Crypto Market Overview September 20th | Dex-Trade
DAOs Are Not Corporations: Vitalik Buterin on Decentralized Business
In a new blog post, Ethereum co-founder Vitalik Buterin argues that Decentralized Autonomous Organizations (DAOs) should not follow the path of corporations because they lose their main advantage — decentralized decision-making. “When decisions are convex, decentralizing the process of making that decision can easily lead to confusion and low-quality compromises. When decisions are concave, on the other hand, relying on the wisdom of the crowds can give better answers. In these cases, DAO-like structures with large amounts of diverse input going into decision-making can make a lot of sense.” — Buterin wrote. But, according to the businessman, there is another serious problem of decentralized organizations: they need to find a solution to the so-called “continuity problem.” In effect, this means looking for conditions under which the organization will continue to operate even if the original group of founders retires. The DAO also has to deal with “unexpected uncertainty,” Buterin said. The Ethereum co-founder acknowledges that approaches based on classical governance models may seem more appropriate for solving such problems. Therefore, he argues that some DAOs in the future will resemble "constructs from political science." And they will be of any interest.
The Political Agenda Brings Bitcoin Down: a Pinch of Conspiracy from Willy Wu
Popular market analyst Willy Wu says that the price of Bitcoin is being suppressed by the political agenda and the classic derivatives markets, due to which BTC has literally lost its main property — scarcity. Wu expressed his thoughts to millions of subscribers in a thread under a tweet. He says that with futures contracts, it’s now theoretically possible to sell an “unlimited” amount of Bitcoins, even though the supply of BTC is capped at 21 million. Thus, the big players now have the ability to suppress the price of Bitcoin by simply putting constant pressure on the sale of BTC. “BTC doesn’t have to be killed. It just needs enough shorts in the system to suppress price. Without a large market cap, BTC doesn’t get to make global impact. Presently, the arc of SEC policy has been to increase futures liquidity and dominance by approving multiple futures ETF (exchange-traded funds), while rejecting all spot ETFs. This is now a political game.” Industry proponents have long argued that futures ETFs are even better for price manipulation than spot products. By the way, SEC Commissioner Hester Pierce was a vocal supporter of the spot ETF and stated that the regulatory agency works with BTC and altcoins under different standards.
Crypto Scammers Have Moved to Tiktok: Better Business Bureau Warns
The Better Business Bureau (BBB), a private non-profit organization that focuses on business trust issues, has warned that the classic crypto scam advertising mechanisms have migrated to Tiktok. The BBB said that “as Tiktok’s popularity grows, so do the con artists”: “You are scrolling through Tiktok when you come across a video showing a pile of cash. The creator says they earned the stack of money in just a few days by investing in cryptocurrency.” Familiar nonsense, isn't it? However, as is the case with other platforms, there are many people who fall for the offer of scammers. “Black TikTokers” can promise to turn a few hundred dollars into several thousand with the help of a crypto in the shortest possible time. According to the BBB, some scammers are even 100% guaranteed to triple your investment in less than a week. At the investment stage, you will receive excellent service, professionalism and, of course, a lot of promises. Problems begin only at the stage of withdrawal of funds. Most likely, scammers will ask you to pay commissions and threaten to lose your investment if you want to return the money earlier than planned. In any case, there is a golden rule: all people who offer you quick money without much effort are scammers. You shouldn't forget him.