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Author Topic: How to make a token resistant to negative circumstances bitcoin currently faces  (Read 46 times)
Hydrogen (OP)
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June 22, 2022, 10:49:58 PM
Last edit: June 22, 2022, 11:02:48 PM by Hydrogen
 #1

In the united states ICOs were regulated to become available only to accredited level investors. Celsius network was also regulated to be available only to accredited investors prior to their recent difficulties. There is a trend where crypto investments have been made open and available only to accredited investors making $200,000 or more per year or who have a net worth of more than $1 million dollars.

It is no secret that whales are best equipped to coordinate pump and dump schemes in lower trading assets. We have seen this many times throughout cryptos history.

If the regulatory status quo is in favor of making choice assets available only to higher income bracket earners.

Perhaps crypto markets could benefit from a counter culture trend where assets are exclusively made available to those earning less than $200,000 per year with less than $1 million in net worth. Only poor to middle class earners would be eligible to buy or trade the asset.

The lack of big dollar investment and institutional trading would cap growth. It would take longer to become established and gain mainstream acceptance. But the long term growth and stability of the asset could become more stable without whales being allowed to flaunt the collective power they wield over markets.



edgycorner
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June 22, 2022, 11:38:18 PM
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imo ICOs should provide an equal opportunity to everyone. The accredited investor system only widens the gap between the rich and the poor.

But then again, someone with fewer means is more prone to losing everything in such risky investments. To prevent this from happening we could have something like an exempt market dealer, but for crypto? They will vet & assess new ICOs for the general public(or the non-accredited investors), to protect them from ponzis and find suitable options according to how much risk they can handle.
This would require extensive regulation of crypto. Maybe one day  Cheesy
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