this post was submitted on 19 Jun 2023
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Yes, I know that it still exist, and yes, decentralized currency which utilizes distributed, cryptographic validation is not actually a strictly bad idea, but...

Is the speculative investment scam, which crypto substantially represented, finally dead? Can we go back to buying gold bars and Pokemon cards?

I feel like it is, but I'm having a hard time putting my finger on why it lost its sheen. Maybe crypto scammers moved on to selling LLM "prompts?" Maybe the rug just got pulled enough times that everyone lost trust.

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[–] xthexder@beehaw.org 1 points 1 year ago

"A few double spends" is underestimating the impact. When this has happened in the past, the whole network gets fragmented, and at some point everyone needs to decide which version of history to throw out, allowing potentially anyone to double-spend in that time frame. A bad actor with enough compute could cause a network split and put whatever they want in the ledger. Getting caught isn't really a concern if it's all anonymous wallets, and it only takes 1 unnoticed transaction to move millions.

The entire basis for trust in Bitcoin (and any proof of work blockchain) is that the network is so big, no single actor has the resources to become a majority and influence the ledger.