Former US SEC attorney: 'Get out of crypto platforms now'
I am absolutely baffled by how much negative criticism the whole blockchain industry gets here and I would like to understand the reasoning behind it. Most of the arguments fall into these following buckets concluding to &quot;IT MUST DIE&quot;<p>1. The whole crypto is a get rich quick scheme with predatory practices everywhere. It&#x27;s a wild wild west with no sort of regulations. Well, guess what, regulated industry is no different either. If people wants to commit crime, they will commit crime. The whole pyramid and MLM schemes have originated from traditional routes. it&#x27;s nothing new. And regarding fraud, Did everyone actually forgot about Enron, Bernie Madoff and of course 2008 financial crisis where the almight SEC played a key role handing over billions and billions to these investment banks who knowingly committed fraud and pushed some of the pension funds into bankruptcy and pushed the whole world into recession. What&#x27;s this fascination towards the old methods even though they repeatedly showed us that they are inadequate<p>2. I haven&#x27;t seen a single use case of blockchain in the world yet. This is a valid critic and I do understand. Any decent distributed system engineer will understand that decentralisation is hard. consensus is hard. You know what was hard for almost 25 - 30 years and everyone&#x27;s losing their shit right now and drinking the cool-aid? The good old AI. No one cared about neural networks until the compute caught upto speed.<p>Like it or not, we are entering a new phase in the technology where two things will definitely rise to prominence<p>1. Data is &#x2F; will become the most essential commodity and I am terrified by the idea that few monopolies with their &quot;don&#x27;t be evil&quot; facade will control them and become trillion dollar firms. We need to switch the model and reimagine how the internet should work. If anyone calls this paranoid,I am happy to place a bet that in ten years, if nothing is done, we will be living through orwellian future<p>2. A massive decoupling from US economy. I wonder what people call US economy if they call crypto pyramid scheme. Sitting on trillions and trillions of debt, printing money according to their will completely ignoring the effect of their childish actions on the global economy<p>When you think hard about 1&amp;2 and come up with solutions, congratulations, you just reinvented the blockchain. If not, I am happy to hear how would you solve. In a nutshell, for god&#x27;s sake , try to understand the reasoning and motivation behind why new ideas originate, gather a community and attract smart people to work on them