Who Do You Trust? Full Disclosure!

in bitcoin •  2 years ago 


I also could have titled this little rant "The problem with Ethereum". But before I explain that, first I have to acknowledge that the idea for this article came from watching sunny decree's latest video about the POWH3D or "Proof Of Weak Hands" coin... If you want to know more about this, search for the links beneath sunny decree's video; I'm not going to refer any of my readers to this joke.

Seriously? Proof Of Weak Hands? I can only assume that whoever conjured up such a ridiculously named ICO could only have done so with the intent to tarnish the image, the public perception of crypto-currencies. Like we need this kind of nonsense in an already bearish environment! I guess we could expect no less after the ill-advised succes of a total joke like DOGE coin, but please guys, stop it... And please, stop investing your money in these scam-coins; if we truly want to change the future with mass adaption of decentralized crypto-currencies, we will have to mature as a community, as a market.

This is the problem with Ethereum and possibly with other blockchain platforms such as NEO, ADA and EOS. When I glance over the charts these past few months (not that I'm in any way a technical analist), I get the feeling that this problem is becoming very apparent with Ethereum and that people are putting their eggs in other baskets: EOS in particular maintains its price level against BTC remarkably well, while Ethereum is getting slammed. Ethereum sunk from a high of $1,400 to sub $400 today.

This makes me wonder: almost all scam-coins are ERC20 or Ethereum based coins and it's not hard to imagine that Ethereums current downfall has something to do with this connection. Mind you, this is just me thinking out-loud and not backed by any research or TA that I know of; if you do, or if you know of any proof to the opposite please leave a comment.

In a world where anybody with half a brain can release their own coin, we should expect the market to be full of scam-coins and coins that ultimately proof to be worthless. This is only natural in a community of truly free human beings and a market that's not yet bound by to many laws and regulators. And if we want to keep it that way, the scam-coins are a necessary evil which we'll have to vanquish ourselves.

Now, back to sunny decree, his video about POWH3D and my trust-issues. Sunny does what he can in this video; he starts by warning his audience that he will do his best to keep it as neutral and unbiased as possible, while also stating that he does have some money invested in what is obviously a scam-coin. Now this is nothing against sunny decree; I like his video's (the accent alone makes them worthwhile ;-)). But here's the problem: it is impossible to give an unbiased review of something you own yourself. Or at least viewers or readers should never assume that such a review is unbiased.

The science behind this is clear and it's called "The Endowment Effect"; this is the natural urge to value something you own more than something you do not own, and a good scientific explanation of our urge to HODL. Here's a short and sweet explanation:

You see what the problem is here? The internet is full of people like me! And sunny decree and a metric ton of people who claim to have some degree of technical analysis skills who are trying their best to give their "unbiased" opinion, right after shouting that "THIS IS NOT FINANCIAL ADVICE!!" And they do so often without mentioning what coins they own themselves. And even if they do mention it, it would be nice if they also would admit that anything they say about those coins is biased by definition and cannot be taken as neutral advice.

It's funny, or maybe completely understandable that Satoshi's experiment with the worlds first trust-less means of exchange, is hindered by so many trust-issues. So much even that we hail the SEC as our heroes when they promise to put an end to the freedoms in crypto-space. If we are to evolve towards a more liberated humanity, we'll have to solve these issues ourselves, starting with being as transparant as possible about which coins we are invested in. Really, it's difficult enough to form a well informed opinion without this transparency.

So, to put my money where my mouth is, I will from now on list all coins in my portfolio in the "about" section on my Steemit profile for all to see: Bitcoin, Litecoin, EOS, OmiseGo, FunFair, KIN, Pillar, DENT, Polymath, XDCE, 0x, Decred and Ethereum. Full disclosure is what we need, not only from developers of blockchain-based projects and ICO's (by assuring that the code is open-source and the blockchain is a public blockchain and not private), but also from bloggers, vloggers and other media-outlets that claim to "not give any financial advice".

If you stumbled upon this rant of mine and made it this far, you have my gratitude and respect :-) Thanks for visiting and being patient with me!

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Welcome to Steemit @zyx066!

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Welcome to Steem @zyx066.

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Great article! This is what is required going forward: complete transparency and constructive self governance. I believe we are all growing tired of people constantly shilling their bags with no real arguments to support their claims. This may have worked during the crazy bull run but times are different now.

Thank you for the compliment :-) It really has meaning coming from someone whom I judge to be a very good writer! So, I'm looking forward to your next article and other future interactions. Cheers!

Just got back and remembered to check you other posts out! Great that your now on Steemit, someone with something to say is always great to bump into :)
I didnt actually realise that people were just buying coins "willy nilly" (Ha! theres an old english saying lost and forgotten!)
What a joke when I saw that Weak hands coin, and to see people are actually reacting to it is just funniER hahaha.

I think there will be a couple more years of these ICOs , all of which im not interested in. Firstly because of identity and secondly just because why would someone invest in a company thats not even established hahahaha.

Looking forward to more rants from ya !

Thank you, @movingman! I agree that there's still a way to go with the ICO wild west, but that also brings opportunities: the eagerly awaited "altcoin-season" will be here soon :-)

It's strange: in the whitepaper of Dogecoin they flat-out admitted that the project was just a joke, an experiment to see just how stupid and blinded people are when they see dollarsigns... And it still exists! Worse: other coins are being created ON TOP of Doge's blockchain...

Glad to finally be here on Steemit; people like you really know how to make a brother feel welcome. Looking forward to many future conversations :D

I didnt read a white paper ever lol.. but thats fucking cool! very cool! I got some "ages" ago in late November, and I only got them because I guessed that it would actually work as it was just before the january hype lol. Dum fucking humans, so predictable hahah well actually I took profits from bytecoin and got dogecoin with them. Imagine that it goes to 1 usd hahahahahah. Thats very possible! I did what in the end4 took 5 seperate posts on the coins and tokens that I have a couple of weeks ago for everyone to see and so I know what I have cos I loose track hahaha! You should follow @scandinavianlife, he introduced me to Steemit randomly and is a cool dude very active on cryptos on steemit. Are you in the states?

Reading whitepapers is boooooring; I only occasionally glance over these mostly unreadable texts and let others do most of the reading :-) It's a case of surrounding yourself online with people who'se advice is to be trusted, just people like you and me, with a good head on their shoulders that are willing to read the whitepapers. Because no one can read them all: first you filter the worse garbage out yourself (like POWH3D). Then you watch / read about the projects with realistic aims and a realistic use-case; these are your HODL-coins.

Then there's the altcoin-season in which there's money to be made with the pump- and scam-coins: these are your trade-coins, where you take a little bit more risk and hope to exit before the house of cards caves in. This is quite difficult to time, but there's where we get help from all the technical analysts that read the charts for us.

I live in The Netherlands, all the way up north in Groningen. Maybe you can join the discussion @fullcoverbetting; he's started a blog to get to know where everybody's from.

I'll be sure to visit @scandinavianlife!

Followed and Upvoted, Keep up the good work and looking forward to more from you.

  ·  2 years ago (edited)

Thanks for the kind words! Oh, and I just saw you're a wealth of information, so I just followed you also :-)

It wasn't a bad introduction post but I had a decent read of it.

Welcome to Steemit! Hope you enjoy your days here. I hope to see more from you soon!

Oh, and word of advice, if this wasn't an #introduceyourself post, I'd recommend not using misleading tags. But if this really was your first introduction post, then please forgive my assumptions!


Thank you for your warm welcome, encouraging words and advice :D

This is not my first post, it is my 11th to be totally accurate. But today is the first day I learned that it is customary to do an introductory post when one begins Steemin'. And since I lay bare some of my inner thoughts in this post I thought it would be appropriate to tag this one as my introduction to all other Steemians. I wrote 1 post, like 8 months ago but just recently (5 days now) really got started, having done nothing in between.

So I can only hope I didn't do anything wrong here, and if so, would like to offer my deepest apologies for doing so.