AuthorTopic: P O O F ! Goes The Crypto  (Read 5015 times)

Offline RE

  • Administrator
  • Chief Cook & Bottlewasher
  • *****
  • Posts: 32347
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #60 on: February 06, 2018, 01:25:31 PM »
Sounds like we could write a great story about that gold, the ship in the Sea of Cortez, and the Civil War. I want to make a movie of that one.

If we actually find it, we sure could.  That would really be something.  We'd probably make more off the movie rights than the gold, so we could just give the coins to Wells Fargo for a finders fee of 20%.  Then it's all legal.

RE
SAVE AS MANY AS YOU CAN

Offline Eddie

  • Administrator
  • Master Chef
  • *****
  • Posts: 14332
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #61 on: February 06, 2018, 01:37:21 PM »
We could get Quentin Tarantino to direct it. I see it as an homage to Sergio Leone's spaghetti westerns. "Like Two Mules for Sister Sarah", (but better , of course. :) )

<a href="http://www.youtube.com/v/OVC7aZoxPmU&fs=1" target="_blank" class="new_win">http://www.youtube.com/v/OVC7aZoxPmU&fs=1</a>

Not Sergio Leone. That's why this one wasn't as good as the others. It's a Hollywood copycat.


What makes the desert beautiful is that somewhere it hides a well.

Offline azozeo

  • Sous Chef
  • ****
  • Posts: 5853
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #62 on: February 06, 2018, 01:44:03 PM »
Sounds like we could write a great story about that gold, the ship in the Sea of Cortez, and the Civil War. I want to make a movie of that one.

Ever hear of the legend of the ghost ship in the desert? This one's just for you AZ.

https://en.wikipedia.org/wiki/Lost_Ship_of_the_Desert

Excellent find Ed...

That brings up a stellar  :icon_sunny: point in the buried treasure here.
Very close to the canyon station property lies a modern day lake type boat, perhaps 60's era.
When RE posts the map we need to locate that boat for reference point.
I know exactly what you mean. Let me tell you why you’re here. You’re here because you know something. What you know you can’t explain, but you feel it. You’ve felt it your entire life, that there’s something wrong with the world.
You don’t know what it is but its there, like a splinter in your mind

Offline Eddie

  • Administrator
  • Master Chef
  • *****
  • Posts: 14332
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #63 on: February 06, 2018, 01:45:07 PM »
Camels. It would have camels.....didn't they have camels in the desert West during the Civil War? I'm pretty sure they tried it.

Clint Eastwood could make a cameo appearance....or maybe play the CEO of Wells Fargo, or Abraham Lincoln or some other part appropriate for an old fuck.

I could so write the screenplay for this...if I only knew anything about how to write a screenplay, that is.



What makes the desert beautiful is that somewhere it hides a well.

Offline azozeo

  • Sous Chef
  • ****
  • Posts: 5853
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #64 on: February 06, 2018, 01:47:29 PM »
Sounds like we could write a great story about that gold, the ship in the Sea of Cortez, and the Civil War. I want to make a movie of that one.

If we actually find it, we sure could.  That would really be something.  We'd probably make more off the movie rights than the gold, so we could just give the coins to Wells Fargo for a finders fee of 20%.  Then it's all legal.

RE

Fuck'em...
You're dealing with pi-ra-tes, MEN OF FIRE, here.
We keep the shit hidden in plain site. Just like them.
I know exactly what you mean. Let me tell you why you’re here. You’re here because you know something. What you know you can’t explain, but you feel it. You’ve felt it your entire life, that there’s something wrong with the world.
You don’t know what it is but its there, like a splinter in your mind

Offline Golden Oxen

  • Golden Oxen
  • Master Chef
  • *****
  • Posts: 11504
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #65 on: February 07, 2018, 12:27:51 PM »
Bitcoin appears to be making a valiant effort at bottoming somewhere in this area.

Not a prediction, just a casual observation.

Whack of 70 percent or so right off the top a most unusual occurrence. Would seem at least a dead cat bounce soon.   :dontknow:

Offline azozeo

  • Sous Chef
  • ****
  • Posts: 5853
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #66 on: February 07, 2018, 01:28:50 PM »
https://www.politico.com/story/2018/02/05/pentagon-logistics-agency-review-funds-322860

I know exactly what you mean. Let me tell you why you’re here. You’re here because you know something. What you know you can’t explain, but you feel it. You’ve felt it your entire life, that there’s something wrong with the world.
You don’t know what it is but its there, like a splinter in your mind

Offline RE

  • Administrator
  • Chief Cook & Bottlewasher
  • *****
  • Posts: 32347
    • View Profile
💰 “Blockchain” Stocks Completely Disintegrate
« Reply #67 on: February 19, 2018, 12:46:01 AM »
https://wolfstreet.com/2018/02/18/blockchain-stocks-completely-disintegrate/

“Blockchain” Stocks Completely Disintegrate
by Wolf Richter • Feb 18, 2018 • 10 Comments   
Black Friday for them. Meet the OTC’s “skull and crossbones.”


I’ve never seen a sector skyrocket and totally collapse this fast – in four months – as these newfangled “blockchain stocks.” Now they’re surrounded by debris and revelations of scams. These fly-by-night or near-failure outfits used the hype of “blockchain” and the whole media razzmatazz about cryptocurrencies to manipulate up their stocks, sometimes by several thousand percent in a matter of days.

I vivisected some of these outfits and their stock manipulation schemes on the way up. And on January 25, I documented Phase One of the collapse. This is now Phase Two of the collapse. And dip buyers are still not through getting crushed.

UBI Blockchain International got totally mangled. When I last wrote about UBIA on January 25, it was down 93% from the peak six weeks earlier. Since then, all heck has broken loose. On Friday, OTC Market, where the shares had been demoted to, slapped a “skull-and-crossbones” icon next to the ticker and no longer displays a quote.

It started out so promising: Over the course of a few days in mid-December, UBIA skyrocketed 1,500% to $115 a share intraday.


    December 28, I tarred and feathered the company, its executives, their shenanigans, and their Chinese connection [for details, read, I’m in Awe of How Far the Scams & Stupidities around “Blockchain Stocks” are Going].
    January 9, the SEC halted trading in UBIA, for two reasons: lacking “accuracy” in disclosures and funny trading activity. The trading halt froze the share price at $22.
    January 23, when trading resumed, shares plunged further.
    January 25, when I last wrote about it, they were at $8.25, down 93% from the peak.
    February 9, the company disclosed in its quarterly SEC filing that it had zero revenues and a quarterly loss of $1.24 million. It repeated that its ability to go on as a “going concern” depended on getting new financing and its “ability to achieve and maintain profitable operations.” Fat chance.
    February 15, shares closed at $6, down 95% from the peak.

Friday, February 16, OTC Markets Group stopped displaying quotes of UBIA, labeled the shares “Caveat Emptor (Buyer Beware),” and placed the skull-and-crossbones icon next to the stock symbol. It told investors to “exercise additional caution and perform thorough due diligence before making an investment decision in that security.”

In other words, the normal ways of obtaining a quote – on otcmarkets.com, MarketWatch, Yahoo, Bloomberg, WSJ, etc. – have disappeared. These shares are essentially goners.

Riot Blockchain down 75% from the peak. The vultures are circling. This was a failing biotech outfit called Biotix with annual revenues of less than $200,000 over the past four years, generating a total of $34 million in losses. Shares were trading at around $4.50. But on October 4, it announced that it would change its name and start investing in cryptocurrency and blockchain startups. BAM went the shares – up nearly 1,000% to $46.20 by December 19. But by January 25, they’d plunged 61% to $17.92.

On Friday, shares plunged 33.4% to $11.46 after CNBC published the results of its investigation into the shenanigans of the executives, a major investor, and the company.

Later that day, I received an email from U.S. Market Advisors Law Group PLLC. The law firm “represents investors in antitrust, securities and shareholder litigation.” It announced “the completion of an initial investigation on behalf of investors” into “whether Riot Blockchain and certain of its officers and directors violated federal securities laws”:

    As a result of its findings, the firm has prepared, but not yet filed, a proposed class action complaint to recover losses suffered by Riot Blockchain investors.

The law firm explained how the biotech company changed its name and used the hype around blockchain announcements to manipulate up its shares. Then…

    On December 29, 2017, after the market closed and heading into a three-day holiday weekend, John O’Rourke, the Company’s new Chief Executive Officer, made an SEC filing revealing he had sold over 30,000 Riot Blockchain shares. On this news, Riot Blockchain’s stock price declined more than 14% over two trading days.

    On January 31, 2018, before the market opened, the Wall Street Journal published an article detailing investor Barry Honig’s involvement with Riot Blockchain and his trading of the company’s shares. On the same day, Riot Blockchain announced that its annual shareholder meeting would be postponed for a second time. On this news, Riot Blockchain’s stock price declined more than 14% over two trading days.

    On February 16, 2018, CNBC reported that Riot Blockchain’s operations raise a number of “red flags,” including: (i) insider selling; (ii) making no apparent effort to timely hold annual shareholder meetings; and (iii) diluting the common stock. On this news, Riot Blockchain’s stock price fell more than 30% during intraday trading.

Not that dip buyers won’t plow in and drive up the shares for a little while. But RIOT is likely a goner too.

Long Blockchain Corp down 66% from the peak. LBCC is a failing beverage-maker that was called Long Island Iced Tea until December 18. With the name-change announcement, it manipulated its shares up by 360% from $2.06 on December 18 to $9.49 a few days later.

This scheme was hatched as the company had received a delisting notice from the Nasdaq, which it disclosed on October 13, 2017 in an SEC filing. The reason was that its market capitalization had dropped below the minimum of $35 million for 30 consecutive trading days.

It averted a delisting with the scheme of changing its name to “Long Blockchain” and peppering the announcement with gobbledygook about its new “blockchain” business model. Its market cap surged along with the shares. But…

    January 5, when it announced that it would sell 1.6 million shares in a secondary offering, shares crashed 21%.
    January 9, under intense scrutiny, it canceled the stock offering.
    January 25, when I last wrote about it, shares had plunged 61% from the peak to $3.72 and continued to drop until they hit $2.82 on January 30. Then dip buyers piled in and pushed shares back to $3.63.

On Friday, February 16, shares plunged 11% to $3.23. This leaves them down 66% from the peak. What caused the plunge?

On Thursday, the company had disclosed in an SEC filing that it had received another delisting notice from the Nasdaq. The company can appeal the delisting. But even if it wins the appeal, it will have to keep its market cap above $35 million for a minimum of 10 trading days in a row by April 9. As of Friday’s close, its market cap was $33 million.

Longfin down 76% from the peak. LFIN went public in November. On December 15, the company announced a mix of gobbledygook, hype, and silliness about having acquired a “Blockchain-empowered solutions provider,” namely some website that belonged to a Singapore corporation that is 95% owned by Longfin’s CEO. It didn’t pass the smell test.

But shares skyrocketed 2,700% over the three-day period to an intraday high of $142.82 on December 18, pushing the company’s market cap to a fabulous $7 billion and making it the role model of every “blockchain” scammer out there. By January 25, LFIN had plunged 71% to $41.61. On Friday shares plunged 18%. At $34.40, shares are now down 76% from the peak.

DPW Holdings down 70% from the peak. This was a penny stock before it came up with its blockchain scam. The company makes power supplies for computers. But when it announced that it would market its power supplies to cryptocurrency miners, shares skyrocketed 880% from $0.56 on November 21 to an intraday high of $5.95 on December 18. On Friday, the stock fell 6.4%. At $1.76, shares have plunged 70% from the peak.

On-line Blockchain [OBC] down 44% from the peak. This is another name-change scam. The company was called On-line Plc, a thinly traded penny stock in London. After it changed its name, its shares spiked nearly 1,000%, from 14 pence to 152 pence by January 9. By January 25, shares had plunged 35% from the peak to 97 pence. On Friday, shares dropped 7% and closed at 84.55 pence, down 44% from the peak.

Eastman Kodak [KODK] down 47% from the peak. Kodak’s blockchain-and-crypto manipulation scheme wasn’t a name change but an announcement on January 9 of a “blockchain initiative,” including its own cryptocurrency, KodakCoin. Shares soared 300% in two days, from $3.10 to $12.40. Interestingly, on January 8, the day before the announcement, seven independent directors awarded themselves big-fat stock grants. By January 25, shares had dropped 23% from the peak to $9.50. On Friday, shares dropped 7.8% to $6.55, and are down 47% from the peak.

Seven Stars Cloud Group [SSC] down 55% from the peak. The Chinese video-on-demand outfit, which is traded on the Nasdaq, manipulated its shares up by 200% from $2.33 on December 8 to $7.00 intraday on December 26, by claiming that it had taken a 27% stake in The Delaware Board of Trade Holdings, a private company. By January 25, shares had plunged 40% to $4.13. On Friday, they dropped 4.5% to $3.17 and are down 55% from the peak.

Siebert Financial Corp [SIEB] down 63% from the peak. Its shares had jumped nearly 400%, from $4.40 to $21.64 by December 21 after the 50-year-old New York brokerage announced on December 14 that it would venture into cryptocurrency trading. By January 25, they’d plunged 54% from the peak to $9.65. On Friday, they dropped 4% to $8.10, down 63% from the peak.

This amazing spectacle – these scams that caused stocks to soar and plunge over a period of four months – was brought to you by the greatest central-bank-fueled market ebullience and speculative fever mankind may have ever seen. And it may be a sign that the fever has broken.
« Last Edit: February 19, 2018, 01:24:37 AM by RE »
SAVE AS MANY AS YOU CAN

Offline azozeo

  • Sous Chef
  • ****
  • Posts: 5853
    • View Profile
Re: P O O F ! Goes The Crypto
« Reply #68 on: February 20, 2018, 11:35:48 AM »
https://cointelegraph.com/news/polish-central-bank-secretly-funds-anti-crypto-youtube-propaganda-videos

I know exactly what you mean. Let me tell you why you’re here. You’re here because you know something. What you know you can’t explain, but you feel it. You’ve felt it your entire life, that there’s something wrong with the world.
You don’t know what it is but its there, like a splinter in your mind

Offline azozeo

  • Sous Chef
  • ****
  • Posts: 5853
    • View Profile
P O O F ! Goes The Crypto - Venezuela issues Crypto backed by Oil
« Reply #69 on: February 22, 2018, 09:43:57 AM »
http://thefreethoughtproject.com/venezuela-cryptocurrency-petro-oil-backed/

I know exactly what you mean. Let me tell you why you’re here. You’re here because you know something. What you know you can’t explain, but you feel it. You’ve felt it your entire life, that there’s something wrong with the world.
You don’t know what it is but its there, like a splinter in your mind

Offline RE

  • Administrator
  • Chief Cook & Bottlewasher
  • *****
  • Posts: 32347
    • View Profile
💳 TD Bank The Latest to Halt Cryptocurrency Purchases Using Credit Cards
« Reply #70 on: February 25, 2018, 12:01:50 AM »
https://insidebitcoins.com/news/td-bank-the-latest-to-halt-cryptocurrency-purchases-using-credit-cards/107975

TD Bank The Latest to Halt Cryptocurrency Purchases Using Credit Cards


By Gregory Rocco Feb 24, 2018 2:30 AM EST

Toronto-Dominion (TD) Bank is the latest financial institution to ban customers from using their credit cards to purchase cryptocurrency. As more retail investors continue to be onboarded, banks are looking to protect them from making ignorant decisions.
Weighing Risk, Regulation, and Rapidity

In a recent move that has become common from banks, TD Bank is effectively halting the use of credit cards to purchase cryptocurrency. Originally still permitting purchases even after the first move from banks began, TD Bank has now fallen in line with a growing policy change.

    At TD, we regularly evaluate our policies and security measures, in order to serve and protect our customers, as well as the bank. We recently made the decision to pause on allowing cryptocurrency purchases via credit cards to conduct a review and assessment of this evolving market.

Other Canadian banks, such as Royal Bank, have still been watching from the sidelines when it comes to credit purchases, but they too might soon follow in the footsteps of TD and most major international banks.

credit card
Banks are Moving to Protect Credit Lines

Earlier in the month, major banks including JPMorgan Chase, Bank of America, Citigroup, and Virgin Money all effectively banned purchasing cryptocurrency on credit cards. Although plenty in the space saw this as a move by the banks to stifle investment in this alternative asset class, the underlying premise of the ban had a bit more substance than a simple block.

As cryptocurrency saw historic rallies during the month of December, along with a subsequent fall beginning in January, plenty of retail investors were washed out from the markets. However, even with the media continually putting an emphasis on the volatility risk of cryptocurrency, credit cards became a quick way to invest.

The action of the banks was not a move to prevent people from buying cryptocurrencies but, rather, to prevent vacuous decisions. The ban was more of a safeguard, considering most investors not being able to pay back the issued credit due to the crashing prices.
A Growing Trend Set to End

As the markets fell, so did the interest to buy bitcoin on a credit card. According to Google trends data, search interest for the phrase “buy bitcoin with credit card” fell nearly 80% between the end of December and now – the exact period of time during the major market decline.

bitcoin search trend

Although popular cryptocurrency exchanges, such as Coinbase and BitStamp, allow credit card transactions, users are finding their transactions declined upon attempting to make purchases.

You can’t purchase traditional investments with a credit card, so it’s not surprising that the banks put their foot down when it came to cryptocurrency. Moving forward, banks that haven’t imposed a ban will most likely do so in the future. The days of purchasing cryptocurrency on credit are numbered.
SAVE AS MANY AS YOU CAN

Offline azozeo

  • Sous Chef
  • ****
  • Posts: 5853
    • View Profile
P O O F ! Goes The Crypto
« Reply #71 on: February 27, 2018, 03:35:55 PM »
http://theantimedia.org/bank-of-america-admits-cryptocurrencies-threaten-business-model/




The Antimedia

(ANTIMEDIA)  — The world’s major banking institutions, however begrudgingly, may be starting to change their tune on the legitimacy of cryptocurrencies. Though not surprising, this shift is rooted in the most selfish of reasons — survival.

Last week, in an annual report filed with the U.S. Securities and Exchange Commission, Bank of America acknowledged that the growing acceptance of digital assets like bitcoin poses a major threat to its business model.

“Technological advances and the growth of e-commerce have made it easier for non-depository institutions to offer products and services that traditionally were banking products,” the report authors write, noting that this increased competition could “reduce our net interest margin and revenues.”

Indeed, Bank of America, which recently barred its customers from using credit cards to purchase cryptocurrencies, seems very much concerned that this “widespread adoption of new technologies, including internet services, cryptocurrencies and payment systems” could have it falling out of favor with customers if it doesn’t adapt to the changing landscape:

“Clients may choose to conduct business with other market participants who engage in business or offer products in areas we deem speculative or risky, such as cryptocurrencies.”

A failure to do adapt, the report states, could “negatively affect our earnings” and adversely affect “the willingness of our clients to do business with us.” Staying relevant, however, would require “substantial expenditures” to Bank of America’s existing business model.

On the issue of adapting, the authors acknowledge that Bank of America already faces “competitors with more experience and more established relationships with clients, regulators and industry participants in the relevant market, which could adversely affect our ability to compete.”

Astonishingly, the report even admits that the bank may already be too late to the game:

“We might not be successful in developing or introducing new products and services, integrating new products or services into our existing offerings, responding or adapting to changes in consumer behavior, preferences, spending, investing and/or saving habits, achieving market acceptance of our products and services, reducing costs in response to pressures to deliver products and services at lower prices or sufficiently developing and maintaining loyal customers.”

While this is just one report from one bank — a bank that happens to be the second largest in the U.S. in terms of assets — it’s difficult to imagine that other major financial institutions aren’t experiencing similar concerns about the ever-expanding cryptocurrency movement.



I know exactly what you mean. Let me tell you why you’re here. You’re here because you know something. What you know you can’t explain, but you feel it. You’ve felt it your entire life, that there’s something wrong with the world.
You don’t know what it is but its there, like a splinter in your mind

Offline RE

  • Administrator
  • Chief Cook & Bottlewasher
  • *****
  • Posts: 32347
    • View Profile
Crypto Carnage Continues - Bitcoin Back Below $7,000, Ether Under $400
« Reply #72 on: March 30, 2018, 12:14:12 PM »
Are the Winklevoss Twins still Billionaires?  ???   :icon_scratch:

RE

https://www.zerohedge.com/news/2018-03-30/crypto-carnage-continues-bitcoin-back-below-7000-ether-under-400

Crypto Carnage Continues - Bitcoin Back Below $7,000, Ether Under $400

Despite a brief bounce overnight, cryptos are sliding once again with Bitcoin below $7,000; Ethereum below $400; and Ripple back below 50c.

"It's a sea of red," said one seasoned crypto-trader, adding after a stoic pause, "again!"

Amid the worst month for tech stocks in years, cryptos are in freefall...

 

 

Bitcoin is back below $7,000...

 

Heading towards its early Feb lows...

 

As CoinTelegraph notes, the overall market slump could be attribued to both Twitter’s recent announcment that would ban crypto-related ads, following on the heels of similar announcements from Google and Facebook, or Mailchimp’s apparent closure of crypto-related accounts.

In response to the social media ad bans, crypto and Blockchain associations in RussiaSouth Korea, and China have created a joint assocation in order to sue the social media giants, including Yandex, referring to the bans as “market manipulation” by “monolopies.”

Regulatory crackdowns on crypto could also be compounding the market’s downward trend, as two Japanese exhanges this week have decided to close instead of working with regulators for compliance.

SAVE AS MANY AS YOU CAN

Offline RE

  • Administrator
  • Chief Cook & Bottlewasher
  • *****
  • Posts: 32347
    • View Profile
Cryptogeddon - Bitcoin Breaks Below $7,000; Ether Down 75% From Highs
« Reply #73 on: April 01, 2018, 11:58:20 AM »
I don't think the Winklevoss Twins are Billionaires anymore.  :(

RE

https://www.zerohedge.com/news/2018-04-01/cryptogeddon-bitcoin-breaks-below-7000-ether-down-75-highs

Cryptogeddon - Bitcoin Breaks Below $7,000; Ether Down 75% From Highs

As if the last few weeks were not bad enough, cryptocurrencies are re-tumbling since Friday's close.


 Once again there is no clear catalyst but headlines from crypto world include South Korean and Thai regulators preparing to unveil their crypto-tax proposals (and notably the maze of details surrounding US tax requirements for cryptos may also be forcing some unwinds to cover unforeseen 'costs').

The Kazakh National Bank has banned crypto-mining and The FBI has issued a warning regarding fraud and cryptos.

Bitcoin is now below $7,000 - a level it first hit in October 2017 - down 67% from its record high in December.

Ethereum is worse - down 75% from its highs and back below $400, this is the lowest level for the second largest crypto by market cap since November 2017.

 

While this collapse is very reminiscent of the dotcom debacle, CoinTelegraph's Nikolai Kuznetsov  sees innovation and sustainability.

While it is only prudent and smart for anyone entering the crypto space to proceed with caution especially when it comes to trading and investing in crypto assets, it would be unfair to be totally dismissive of what the Blockchain technology has brought about. The parallels with the dotcom bubble should serve as lessons to stakeholders.

One must remember that the aftermath of the dotcom bubble also affirmed that truly innovative organizations and technologies could weather the storm. Companies such as Amazon and eBay proved that pairing novel ideas with good business acumen can lead to success. Surely, the situation today with crypto and the environment of dotcoms from nearly twenty years ago would have their differences. Ventures must be able to navigate these nuances in order to make the best possible decisions moving forward.

Whether or not crypto ventures will share a similar fate to dotcoms remains to be seen. At least for now, crypto stakeholders have a chance to write a different story.

SAVE AS MANY AS YOU CAN

Offline RE

  • Administrator
  • Chief Cook & Bottlewasher
  • *****
  • Posts: 32347
    • View Profile
💸 Collapse of Cryptocurrencies
« Reply #74 on: April 02, 2018, 02:15:55 AM »
https://wolfstreet.com/2018/04/01/collapse-of-cryptocurrencies-in-q1-even-the-biggest-crashed-67-to-88/

Collapse of Cryptocurrencies in Q1: Even the Biggest Crashed 67% to 88%
by Wolf Richter • Apr 1, 2018 • 33 Comments   


But nothing goes to heck in a straight line.

I don’t think there has ever been an entire sector that skyrocketed as much and collapsed as quickly as the cryptocurrency space. The skyrocketing phase culminated at the turn of the year. Then the collapse phase set in, with different cryptos choosing different points in time.

It doesn’t help that regulators around the world have caught on to these schemes called initial coin offerings (ICOs), where anyone, even the government of Venezuela, can try to sell homemade digital tokens to the gullible and take their “fiat” money from them and run away with it. There are now 1,596 cryptocurrencies and tokens out there, up from a handful a few years ago. And the gullible are getting cleaned out.

And it doesn’t help that the ways to promote these schemes are being closed off, one after the other.

At the end of January, Facebook announced that, suddenly, “misleading or deceptive ads have no place on Facebook,” and it prohibited ads about ICOs and cryptos.

On March 14, Google announced that it will block ads with “cryptocurrencies and related content,” including ICOs, cryptocurrency exchanges, cryptocurrency wallets, and cryptocurrency trading advice. Its crackdown begins in June.

On March 26, Twitter announced that it would ban ads of ICOs, cryptocurrency exchanges, and cryptocurrency wallet services, unless they are by public companies traded on major stock markets. It will roll out its policy over the next 30 days.

On March 29, MailChimp, a major email mass-distribution service, announced that it will block email promos from businesses that are “involved in any aspect of the sale, transaction, exchange, storage, marketing or production of cryptocurrencies, virtual currencies, and any digital assets related to an Initial Coin Offering.” This broadened and tightened its policy announced in February that promised to shut down any account related to promos of ICOs or blockchain activity.

The overall cryptocurrency space, in terms of market capitalization, peaked on January 4, when market cap reached $707 billion, according to CoinMarketCap. Less than three months later, market cap has now plunged by 65% to $245 billion. $462 billion went up in smoke.

Here’s how the top five cryptos did over the past few months. Together they account for 76% of the total market cap of the space:

Bitcoin plunged 67% from its peak of $19,982 on December 17, to $6,573 at the moment. In just over three months, its market cap collapsed by $225 billion, from $336 billion to $111 billion. But as this chart shows, nothing goes to heck in a straight line (chart via CoinMarketCap):

Ethereum plunged 74% from its peak of $1,426 on January 13, to $367 at the moment. Market cap collapsed by $102 billion, from $138 billion to $36 billion (chart via CoinMarketCap):

Ripple plunged 88% from its peak of $3.84 on January 4 to $0.47. Over the period, its market cap went from $148 billion to $18 billion. On March 28, when I last wrote about the collapse of Ripple, it was at $0.57, but has since plunged another 18% (chart via CoinMarketCap):

Bitcoin Cash plunged 85% from its peak of $4,138 on December 20 to $632 at the moment. Market cap dropped from $70 billion to $10.8 billion. It was split from Bitcoin last August. On November 12, I featured Bitcoin Cash, in an article subtitled “Peak Crypto Craziness?” I was observing, practically in real time, how it quadrupled in two days to $2,448. It is now back where that quadrupling had started out:

Litecoin plunged 70% from its peak of $363 on December 19, to $110 at the moment. Curiously, its founder admitted on December 20 that he’d wisely cashed out at or near the peak by selling his entire stake. The true believers who bought the tokens have been eating losses ever since. Market cap went from $19.7 billion to $6.2 billion.

EOS plunged 71% from its peak of $18.16 on January 12, to $5.30. Market cap went from $11 billion to $4.1 billion: I pooh-poohed it on December 18 with “The Hottest, Largest-Ever Cryptocurrency ICO Mindblower.” The purchase agreement that buyers in the ICO had to sign – the ICO was not offered in the US due to legality issues – stated explicitly that holders of EOS have no rights to anything related to the EOS platform, and that they get nothing other than the digital token. Here is what the chart of this scam looks like:

And the blockchain technology (the distributed ledger technology) has nothing to do with cryptos. Cryptos merely use it. There have been a number of efforts underway for years to find large-scale commercial use for blockchain, outside of the crypto space. Those efforts have yet to bear fruit, though they may someday. All we have for now are small-scale experiments. Even if blockchain finds large-scale use, it will do nothing for these collapsing cryptos.

But the ancient theory that nothing goes to heck in a straight line still holds true, borne out by the charts above, and we can expect sharp volatility and a good amount of whiplash on the way there.

And here is an update on the hated “fiat” currency, the US dollar that cryptos were supposed to annihilate or at least obviate. Read… What Could Dethrone the Dollar as Top Reserve Currency?
SAVE AS MANY AS YOU CAN

 

Related Topics

  Subject / Started by Replies Last post
0 Replies
318 Views
Last post January 15, 2016, 03:33:21 PM
by Palloy
0 Replies
313 Views
Last post July 05, 2017, 07:11:08 PM
by Palloy2
2 Replies
295 Views
Last post December 06, 2017, 07:21:23 PM
by moniker