Been liquidating my ADA.

[shera]

Saylor buys another 7000 BTC for 415 million. Dude is the Savage of all savages.

It's going up forever, Laura.

[byates1]

Jack Dorsey leaving Twitter to focus on BTC. Win.

[Bunion 2020]

In normal times, a product sharing a name with a virus variant would be bad for business. But these are not normal times, and crypto is decidedly not a normal business.

A little-known token soared in value after the World Health Organization designated Omicron a "variant of concern” on Friday. Dubbed, yes, Omicron, the token shot from around $65 in value to $675 by Sunday, according to Crypto.com.

And while the price has since fallen to $308 as of the time of this writing, the timing of the surge suggests it's based on little more than the token's shared name with the latest variant. That's right, people are buying a more or less random token — itself a fork of another project — for the meme potential.

Those behind the Omicron project are clearly aware of the token's oddly fortuitous spike, tweeting a side-eye emoji in response to the news.

Notably, despite viral claims to the contrary, the Omicron token had its name before the WHO named the latest variant.

Omicron would not be the first token to see its value increase in response to apparent meme-based speculation — the Shiba Inu cryptocurrency is perhaps the most recent example of that phenomenon — and it will surely not be the last.

After all, memes, like exuberance, are often irrational.

Lutz.

[stalefish3169]

Might have to buy me some of this stonk.

Bitcoin Self-Miner Griid Infrastructure to List on the NYSE Through Merger With Adit Edtech Acquisition Corp.
November 30, 2021 05:01 ET | Source: Griid

Griid Infrastructure LLC (“GRIID”) is a profitable, vertically integrated bitcoin self-mining company with three US-based facilities and planned mining capacity of 734 megawatts (MW) operational by 2023 with a power cost of less than $25/MWh.

GRIID anticipates fiscal year 2023 revenue of $1.6 billion.

The merger between GRIID and Adit EdTech Acquisition Corp. (“ADEX”) represents a pro forma combined company enterprise value of approximately $3.3 billion.
The $246 million of anticipated net transaction proceeds, assuming no redemptions, and an existing $525 million credit facility will be used to fund GRIID’s growth and accelerate scale.

Trey Kelly, CEO of GRIID, said, “We are building an American infrastructure company with the largest pipeline of committed, carbon-free power among public bitcoin miners at the lowest cost of scaled production. Our team has demonstrated a track record of successful execution over the past three years since starting the company, and we look forward to delivering expansion of capacity through this transaction.”

David Shrier, CEO of Adit EdTech, added, “Carbon-free mining is the future of bitcoin. GRIID’s combination of a large pipeline of low-cost, carbon-free power, distinctive access to next generation ASICs, and market-leading execution position them to generate attractive profitability and growth.”

https://www.globenewswire.com/news-r...tion-Corp.html

[stalefish3169]

I did my weekly link buy with btc at 0.00043586. You can see me catching the falling knife.

Also bought more link with eth mining payout. Degen or based?

Prev1: This morning I bought more link with btc at 0.00047407.

Prev0: I just purchased more link with btc at 0.00049130 and will probably continue to average into it while the price is favorable

I got REKT buying LINK at $32 earlier this month. LOL!

Trying to decide if it's time to cut bait and try to knock down the 2021 Uncle Sam bill, or hodl since it seems like ETH/BTC is about to go bananas.

[stalefish3169]

Spiderman NFTs on WAX.

https://www.google.com/amp/s/www.eng...190650100.html

Sent from my Pixel 6 Pro using Tapatalk

Our #AMCFirstEverNFT with
@SonyPictures and Spider-Man: No Way Home caused AMC’s online ticketing traffic Sunday night/Monday morning to soar, to the highest ever in AMC’s entire history. Oh did we sell tickets! But we are sorry wait times got long with the unprecedented volumes.

https://twitter.com/CEOAdam/status/1465257591794282501

[SkiLyft]

^^ I jumped on the WAX train. Picked up 600 ish to HODL


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[stalefish3169]

^^ I jumped on the WAX train. Picked up 600 ish to HODL


Sent from my iPhone using TGR Forums

Awesome. Give a shout if you have any questions.

Atomic Hub is a good place to start. https://wax.atomichub.io/

[LeeLau]

Rotated the more recent ETH from the Omicron induced general market swoon back into BTC.

Found a well balanced piece about the new reserve "currency" backed tokens and their astoundingly large APYS. Like anything crypto its replete with jargon but about as plain language as one can get

"Breaking down 'too good to be true' Defi rates – where's the money from, is it sustainable, and what's the catch?

Money doesn't just grow on ~~trees~~ blockchains, not even *magic internet money*. And yet some defi applications are offering astronomical rates. For this post, I'll break down three common types of protocols and answer the following questions: *where's the money from? Is it sustainable? And what's the catch?*

# Lending and Borrowing

Examples; Aave, Anchor, Geist, Solend

Typical rates: Less than 10% net

**Where's the money from?** Similar to a bank, users deposit money into the protocol, which is then used by borrowers. To borrow money, users have to pay an interest rate and also deposit collateral into the protocol. The main source of revenue is sourced from the interest borrowers have to pay. Some protocols also stake the collateral that users deposit and earn extra income from that.

**Is it sustainable?** Most lending rates aren't actually that high (2% to 20%) since they are usually balanced out by the borrowing rates at an equivalent rate. So the main question here is, *why are people lending/borrowing?*

Beyond earning deposit fees, people lend because the majority of defi requires users to hold assets that they would otherwise not want to hold. If a user wanted to use defi while holding the assets that they prefer to hold like BTC and ETH, they would deposit their assets as collateral and borrow against it.

People borrow because they can earn a yield higher than the rate they're paying to borrow. You could for example, borrow a stablecoin at a 10% borrow rate and then deposit the borrowed funds into a stablecoin liquidity pool that earns you 20%. You keep the extra 10%.

**What's the catch?** If you're not borrowing, the rates are oftentimes very low and you're likely better off staking an asset than lending or even using Cefi. For example, the largest lending/borrowing dapps are Aave, Compound, or Cream and they only offer **<3%** for ETH whereas ETH Cefi rates are **\~6%**.

If you are borrowing, there's no bank to hold your hand and no bailouts. If your collateral falls below a certain amount, the protocols deems you ineligible to pay off your loan and you get liquidated. This can happen if the market falls and you're not watching your funds. However, there are protocols that now allow for liquidity-free lending/borrow.

# Liquidity Pools (LPs)

Examples: Uniswap, Curve, Serum, Raydium, TraderJoe, SpookySwap, Quickswap

Typical rates: 20% to 40% net (for stablecoins, BTC, and ETH)

**Where's the money from?** When you use decentralize exchanges (dexes), there are liquidity provider fees that typically charge 0.25% of trades. The trading fee is the main source of income for LPs.

**Is it sustainable?** At its current state, most LPs are not sustainable. While the demand for LPs like ETH-DAI is pretty straightforward, demand for LPs with, sometimes obscure, protocol or farm tokens are not as clear. Oftentimes, they rely on circular dependencies, ie *finance for the sake of finance.*

As an example, let's take a look at how degen yield farming typically happens:

1. Protocols offer a 1,000% rate for FARM-DAI LP providers
2. Higher rates mean higher inflation, which means the value of the FARM token tend to decrease
3. But the high rate creates demand for the FARM token as users have to buy FARM to join the LP
4. The high demand pumps the price of the FARM token and offsets the high inflation
5. But as the LP participants grow, the rates decrease
6. Lower rates cause lower demand, which means prices are no longer getting pumped
7. At some point, the farm reaches a stage where both prices and rates are going down
8. And when that happens, degens who are merely looking for quick money, tend to leave
9. More and more people leaving and selling the token causes the price to drop

For most farms, specifically "degen farms", prices spike early making the LP seem more profitable than it actually is and then high inflation does its thing to prices slowly but surely fall. Most users enter and leave farms within 3 days to capture the parabolic price action and high rewards.

Protocols can avoid this by providing a legitimate use case for the FARM token beyond just earning a high yield. For pure LP protocols, the use cases are typically governance, which is not very appealing for retail who couldn't care any less about how some protocols are governed.

**What's the catch?** Even if the LP rates are very high, a drastic enough drop in price can offset the gains earned from the reward rate. This is especially true for users who were late and were not able to accumulate the rewards. This is why it's often recommended to look into the price action and avoid making decisions based off of rates alone.

LPs, specifically low liquidity ones, are also especially vulnerable to whales who can often cause spikes–both in the upside, when buying, and the downside, when selling. And large spikes can cause a domino effect of mass selling and whoever is left holding the bag gets rekt.

Beyond this, impermanent loss (IP) is the most obvious catch. Participating in LPs typically requires you to split your assets meaning you may be exposed to undesired price action. But there are several ways to avoid or mitigate IP such as participating in stablecoin LPs or LPs with relatively low volatility, ie BTC or ETH. In addition, there's a lot of work going into new protocols to limit the impact of impermanent loss.

# Reserve Currencies

Examples: Olympus DAO, Wonderland, KlimaDAO

Typical rates: 6,000% to 8,000% (current)

**Where's the money from?** Reserve currencies are brought at a premium that's worth several magnitudes (8-10x) more than the intrinsic value of the token. New tokens are minted at an extremely high rate and then distributed as a reward to stakers. A combination of selling at a high premium and minting at a high rate leads to the high APYs.

But, similar to how LPs work, high distribution –> high inflation –> lower prices. At the same time, high rates –> high participation –> lower rates. The expectation is for both rewards to slowly decrease to a target rate of 1,000%. The goal is to accumulate long-term participants because long time horizons would ensure that staking rewards eventually offsets price action.

**Is it sustainable?** Under the hood, the economics are designed similar to LPs. But LPs are often subject to the notion of *finance for the sake of finance* because the only product is often the high yields offered. Reserve currencies have a secondary revenue generating product: bonds, which are means for protocols to accumulate their own liquidity. So the question to be asked here is *why is there a demand for bonds?*

Bonds allow for protocol-owned liquidity, seeking to address the aforementioned issues that often make LPs unsustainable. Instead of protocols renting liquidity to mercenary users who come and go looking for the highest yields, bonding allows protocols to own their own liquidity and provide a sense of stability. This reduces the need for protocols to constantly offer unsustainably high rates in order to incentivize users to participate in their LP. In addition, it allows protocols to earn their own LP fees, which can give them another source of revenue.

**What's the catch?** LP protocols actually incur some costs in exchange for partnering with the bonding program of a reserve currency protocol. And while reserve protocols offer users with more incentives to become long-term participants, they can still always exit and sell the LPs. This may the case during volatile swings.

On the user end, buying bonds usually isn't worth it primarily because reserve protocols typically requires users to wait a certain interval (3-7 days, etc.) while holding the LPs. This presents some risks because the LPs can drop in value and, thus, offset the discounts. Additionally, if users buy the reserve currency token directly, they can immediately maximize the staking yields, which are also often higher than the discounts.

Overall, the long-term utility of the reserve protocol hinges on the demand for bonds. Most reserve currencies are still very new so only time will tell moving forward. Beyond questioning the bonds, reserve currencies are still vulnerable to bank runs, however these risks are designed to be mitigated with how the protocol works."

credit James Aaronson