Wolf weeping? Because you can not ignore Crypto Scams
Wolf weeping? Because you can not ignore Crypto Scams

Untethered? Bitcoin rolls off Hack to push over $ 8,000

As children, we all heard the story of the boy screaming at the wolf and he learned that the moral was not to raise false alarms, otherwise no one will believe it when a real emergency is reported.

But there is another lesson, less obvious and more disturbing than the fairy tale. It’s the takeaway for the recipients of a rescue call (the villagers in history): even if someone has pulled the leg in the past for a present and present danger, there is still a possibility that this can be seriously serious this time . So if you write it out because of your curriculum, there is a chance that your sheep will be devoured.

This is a big problem for anyone who simply tries to make sense of the cryptographic space, much less to make money in it.

Everything is a scam

Bitcoins, in particular the Bitcoin maximizers, have the habit of calling anything somewhat dubious, or just do not like, a “scam”.

It is a serious charge – fraud is a crime, after all, punishable with the jail – but on Twitter and in encrypted forums is thrown around like high school kids in locker rooms that call each other and losers. However, to be honest, the word “S” is sometimes used in a way that is unmistakably playful.

In a footnote of his hilarious and stimulating essay of 2014, “Everyone is a scammer,” writes Michael Goldstein from the Satoshi Nakamoto Institute, “the scammer is a heuristic, not an accusation.”

If you believe that bitcoin is on the moon, as does Goldstein, then a merchant who accepts it is a cheater, although his alpaca socks are warm and welcoming as advertised, and a HODLer trying to buy it is also a scammer even if fiat offering in return is real.

A scam, in this broad definition, is an attempt to separate you from your bitcoin.

Another way of thinking about this problem is that perhaps moms and pop investors, “all altcoin and ico are scams” is the same as telling the kids that the policemen shoot at their pens. It is not literally true, but if they believe it, they will avoid a danger and you will have made a mitzvah.

In crypt, these dangers may include bad ideas pursued seriously, good misconceptions and definitive scams. Some argue that the first two categories could also be subordinate to the third, for all practical purposes.

Defamation risk

That’s all for the wild west of the crypt, but in civil society the word “scam” implies the intention to deceive. Calling someone a scammer can damage the reputation of that person (unless obviously the accusation is leveled so often, so many people, that nobody attributes more weight to him). Without concrete evidence, the label is potentially defamatory.

You can raise doubts about a business idea or model, or the ability of a team to execute it, without going directly to allegations of fraud. (Sometimes those lines of inquiry could ultimately lead to the discovery of fraud, one of the first holes in Enron’s facade merely suggested that the affairs of the company were overly complex and its stock too expensive, underestimated in retrospect. )

But a four-letter insult is the easiest way to make yourself heard in the screaming game of online conversation, which I suspect is another reason why it is used so casually.

Additionally, if the CEO of the largest US bank may call bitcoin a fraud, while its institution is building a private etherum-based blockchain (a protocol that probably would never have existed without bitcoin) then why should someone worry about choosing your own words carefully?

Wolves not far away

Returning to the villagers who ignored the pastorella, however, there are many obscene schemes in this space.

Just this month, a startup has raised $ 374,000 through an initial offer of coins on ethereum, so it has disappeared, according to Vice. There is a long list of stories like that.

Often the first to question operators are the same using histrionic language on other topics. Which means you can not just shrug your shoulders and rotate your eyes when the trolls mumble “scam”. Sometimes they are right.

Sorting the signal from noise could be more difficult in this area than almost any other.

As children, we all heard the story of the boy screaming at the wolf and he learned that the moral was not to raise false alarms, otherwise no one will believe it when a real emergency is reported.

But there is another lesson, less obvious and more disturbing than the fairy tale. It’s the takeaway for the recipients of a rescue call (the villagers in history): even if someone has pulled the leg in the past for a present and present danger, there is still a possibility that this can be seriously serious this time . So if you write it out because of your curriculum, there is a chance that your sheep will be devoured.

This is a big problem for anyone who simply tries to make sense of the cryptographic space, much less to make money in it.

Everything is a scam

Bitcoins, in particular the Bitcoin maximizers, have the habit of calling anything somewhat dubious, or just do not like, a “scam”.

It is a serious charge – fraud is a crime, after all, punishable with the jail – but on Twitter and in encrypted forums is thrown around like high school kids in locker rooms that call each other and losers. However, to be honest, the word “S” is sometimes used in a way that is unmistakably playful.

In a footnote of his hilarious and stimulating essay of 2014, “Everyone is a scammer,” writes Michael Goldstein from the Satoshi Nakamoto Institute, “the scammer is a heuristic, not an accusation.”

If you believe that bitcoin is on the moon, as does Goldstein, then a merchant who accepts it is a cheater, although his alpaca socks are warm and welcoming as advertised, and a HODLer trying to buy it is also a scammer even if fiat offering in return is real.

A scam, in this broad definition, is an attempt to separate you from your bitcoin.

Another way of thinking about this problem is that perhaps moms and pop investors, “all altcoin and ico are scams” is the same as telling the kids that the policemen shoot at their pens. It is not literally true, but if they believe it, they will avoid a danger and you will have made a mitzvah.

In crypt, these dangers may include bad ideas pursued seriously, good misconceptions and definitive scams. Some argue that the first two categories could also be subordinate to the third, for all practical purposes.

Defamation risk

That’s all for the wild west of the crypt, but in civil society the word “scam” implies the intention to deceive. Calling someone a scammer can damage the reputation of that person (unless obviously the accusation is leveled so often, so many people, that nobody attributes more weight to him). Without concrete evidence, the label is potentially defamatory.

You can raise doubts about a business idea or model, or the ability of a team to execute it, without going directly to allegations of fraud. (Sometimes those lines of inquiry could ultimately lead to the discovery of fraud, one of the first holes in Enron’s facade merely suggested that the affairs of the company were overly complex and its stock too expensive, underestimated in retrospect. )

But a four-letter insult is the easiest way to make yourself heard in the screaming game of online conversation, which I suspect is another reason why it is used so casually.

Additionally, if the CEO of the largest US bank may call bitcoin a fraud, while its institution is building a private etherum-based blockchain (a protocol that probably would never have existed without bitcoin) then why should someone worry about choosing your own words carefully?

Wolves not far away

Returning to the villagers who ignored the pastorella, however, there are many obscene schemes in this space.

Just this month, a startup has raised $ 374,000 through an initial offer of coins on ethereum, so it has disappeared, according to Vice. There is a long list of stories like that.

Often the first to question operators are the same using histrionic language on other topics. Which means you can not just shrug your shoulders and rotate your eyes when the trolls mumble “scam”. Sometimes they are right.

Sorting the signal from noise could be more difficult in this area than almost any other.

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