Bitcoin a ponzi scheme

[tamsay]

I saw an article somewhere that Bitcoin is a ponzi scheme with no one in charge. Can anyone enlighten me on the authenticity of the statement. Help a newbie out. Thank you

[mk4]

Just because no one is incharge it doesn't mean it's a ponzi. A ponzi scheme most of the time promises certain amounts of returns (e.g. Bitconnect's 40% returns per month). Bitcoin doesn't promise us anything. We're just making assumptions that we're getting returns in the future.

A Ponzi scheme is a fraudulent investing scam promising high rates of return with little risk to investors. The Ponzi scheme generates returns for older investors by acquiring new investors. -investopedia: source: https://www.investopedia.com/terms/p/ponzischeme.asp

[digaran]

I also saw some video people were hard-jumping a girl, but it didn't change my mind about every girl. we are the beggars of yesterday and seasteaders of the tomorrow all thanks to Bitcoin. every seastead needs beggar, don't you agree? well I just revealed our exit strategy to a newbie. lol
I'm going to make sure Bitconnect scam-jumpers swim in the ocean where our seastead is floating. their Ponzi scam is very small compared to Bitcoin.

[tukangbrowsing]

Bitcoin is not ponzi. Ponzi is method used with HYIP to give a old investor bonus with money from newer investor. So they actually just circlying around money from investor to pay other investor  Someday, website that offer ponzi scheme will scam and take newer investor money

[odolvlobo]

A Ponzi scheme with nobody in charge? Somebody doesn't know what a Ponzi sceme is.

[Xavofat]

Ponzi schemes are reliant on having someone in charge.

The entity which is in charge of a Ponzi scheme has to be the one to distribute money to those who invested earlier in the scheme, based on returns that were promised to them by the entity in charge of the scheme.

Without there being anyone in charge, no one can say to you "I promise you these exact returns in fiat terms".  In fact that's absolutely not the goal of BTC anyway.

If you still have any doubts, just read through the open source code.

[Vod]

Ponzi schemes are reliant on having someone in charge.

Hmmm, I wonder how long it will be until we have fully automated ponzis, distributing the coins automatically as they come in.

[Cryptoryx]

I wouldn't count on one article that was published somewhere.

[Slava79]

From https://en.wikipedia.org/wiki/Ponzi_scheme

A Ponzi game is a fraudulent investment operation where the operator generates returns for older investors through revenue paid by new investors, rather than from legitimate business activities or profit of financial trading.

You decide yourself.

[mk4]

Ponzi schemes are reliant on having someone in charge.

Hmmm, I wonder how long it will be until we have fully automated ponzis, distributing the coins automatically as they come in.

Probably.....  *ehem* bitconnect *ehem*

[OriginTrain]

A decentralized currency that no one is in control of.. a ponzi? What these short term thinkers fail to see is that this could very well be a trusted world currency one day due to the very fact it's decentralized and deflationary. It is therefore trustless (as the popular term goes).

[Xavofat]

Ponzi schemes are reliant on having someone in charge.

Hmmm, I wonder how long it will be until we have fully automated ponzis, distributing the coins automatically as they come in.

Alright, to change the phrasing (I did use different phrasing in the rest of the post) - it needs a central entity (which could indeed be a bot) in order to distribute coins and run the Ponzi scheme.

BTC doesn't have a central entity to do this, so it's impossible for it to be a Ponzi.

Probably.....  *ehem* bitconnect *ehem*

Bitconnect still needed an anonymous group to set it up and run it.  A fully automated Ponzi would be created without human intervention.

[Frollama]

Ppl always call ponzi scheme to all things they dont understand .....

[mayo2u]

I saw an article somewhere that Bitcoin is a ponzi scheme with no one in charge. Can anyone enlighten me on the authenticity of the statement. Help a newbie out. Thank you

When it started out Bitcoin could have been called a pump and dump. But at the current valuation of way over $100,000,000,000 it's way past the pump and dump stage.