Economy Bitcoin/Crypto is imploding
- Thread starter Brampton_Boy
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You keep circling around the fact that banks offer banking services and ledger and confirmation systems are cheaper costwise than distributed global networks running some complicated validation algorithm. There will always be a middle man because the banking system has a cheaper to operate system and offers ancillary banking services. Businesses and individuals don't want to be their own bank. Somewhere around 20% of Bitcoin mined is lost forever due to people losing their keys. Why would businesses or individuals want to risk losing their accounts entirely due to forgetting their password? There isn't a person here that hasn't had to reset their passwords for some login.
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It would be no different than if you stole something and hid it by like burying it in the ground. You would just be jailed and held in contempt until you produced the said item that the government knows exists. Being able to hide something by burying it or whatever doesn't mean that you won't be pressured hard.
1. Tommy Thompson. the “Ship of Gold” coins
- Background. Treasure hunter who recovered gold from the 1857 wreck of the S.S. Central America, then failed to account to investors for 500 gold coins minted from that treasure.
- Court order. A federal court ordered him to account for the coins and reveal where they were.
- Refusal. He kept insisting they had been transferred to some trust in Belize, but never provided real details or access.
- Contempt.
- Held in civil contempt starting December 2015 for refusing to comply, with a fine of 1000 USD per day.
- By early 2025 he had spent almost a decade in jail on civil contempt alone, before the judge finally said more jail time would not coerce him and ended the civil contempt term.
- At that point he still had to serve a separate two year criminal contempt sentence tied to the same mess.
This is probably the cleanest example of “hid the loot, refused to say where it is, sat in contempt for years.”
2. H. Beatty Chadwick. 2.5 million dollars in a divorce case
Not a classic jewel thief, but the logic is identical. hide assets, refuse to bring them back, sit in contempt.
- Background. Pennsylvania lawyer in a divorce. Court believed he had hidden 2.5 million USD offshore to keep it away from his ex wife.
- Court order. Judge ordered him to produce the money.
- Refusal. Chadwick said the money was lost in bad investments and he simply could not comply.
- Contempt. The court did not believe him and jailed him for civil contempt until he produced the money. He stayed locked up for about 14 years, a record for civil contempt in the United States, before a judge finally concluded continued jailing was no longer coercive and ordered his release.
Again, the idea was. “you know where the money is, you get out when you hand it over.”
3. Stephan Jay Lawrence. offshore trust money
- Background. Florida options trader who owed millions to investors. Assets were in an offshore trust.
- Court order. Ordered to repatriate money from the trust to satisfy a judgment.
- Refusal. Claimed he could not, or would not, bring it back.
- Contempt. A judge jailed him for civil contempt, and he stayed there for about six years on contempt alone.
Again the same pattern. “you hold the key, so we keep you locked up until you comply, or until it stops being believable that jail will change your mind.”
4. Martin Armstrong. trader who would not turn over assets
- Background. Financial adviser and forecaster accused of running a large fraud involving Japanese investors.
- Court order. Judge ordered him to turn over assets and records, including hundreds of rare coins and other valuables, to a court appointed receiver.
- Refusal. He did not fully comply, and the court concluded he was withholding property.
- Contempt. Held in a Manhattan jail for civil contempt for about seven years, one of the longest federal contempt confinements, before a judge ruled that continued confinement was no longer coercive and ended it.
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I’m not skirting around it. It’s not true. It’s absolutely insane to even…
You know what, just do you, pal. Your ignorance is palpable.
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I am not sure what you have to gain fundamentally by pretending to ignore obvious issues and differences between conventional banking and crypto. It would feel more honest if they were just recognized and you said you don't care because your only goal is just to make sure someone buys your bag. We are 17 years into this idea of crypto but nothing fundamentally has changed and there is near no adoption for use as a currency. If instead, it is just some weird storage of value, that will collapse the moment people believe it is no longer a safe haven. If it is a safe haven, it is no different than just unbacked fiat currency except there is no governing body like the FED to benevolently manage it aside from the fact that you have to exchange it for currency to use it.
The biggest and most obvious glaring red flags in general is that there doesn't exist anyone who promotes the benefits of crypto that isn't invested in it nor people who are honestly critical and pessimistic of its future that are invested in it.
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This is something that is important. Tether is a stable coin that is supposed to be "tethered to the dollar" meaning that there is a one to one dollar investment. A dollar is deposited for every Tester dollar created. Sounds great but over time it has become untethered as more Tether has been created than dollar assets stored for its value. The reason why this is a big deal is that Tether has been used to buy Bitcoin whenever it slumps to drive its price up. These Tether dollars were created out of thin area, billions of Tether dollars, to buy Bitcoin to drive its price back up to acceptable level to prevent it from collapsing. Now, it is becoming so obvious that Tether is "untethered" that other agencies are recognizing that this stable coin should no longer be considered stable. This tool of creating fake money to pump up Bitcoin is being stretched way too thin for anyone to not see that they are being paid with depreciated "money". Anyone who complains about the Fed, expanding the money supply with low interest rates and is pro crypto, is ignoring that crypto is being created out of thin air to buy other crypto.
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This is something that is important. Tether is a stable coin that is supposed to be "tethered to the dollar" meaning that there is a one to one dollar investment. A dollar is deposited for every Tester dollar created. Sounds great but over time it has become untethered as more Tether has been created than dollar assets stored for its value. The reason why this is a big deal is that Tether has been used to buy Bitcoin whenever it slumps to drive its price up. These Tether dollars were created out of thin area, billions of Tether dollars, to buy Bitcoin to drive its price back up to acceptable level to prevent it from collapsing. Now, it is becoming so obvious that Tether is "untethered" that other agencies are recognizing that this stable coin should no longer be considered stable. This tool of creating fake money to pump up Bitcoin is being stretched way too thin for anyone to not see that they are being paid with depreciated "money". Anyone who complains about the Fed, expanding the money supply with low interest rates and is pro crypto, is ignoring that crypto is being created out of thin air to buy other crypto.
There are many weak stables, and there are many strong ones.
I believe USDC has a rating of 2 on that site, but I haven't looked in a while.
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That may be true but it doesn't change the fact that the one that is used to pump Bitcoin is no longer a stable coin. It is literally fake shit printed out of thin air to give the illusion that billions of dollars are being used to buy Bitcoin. It is wash trading but washing trading isn't illegal when it comes to crypto.
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The thing is people have been saying this same thing for many years now, that it is all a big scam, and that the collapse is imminent.
They provide quarterly attestation reports showing 100%+ backed by reserves, and like it or not that is enough to satisfy most people. They make insane profit, and they are now a giant global corporate machine accumulating wealth and power. I don't see them going anywhere. It is used increasingly for b2b, remittance, online purchases, etc. It has much more utility that Bitcoin.
Wash trading crypto is definitely illegal in the US. SEC charged Binance with doing that among other things.
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Is your gripe mainly with BTC? Or are you averse to crypto entirely?
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Still very common.
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All of it operates in the same space, without regulation, without a good use case after being around for 17 years, with fraud left and right, and with the same types of people that want to just use it to get rich quick at someone's expense. If there was the option of promoting the use of the digital federal system FedNow, no one would bother because it isn't about the technology or what it does. It is just about pumping the price and finding some other fool to buy in while you get out. Why did MSTR dump out while previously pumping crypto left and right and telling everyone to HOLDR? It isn't and never was about the technology. Any talk about it being the "next big thing" is just a lie. A red flag is that there doesn't exist anyone who has a tempered expectation and buys into crypto. Everyone think it is going to a million and they are going to the moon. How? It doesn't generate wealth like a corporation or business.
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Debunked fool:
Key Facts from November 2025:
• Ongoing Purchases: Strategy acquired 397 BTC (average price: $114,771) during the week of October 27–November 2, bringing total holdings to 641,205 BTC (valued at ~$69 billion). It then added 487 BTC on November 10 and another 8,178 BTC (average price: $102,171) during November 10–16, pushing holdings to 649,870 BTC (valued at ~$61.7 billion, with an average acquisition cost of $74,433 per BTC).
• No Sales Confirmed: Official SEC filings, company disclosures, and on-chain data from trackers like Arkham Intelligence show no Bitcoin sales. Wallet movements observed mid-month (e.g., ~58,915 BTC transferred on November 14, worth ~$5.77 billion) were internal reorganizations for custody purposes, not sales to exchanges.
• Rumors Debunked: Viral claims on November 14 (e.g., “$1B+ sold” or “33,000 BTC dumped”) stemmed from misinterpreting these transfers. Saylor directly refuted them on X with a “HODL” post, emphasizing aggressive buying. Fact-checks from financial media confirmed no sales in 2025.
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It looks like you are right and something trigger a bunch of news stories say such.
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Doesn't change the fact that MSFT stock is crashing hard and has lost near 60% its value since July.
