Something feels off about Kaspa

[tuaris]

I'm back from a long break from altcoins and crypto in general.  During which I was occasionally checking up on BTC news, but didn't really follow anything else.  Recently got back into it after some curiosity.  There is one altcoin that pretty much came out of nowhere that's making a lot of noise. Instantly I'm super skeptical about it after only reading into it very lightly.  Seeing how Bitmain and so many other ASIC makers would suddenly have an ASIC for it (so much quicker than I've seen for any other altcoin).  The coin itself has no utility, it's not any any major exchange, and isn't really that ground breaking, and looks way too 'polished' from a marketing perspective.  I doubt that an ASIC maker would take such a risk on it.  Then, I see the exorbitant price gouging on these ASICS that probably cost no more than a few hundred dollars to make.

I think it's a well thought out scam (for lack of a better word) or what ever you call it.  I highly suspect that some shadow corporate entity, perhaps related to Bitmain is pushing this.  Let me explain my "conspiracy theory"  

- The entity drives/sponsors the development of a new altcoin/blockchain, gathers some open source community support.  Ultimately, the majority development is fully driven by those employed by the entity.  Many 'community' members are actually employees.
- This same entity is developing an ASIC chip behind the scenes very early on, no doubt at the same time of the project's conception.
- The entity sets up multiple new shell companies "to build" ASICs (all based in China of course), that appear to be independent of each other, but are actually owned/operated by the same.
- Once enough people jump on, they announce the ASICs and start selling them.
- However, the entity has already been mining with the ASICs, and suddenly the hash rate rises due to more ASIC's getting turned on.  Yet no one who's pre-ordered has one in possesion.
- The ASIC's go on sale at insanely high prices.
- Meanwhile, the entity continues to turn on more of their own ASICs
- At the same time, the entity is already announcing their next more powerful ASIC, well before anyone received the one they just pre-ordered.

It doesn't take many brain cells to see what's happening.  I doubt any serious crypto mining operator (what they call the "big boys") is investing in Kaspa ASICs.  The insane prices of almost $32k for a machine that costs a few hundred dollars to make just doesn't add up.  

This is targeted towards the individual who's got a few ASIC's at home or hosting, also happens to be sitting on some BTC/$$$, and is very easily manipulated by FOMO.  These 'suckers' shell out $32k or more for one or more of these ASIC's, being fooled into believing that 'big boys' are mining Kaspa.  Thinking that Kaspa is somehow this future solution to transactions, crypto, etc.

Bitmain (which I am almost sure) or whoever 'owns' them is somehow related to this, and they are making a killing.

[peter0425]

- The entity drives/sponsors the development of a new altcoin/blockchain, gathers some open source community support.  Ultimately, the majority development is fully driven by those employed by the entity.  Many 'community' members are actually employees.

Just by this alone you can say that they are already faking some attention and demand. Through this they would be able to create more hype around them and make everyone else feel as if they should be participating in the project. Which isn’t exactly a scam I think but definitely a ploy and a scheme.

- At the same time, the entity is already announcing their next more powerful ASIC, well before anyone received the one they just pre-ordered.

It is definitely sketchy and we should be rightly skeptical however without hard evidence this might fall to deaf ears. You should have this theory backed up by data or documents in order to actually be considered valid. There’s something going on but it wouldn’t be proven without proof.

[arhipova]

I'm back from a long break from altcoins and crypto in general.  During which I was occasionally checking up on BTC news, but didn't really follow anything else.  Recently got back into it after some curiosity.  There is one altcoin that pretty much came out of nowhere that's making a lot of noise. Instantly I'm super skeptical about it after only reading into it very lightly.  Seeing how Bitmain and so many other ASIC makers would suddenly have an ASIC for it (so much quicker than I've seen for any other altcoin).  The coin itself has no utility, it's not any any major exchange, and isn't really that ground breaking, and looks way too 'polished' from a marketing perspective.  I doubt that an ASIC maker would take such a risk on it.  Then, I see the exorbitant price gouging on these ASICS that probably cost no more than a few hundred dollars to make.

I think it's a well thought out scam (for lack of a better word) or what ever you call it.  I highly suspect that some shadow corporate entity, perhaps related to Bitmain is pushing this.  Let me explain my "conspiracy theory"  

- The entity drives/sponsors the development of a new altcoin/blockchain, gathers some open source community support.  Ultimately, the majority development is fully driven by those employed by the entity.  Many 'community' members are actually employees.
- This same entity is developing an ASIC chip behind the scenes very early on, no doubt at the same time of the project's conception.
- The entity sets up multiple new shell companies "to build" ASICs (all based in China of course), that appear to be independent of each other, but are actually owned/operated by the same.
- Once enough people jump on, they announce the ASICs and start selling them.
- However, the entity has already been mining with the ASICs, and suddenly the hash rate rises due to more ASIC's getting turned on.  Yet no one who's pre-ordered has one in possesion.
- The ASIC's go on sale at insanely high prices.
- Meanwhile, the entity continues to turn on more of their own ASICs
- At the same time, the entity is already announcing their next more powerful ASIC, well before anyone received the one they just pre-ordered.

It doesn't take many brain cells to see what's happening.  I doubt any serious crypto mining operator (what they call the "big boys") is investing in Kaspa ASICs.  The insane prices of almost $32k for a machine that costs a few hundred dollars to make just doesn't add up.  

This is targeted towards the individual who's got a few ASIC's at home or hosting, also happens to be sitting on some BTC/$$$, and is very easily manipulated by FOMO.  These 'suckers' shell out $32k or more for one or more of these ASIC's, being fooled into believing that 'big boys' are mining Kaspa.  Thinking that Kaspa is somehow this future solution to transactions, crypto, etc.

Bitmain (which I am almost sure) or whoever 'owns' them is somehow related to this, and they are making a killing.

What is worse that they will continue with this and may be open more similar projects in future. It is so easy money and there are so less regulations currently in crypto that it has opened doors fior many types of frauds.

[TastyChillySauce00]

It doesn't take many brain cells to see what's happening.  I doubt any serious crypto mining operator (what they call the "big boys") is investing in Kaspa ASICs.  The insane prices of almost $32k for a machine that costs a few hundred dollars to make just doesn't add up.  

This is targeted towards the individual who's got a few ASIC's at home or hosting, also happens to be sitting on some BTC/$$$, and is very easily manipulated by FOMO.  These 'suckers' shell out $32k or more for one or more of these ASIC's, being fooled into believing that 'big boys' are mining Kaspa.  Thinking that Kaspa is somehow this future solution to transactions, crypto, etc.

Bitmain (which I am almost sure) or whoever 'owns' them is somehow related to this, and they are making a killing.

FOMO is the only thing that helped bitmain to sell their garbage asic. How can bitmain sell their asic if there was no FOMO to help em get demand for their asic?

What is worse that they will continue with this and may be open more similar projects in future. It is so easy money and there are so less regulations currently in crypto that it has opened doors fior many types of frauds.

Once kaspa will reach its total supply and the dev has no more income and im sure that will be making another coin. This is the bad trend that is still continuously happening in the crypto industry. When your project failed or you have no room anymore to make profit from there as a project owner, then make a new one.
You will get it soon. ETF approval is pushing all of regulators are aware about crypto regulatory framework must be done as soon as possible. Even though many people may argue if we are decentralized and we don't need regulation but regulators totally aware about whole of problems in the crypto especially related to the frauds and hack.

[o48o]

I'm back from a long break from altcoins and crypto in general.  During which I was occasionally checking up on BTC news, but didn't really follow anything else.  Recently got back into it after some curiosity.  There is one altcoin that pretty much came out of nowhere that's making a lot of noise. Instantly I'm super skeptical about it after only reading into it very lightly.  Seeing how Bitmain and so many other ASIC makers would suddenly have an ASIC for it (so much quicker than I've seen for any other altcoin).  The coin itself has no utility, it's not any any major exchange, and isn't really that ground breaking, and looks way too 'polished' from a marketing perspective.  I doubt that an ASIC maker would take such a risk on it.  Then, I see the exorbitant price gouging on these ASICS that probably cost no more than a few hundred dollars to make.

Can you elaborate few points? Maybe you lost me here. I start by saying that i am not advocating Kaspa in any way, i know too little of them to do so.

But you are saying it doesn't have an utility? To me it sounds like another L1 solution that tries to solve age old problems and be improvement of the likes of bitcoin. Coins work as an incentive to keep the chain secure, so i am not sure what other utility they would need to have. And when a PoW coin has $3.2 billion marketcap, obviously ASIC makers want to cash out on that.

I don't see anything wrong with trying to make something better or different than bitcoin. It's not an attack to bitcoin, but just normal development. Bitmain would obviously be interested to push this because it's Proof of Work. And i am not sure why it would be strange that they tried to use PoW coin with a 3.2 Billion marketcap on their advantage.

- The entity drives/sponsors the development of a new altcoin/blockchain, gathers some open source community support.  Ultimately, the majority development is fully driven by those employed by the entity.  Many 'community' members are actually employees.

This used to be a common thing with "community" driven projects, and it's natural that project attracts professionals who want to participate. And what would be more motivated worker then a person who have fallen love with the coin, who is also total believer and fanatic.

Maybe i am missing out something obvious you tried to point out here, but people with certain type of rigs are usually lobbying projects that benefit them. I am guessing that lot of FUD against Eth2.0 PoS was organized by people who used to mine eth.

[kotajikikox]

Can you elaborate few points? Maybe you lost me here. I start by saying that i am not advocating Kaspa in any way, i know too little of them to do so.

But you are saying it doesn't have an utility?

Utility is quite subjective in  my opinion especially when one has different purposes or goals with a specific project. Maybe op thought that there was no use for it and just occupies unnecessary space.

I don't see anything wrong with trying to make something better or different than bitcoin. It's not an attack to bitcoin, but just normal development. Bitmain would obviously be interested to push this because it's Proof of Work.

Of course it;s not an attack to bitcoin but if it is not doing what it promise to do then what is the point?

This used to be a common thing with "community" driven projects, and it's natural that project attracts professionals who want to participate. And what would be more motivated worker then a person who have fallen love with the coin, who is also total believer and fanatic.

If the members are just its own employees then it raises questions about its relevancy an potential popularity as well as reliability. Besides there is a higher chance that these employees withdraw just as immediately

[tuaris]

Kadena maybe looks like it is/was a scheme of the same kind, but that one looks to have run it's course.   Or perhaps I'm being too much of a skeptic.  
Some of the ASIC's are super cheap... tempting, but no.

[Tipstar]

I read their whitepaper they want to be as similar to bitcoin but be cheap. They consider themselves the coin that can fulfill the vision of satoshi as a decentralized electronic payment. Bitcoin due to its limited quantity has rose through speculation. Kaspa wants to be a daily useable merchant coin. Kaspa in some language means Silver, they want to be the silver of crypto industry where bitcoin is the gold. But there are already a multiple of mineable coins that claims to be silver or that wants to be a merchant coin, I don't see why kaspa would be a special one. POS coins are also proving themselves as safer as POW and they have no energy and hardware needs as POW coins have.