Why shitcoins are bad? Why people hate shitcoins and love bitcoins? Do they all not work on the same common principle of blockchain?
Why can't bitcoins and other coins go together, much like today's currencies?
This might be a naive question but I have no clue.
#nostr #grownostr #pleb #plebchain #coffee #coffeechain #bitcoin #sbtc #freedom #zapathon #zap #goodmorning #morning #gm
#Bitcoin is here to stop the money printer for good by capping the supply at 21 million coins. Shirtcoiners are trying to inflate this number and steal from people who just joined. That's why shirtcoins tend to perform better in Bitcoin bull run - many newcomers.
Just ask yourself, if everyone can create a digital scarce assets, are they truly scarce?
Bitcoin is the absolute digital scarcity. The event of discovery happened on 2009 and can't be done again. All (thousands of) the other tries ended up with a fake replica.
So, while BTC is limited (scarce), while shitcoins are not.
That's why almost every single shirtcoiner holds #Bitcoin too. It's something, nobody can create more of.
We have now about 25k shirtcoins, we will probably cross 100k within another cycle. Everyone can create a new coin and make it somehow popular, but nobody can recreate the absolute digital scarcity.
Because the only sane use-case of a blockchain is money.
There is nothing else a blockchain can be used for, as everything else needs a 3rd party. And if you have a 3rd party, you can use MySQL.
Second, bitcoin is the only one that was created without anyone or any group in sole control of a large part of tokens, over the software, or over the distribution.
Nice one, plus, Bitcoin is designed to handle network effects. Crypto cannot handle network effects (the incentives of participants including cheating) because they are never truly decentralized like Bitcoin is. If crypto grew as big as Bitcoin they would fail.
Plus the only thing that a blockchain is capable of is keeping people in line to use a certain version. This can only be done by manipulating incentives. Also, the way to keep the blockchain secure is by having the most energy in it. Which means that other crypto are not secure because to be the most secure they need to be the biggest blockchain.
just domt go for the hype
"The two couldn’t be more different. Bitcoin removes seigniorage. Shitcoins re-introduce seigniorage. Bitcoin removes the Cantillon effect. Shitcoins re-introduce the Cantillon effect. Bitcoin removes trust. Shitcoins re-introduce trust. As do centralized financial services motivated by fiat thinking." - nostr:npub1dergggklka99wwrs92yz8wdjs952h2ux2ha2ed598ngwu9w7a6fsh9xzpc
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If you didn't believe Bitcoins were special they wouldn't be scarce (since there are 20,000 cryptos and growing) and you'd have to admit all the irredeemable cryptocurrencies (including bitcoins) are pointless. Then you'd save precious metal.
But of course I can take Bitcoin, change the code to recognize a different Genesis block, and now you've got Bitcoin 2 and it's a new chain with exactly the same properties. If you ask Bitcoiners why this wouldn't be equally good money they give a vague dismissal involving network effects.
So there are three post-fiat positions:
1) Cryptos are all scams but I'm going to scam people. (Crypto bros)
2) Cryptos are all scams and I'm not going to scam people. (Goldbugs)
3) Cryptos other than Bitcoin - even if they have the exact same properties as Bitcoin - are all scams, but Bitcoin is legit. (Bitcoin true believers)
I don't think there's a good argument for non-fraudulent crypto generally. There's no real asset so if you just make it up on a computer, why should it be worth anything? (This applies to Bitcoin also)
Lots of reasons.
Most shit coins are proof of stake. This is more appropriately proof of wealth. The current richest people receive a disproportionate share of token/coin inflation and transaction fees with little to no cost or risk to themselves. Proof of stake cryptos are just simplified versions of fiat with different rulers. These rulers can simply vote with their wealth to change the system however they like.
Proof of work is a critical component of Bitcoin and it ensures that to increase your wealth (in coin count), you must work for it. There is no advantage for people that already hold lots of Bitcoin. Bitcoin is rules without rulers.
