To be fair, this is true of almost all assets, including dollars. They are only valuable because we all agree that they are valuable and use them as a means of exchange. Stocks have some inherent value, as you own a portion of the company's physical assets, but mostly you own a piece of a social construct. Gold is somewhat valuable, because it is a good component for making electronics, but most of its value comes from people thinking it is valuable. Really, only commodities have an inherent value that matches up to their selling price. Even real estate is valued more for its proximity to other desirable things than its inherent qualities of being good for growing crops or supporting buildings. Dollar bills are all but useless without the social contract, yet most of us don't consider them a ponzi scheme.

That said, I don't think enough people are going to get on the NFT train with enough confidence to make them a stable means of storing and exchanging value. They are just too arbitrary, and though people talk alot about what valuable things can be done with the technology, I've yet to see anything compelling actually done with it.

Apples to oranges. If I have a 4% savings account in dollars 250k is insured against theft. Only inflation can change their value. Neither of which are true about these meaningless tokens created by polyamourous friends in a bahamas penthouse. And thus why people heavily invested in them are now broke. Same with a stock. Apples to oranges. Companies have physical assets and provide physical goods or services through the company. NFTs are similar to artwork. Worth whatever someone thinks they are worth. Except there is nothing unique about an NFT. It was created to sell. Artwork is created for art and thus the reason it becomes valuable is the skill and beauty of the creator and what he makes. Real estate is tangible. People live or work there. Im not sure any of your comparisons are close.

NFTs and most crypto (other than bitcoin) are closest in relation to ponzi schemes. Not dollars, not real estate, not stocks. Proof of that is all around us.

I would argue that they are more analogous to tulip bulbs. They do create something, but whether that something is anywhere near as valuable as what people are paying for the potential of is highly suspicious.

But dollars themselves are the ultimate apples to apples comparison. They are only valuable because the government says so, and most people believe them. NFTs are only valuable because the internet said so and some people believe them. The problem is, not enough people believe them and lots of people bought them not because they actually found them inherently valuable, but because they thought other people would and they could make a profit. Without real trust in the value, they will always be at best a speculative investment and at worst ponzi-like in that investors who don't want to hold NFTs are insensitived to talk them up in order to make a profit.

Bitcoin doesn't have much inherent value either, but at least a lot more people believe it does, so its not as volatile as other blockchain "assets."

100s of years vs 2 years of internet. Not apples to apples. I can walk into any store in the country and buy whatever I want with dollars. Take your crypto coin to the grocery store and see how that works.

Also we dont have 20 forms of currency. Another government in our country does not print yen, or rupees or anything else that are accepted by our government. Bitcoin was created to get away from government having controlof our finances. Now it is closer to regulation and all these other crypto companies were created as pnzi like cash grabs to spin off bitcoins success

Exactly, everyone believes dollars have value because the system works and has worked for generations, whereas crypto is new and trust is low. Not exactly, though, in that dollars used to have an inherent value in gold (though that too is mostly valuable because of widespread public trust in its value) and only became a completely fiat currency in 1971. It is no coincidence that the inflation in the 70s was horrible, as that move damaged public trust in the dollar's value.

Value is all about trust. I don't trust in NFTs or crypto, but many people do (did?). I do trust in dollars, as any shock big enough to make them worthless would likely make most other inedible assets worthless as well, and the chances of that happening are slim enough that I feel no need to become a prepper. I don't trust that the dollar's value is inherent and stable, though. That's what inflation (and occasionally deflation) are all about.

Im not sure how you cNt trust a dollars value? It has increased or decreased in value maybe 15% tops in a year. There is zero chance of it going to zero or close without the world as we know it ending, This last token collapsed and everyone laughed and said I told you so. How many tokens have collapsed. And the NFTs. Lol. You have to be special to trust them even a bit. Your probability of losing all your money has to be 20x as high as doubling your money. Like putting your roll on red 18.

A citizen can pay taxes to his government with USD.

And another crypto about to bust. Genesis. Suspends withdrawals because they have zero liquidity. Anyone want to buy a don mattingly 1985 Donruss? $100? How about $1?

I'm beginning to wonder if you even read my posts.

I agreed that NFTs are a silly investment and said that I don't worry about the dollar collapsing. I'm just saying that they similarly derive value from belief. It's just that one of them has more belief (and, imo, for very good reasons) than the other

Larry.. the thing you cant seem to open your mind to... uses of blockchain (currenly Defi and NFTs) is still in infancy

Calling all NFTs/currency ponzis, would be akin to calling all .com companies ponzi's in the 90s.

Yup most were, yup most went to zero.

But out of all that mess came meta, twitter, uber, airbnb, amz.... etc etc etc

TCIPIP brought forth the internet

Blockchain brought forth ????

We don't really know yet. Thats what makes it very exciting. Out of the ashes of all these horrible investments and carnage, will emerge totally new ways that society operates.

Open your mind, you might be missing out on pretty large investment opportunity for some serious wealth creation . But you are correct, buying chit coins is not the way

Those companies you list provide a service. NFTs provide a graphic and it is worth whatever some dumbass will pay for it. You can dabble in blockchain all your want. But it is like betting on the lottery. The more people who play the more money available to win. But alsoyou are going to lose still. Nfts are done man. People dont have piles of cash to invest in ponzis any more.

NFTS PROVIDE NO SERVICE TODAY. TODAY TODAY....please say that 10 times

For god effing sakes why are you so obtuse

There will come a time where "NFTS" are used for medical records, title insurance, logistics/mfg etc etc

ps (but even for today's NFT market your understanding of them is woefully narrow minded, so nothing can be gained for either us with continuing to discuss. Its impossible to discuss new ideas with someone whose mind is closed shut )

thread full of mis- and disinformation.

Garick you are completely clueless, there's no way that you ever studied smth related to economics or finance or worked in any related industry. you don't know what a stock is, you don't know what inflation is, you don't know what a NFT is, etc.

most other posters simply don't understand what a NFT is and what the difference b/w NFTs and crypto currency is.

it's hilarious that this thread revives every single time a market crash happens because of all the "i told you so" posters. as if a loss in market cap, a crash of a centralized crypto exchange, or the discovery of another unregulated ponzi scheme have anything to do with the underlying technology and its future demand. if you want to get an idea of whether or not NFTs are a "thing", go research which companies are investing into web3.

i realize it's tough to assess crypto as the tech is hard to understand and there is a lot of noise. here's some fun facts to help you put things (loosely) into perspective:

bis tech has lost hundreds of billions in market cap over the last year (source: https://www.cnbc.com/2022/10/27/the-...-one-year.html). where's the outcry, are tech stocks dead?

Lehman Brothers lost hundreds of billions mostly with CDOs during the financial crisis despite being fully regulated, other banks did as well. trillions of dollars were lost as an effect (https://www.investopedia.com/article...s-collapse.asp). did banks, financial markets or derivatives die?

most ppl here need to stfu and read a book (or ten).

It's amazing people can still believe this without realising how stupid and flawed it is.

You are so open minded and correct. I am such an idiot. That sour ape will save humanity with billing in 10 years. I dont know.

Also instead of gold start saving your concrete. About to be a precious metal. I know it isnt metal. Have an open mind.

Lehman brothers one of biggest house builders in the world lost money when people could not afford to buy houses? Omg. They are no better than nfts you are correct. They are also the same as sour ape. If I only I had your information. Not misinformation. NFTs. To live in. Genius.

https://www.ft.com/content/028e0109-...0-996cf645ce04

I think u can quote me as saying nft technology is no big deal. Feels good to be correct

i partly agree with you that there are some proposed applications for blockchain tech that are flawed and where centralization (aka the way things are handled now) is much better. another example for this is banks sharing data @leviathan74.

completely clueless. you also don't know what a NFT is.

it's like playing chess with a pigeon, no matter what happens at one point preki will just knock over all the pieces, **** on the board, and strut about like they won anyway.

Read an article that said software that works for 30 years now is better and simpler than this blockchain technology you think is the future. Aka banks sharing data or mortgage applications etc. The ways already in place are far superior. An NFT is a digital copyright of some created picture. Completely worthless. Rare as a 1987 topps baseball card. Open your mind.

Is that the NFT you bought?

preki, 11 minutes into 2021 Superbowl: "I think u can quote me as saying Buccaneers are no big deal. Feels good to be correct"