Some new research just published is showing that the DAO is a naturally declining value investment, i.e. the trend can never be upwards on the price (unless they can make profitable investments that return more ETH than was invested, which is very unlikely because decentralized voting is the antithesis of organization and productivity):
http://hackingdistributed.com/2016/06/13/the-dao-can-turn-into-a-naturally-arising-ponzi/The DAO is an epic fail underway. Anyone who hasn't sold already (or perhaps immediately) is likely going to lose their money.
There is absolutely no reason to not convert your DAO back to ETH, so you will be ready to sell. All upside on your DAO is due to the rise in ETH as others rush in to buy the DAO. Your other alternative is to sell your DAO for ETH so you don't have to wait 48 days before you can sell the ETH, but this costs you 6% as of last time I checked. That is unless you really believe the BS about the DAO making investments that return more ETH than the DAO invests. The above linked research is pointing out the DAO may convert itself into a Ponzi scheme and use its ETH to buy DAO at a discount expecting ETH to rise in price thus returning more ETH than was invested. In that case, holding DAO has upside leverage over holding ETH, but this is a Ponzi scheme that will eventually burst and those still in DAO will be trapped as ETH collapses in price.
Charles Ponzi and Bernie Madoff would be very proud.
...the DAO code into notepad. I find a little over 1000 lines of code, much of it comments. I guess is this is good, since it helps a total layman such as myself get an inkling what is going on. However, even if this code was original, which I doubt; how long would it take someone proficient in coding javascript to come up with this? I highly doubt it took 150 million USD worth of effort.
Of course that DAO code is not even $25,000 of work.
The $150 million was not given to Tual (the DAO coder), but apparently it is going to be possible to top-down game the system to extract some significant portion of that $168 million.
And I believe it was you who eloquently pointed out that the likely motivation for creating the DAO was to provide the insiders more liquidity and time to dump ETH by keeping all those who speculated on ETH locked into ETH longer, as well driving more new speculative capital into ETH.
It is clever and the speculators are willing victims.
What scares me more is someone such as myself, with absolutely no programming skills, can just copy and paste this DAO code, make a few modifications, and then unleash it on the community. Maybe it wouldn't raise millions, but getting $25.00 out of it would far surpass the true value of the work involved.
The only attribute that protects a block chain instance from copycats is the level of permanent user adoption. Bitcoin has this. I don't know to what extent Ethereum has this? I think perhaps none, which is why they had to create the DAO to prevent a mad rush out of ETH and back into Bitcoin. Meanwhile the insiders are probably dumping their IPO tokens.
It is quite normal for a child to stagger and fall, or to try to go with both feet simultaneously, when made its first steps. Ultimately, all starts to walk. The alternative to DAO is known: Federal Reserve, the IMF, the World Bank, the group of Bilderberg. The choice is ours.
But the DAO is worse than Fed. There are some great paradigm shifts we can do with decentralized block chains, but 1) no block chains are scaling decentralized, 2) a decentralized organization is implausible (see my prior posts for the reasons). Decentralized version control open source works because each individual can act independently, i.e. each has their own repository/fork, thus disorganization is an essential attribute of the decentralization.
Admit you missed the ETH train and move on.
So you admit it is time to move on from ETH? You didn't tell him to invest more in ETH at $15.
Btw, you may remember that I called the top at $15, and before it happened I said it would bounce off $7 and make a double-top at $15. I also called the major tops in ETH on the way up towards $15. All the posts are still there for evidence. Not that this is worthy anything. Just saying.
The management of the DAO is still centralized...
Yup. And a huge $168 million money pool for them to expropriate via manipulation over time and/or just a way for them to sell more ETH at high prices with less competition for the available buying liquidity.
V. Butterin dumped on you all.. Satoshi did not.
You're not comparing like with like you clown. Butterin is human and has bills to pay. The fact that he sold a tiny portion of his ETH hodlings to pay down his salary so he could pay these bills
$million is tiny
$million bills and salary for a 20 year old. Not to mention all the tokens his wealthy ($60 million net worth) father and friends probably obtained which are not being documented.
If Vitalik had actually accomplished any thing of long-term technical value with Ethereum, I'd say a $million for the developers would be reasonable. Vitalik got $100,000 cash grant from the bankster/globalist Peter Thiel (Paypal, Bitpay, etc), I presume he took a salary from the $18 million expended since IPO, and also the $18 million expended for all the other developers since IPO.
Many dozens of untold $millions squandered. And what result? The DAO fail and collapse is going to be epic. My popcorn is ready.
Hey but I guess I can appreciate that Ethereum has lead the way towards $multi-million paydays for altcoin launches. That kind of incentive helps to keep a top developer interested in coding for the ecosystem. I am here for idealistic reasons as well, but I doubt I'd be here if the upside for me was only $100,000. Sorry Spoetnik, just being frank.
