Any service that charges a one time fee for indefinite usage and requires ongoing maintenance and costs, is a pyramid scheme. If you didn’t understand it, reread the first sentence again. 🫡
Discussion
You spend your money on a clean new car. Why would you need to pay to wash it?
Yeah, like those web hosting tools that say one time purchase forever.
All of them, including all the nostr ones
Incorrect
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you only pay once for your wedding. just saying...
Con nostr.wine non è ancora accaduto.
That’s how pyramid schemes work, until they don’t
😓
🙄 people have been saying this for 2 full years. Let them keep talking and we’ll keep relaying.
I’m willing to bet nostr.wine will outlast all of the people who don’t understand our business model.
That’s fine! As long as you have other sources to sustain the model. You offer value add services, so you are not exactly in scope for this. Many one time pay relays have gone already, at least 3 that I paid for so far
I don’t think it’s fair to assume those relays went down because they couldn’t sustain the infrastructure with their one time fees. Many of the people who hosted these relays lost interest and left nostr. Many of them had no technical ability to fix a relay if it went down. Many of them were using nostream which didn’t scale well.
The longevity and reliability of a relay is more about who is running it than how much it costs. Good admins run good relays. Free or paid. The time commitment is more about passion for nostr than making money. I can’t see that changing in the near future.
People who enter this space to “make money quick” will exit extremely fast when they realize how little money is available.
Check nostr:npub16fcy8ynknssdv7s487nh4p2h4vr3aun64lpfea45d7h4sts9jheqevshgh , they cited the reason.
They were definitely an odd one. Wasn’t it free? And didn’t they have like 6+ regional nodes?
I also paid for probably a dozen or more relays a couple years ago when paid relays were just starting - most of which are no longer running. I knew at the time that the majority wouldn’t survive the year let alone my lifetime. Most of them were very cheap so I viewed them more as donations than a payment for a reliable performant service.
Sorry, I never got notified about this reply. Dug it out only just now.
The math doesn’t work when you required to inject capital into service to maintain it, while only new users pay to join. If you have other ways to subsidize the cost (you do) then it is reasonable. Otherwise numbers don’t add up.
In a sense because it would rely on more people signing up to pay the one time fee to keep such a service running.
Not exactly a pyramid scheme, more so just unsustainable.
Now if you got paid somehow for referrals to new users of said service that would be a pyramid scheme.
Pyramid scheme does not require payout, Ponzi scheme does.
I mean referrals like you get an incentive when a new user uses your link to sign up. It wouldn't have to be money, it could be more or better access to the service or money or a number of other incentives.
A Ponzi scheme is more like how shitcoins work.
Ponzi revolves around financial gain, pyramid revolves around continues inflow of new capital to sustain the system. It doesn’t matter, we are more or less on the same page here 😂🫂
The classic pyramid scheme is Avon or any other business like that.
Each step down the pyramid each person makes a small fraction from the person below them.
Customers are encouraged to become marketers and sell to their friends, family, neighbours etc. and the pyramid gets a little taller each time a customer becomes a seller
Maybe so. You mean that since you only pay a one-time fee, there is no ongoing maintenance money coming from anywhere. And then we're already relying on the newbies to pay their one-time fees.
Yes
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