basil
@itsbasil
memecoins set crypto back 3 years but i’m glad 800 people made a few $100k at the expense of 250,000+ people this is one of the biggest misunderstandings about crypto: if you build it, they will come they won’t, not anymore because you, as a leader, leaned into garbage over & over & over again & more than 95% of people who followed you lost money they are not coming back, ever good luck with the onboarding tho [insert meme: well if isn’t the consequences of my own actions]
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Monteluna
@monteluna
Interesting takes. I think my only response is: 1. I'm not entirely sure this is a bad thing. We created a new financial substrate, then generated a way to quickly organize capital at internet speeds. Why exactly are we surprised when most of the capital formation ends up being zero sum "buy and pray" games, that most people lose? I would say we are training people to learn *not* to play those games. As an exclusive user of finance in crypto, I focus on swaps. People who are just here to play zero sum games are our worst customers and I'm not sure they should be rewarded or not lose money. 2. If you do view the space as a sort of way to "invest", why exactly should people also be "winning"? Startups and VC games have notoriously bad outcomes, since the risk reward profile skews towards massive returns if you're right. If we generated this global capital formation thing anyway, if you exclude the financial side, these people wanted to be VCs with adverse selection. They *need* to learn by losing.
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Monteluna
@monteluna
In a free market, you need to surface the adverse selection so people learn about it and adjust their models accordingly, especially in terms of position sizing (some of the sizes should be 0), and also you cannot save them or you will get moral hazard. People have been stained with a bad taste in their mouths watching people with poor financial literacy make terrible bets. Why exactly is that *bad*?
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