Crypto has an ethics problem and it’s making a mockery of decentralization. First off let me just say that I consider myself an evangelist for real decentralization and supporter of distributed ledger technology. Yet I’m agnostic I don’t buy into the Bitcoin religion which appears more about profit than the underlying values of what blockchain stands for. I don’t agree with airdrops that turns people into bots for digital assets that may as well be exit scams.
A community has no value if it’s based on fraud
The majority of ICOs aren’t genuine companies, don’t have real products and never were intended to be sustainable business models. That’s a severe problem in ethics of these young engineers and young executives playing with Dapps and investors who are prone to fraud, hype and crypto trafficking of the worst kind – deceit.
The dangers of thinking the Internet is “real”
Sites like Bitcointalk, Telegram, Reddit subeditors involved with cryptocurrencies are like conversion grounds. The hype over Bitcoin and Ethereum have created a bubble. Bounty programs promise more than they deliver and falsify community metrics with incentives that are profoundly flawed and create the wrong kind of motivation than what blockchain was originally intended for.
Crypto tribalism created a sub-culture that of people who think the internet is “real”, think Bitcoin has real value outside of being a speculative software based asset, and believe just because you call something decentralized, even when its governance is not, nor its digital asset holder structure— that it has the right motivations.
After so many failed crypto startups, fraudulent ICOs, crypto hacks, and even mistrust that startups like ConsenSys can scale, we need to rethink what all of this stood for. No more excuses for crypto, we need to actually be more honest with ourselves.
Crypto’s bro culture of deceit
By making Bitcoin into some fanatic game of sport and belief of young men, we created a bro-culture that was fundamentally flawed, unregulated and perpetuated a system that not only was not decentralized, it wasn’t real, scalable or adding value to existing businesses, enterprises or legitimate innovation. Crypto created a tribalism and community, a dogma without a business proposition that made sense.
In such a world of crypto tribalism, what is the value of another Main Net launch? Another community grown by fake airdrops and turning people into zombie followers who don’t really care about your mission statement? Digital assets that aren’t even useful in the real world? Companies that aren’t even what they say they are. Crypto tribalism betrayed our trust in it. While blockchain adoption continues, crypto is in a rut.
It’s 2019, and Bitcoin is still probably over valued at $3,726. Bitmain, ConsenSys and Steemit among dozens if not hundreds of other projects need to endure a crypto winter of the karma that crypto tribalism created, a kind of moral and philosophical vacuum of what crypto could have been and what people in the space tried to do.
The failure of ethics in crypto
Many blockchain startups are failing, due to the unethical practices of how crypto communities scaled without actual products. The market has a way of pushing back if you continue to run the same playbook and expect the same result. On an internet and in markets of so much manipulation, if it’s too good to be true — it is.
If there is little ethics in Big Tech (major monopolies that violate anti-trust laws), there’s certainly probably even less among crypto communities.
It doesn’t matter if you are on the blockchain that’s supposed to increase trust, if your business practices are dishonest. I can think of so many projects that fit that bill. A divided crypto community sabotaged itself and digital asset prices today reflects the lack of integrity of cryptoeconomics pioneers.
The inconvenient truth of scamming with an altcoin
Shady whitepapers, fake advisers, the world doesn’t need another shit coin without a working product or a way to on board real consumers or users.
Crypto tribalism has more of a belief in “the internet” or the “world-computer’ created conditions whereby young men exploited other young men. People lost their entire life’s savings on cryptocurrencies, a few got rich if they hit on it early enough. That’s the classical symptoms of a pyramid scheme.
Crypto wasn’t just not convenient, it perpetuated schemes to make some people rich by exploiting its own tribe and hyped up dogma! There’s nothing particularly noble or high-tech about this. The ICO model failed for a reason. I don’t believe regulated STOs are the right solution, but neither is legacy venture capitalism and crypto hedge funds. Crypto didn’t innovate scalable public blockchains that were built to be sustainable.
Ethereum is already showing signs of slowing down. It’s time to deconstruct what’s really going on here.
Human leadership is the bar, consensus is the vice
Crypto tribalism then amounts to a failure of technology, a failure of leadership and a reminder that the profit motive outweighed the decentralization values for the majority of these crypto projects.
Idealism can fade very fast when you don’t have a real honest mechanism to scale as a business or build genuine communities. If my community is based on airdrops, bounty programs and hype — that’s not actual loyalty (it’s not real), it’s all fake. Bought telegram followers, boosted Twitter accounts, altcoin profits thrown away due to a lack of long-term vision.
Crypto tribalism is not innovation, the world computer may sadly never grow up. The nascent crypto event has backfired and betrayed its own followers. It’s a cannibalism of coin and code death in the crypto winter. Crypto hype make have been the worst fake news of 2017 and 2018 in history.
Creating a tribe of believers (and HODL practitioners) is not how you build the future or a scalable digital assets or cryptocurrencies. The fraud is up, it’s time to grow up. It’s time to take some responsibility instead of pretending.
Don’t talk to me about decentralization, if your community was built by deceit. If your tribe is built on the backs of the profiteering of a few at the top. That’s not blockchain, that’s corrupt human nature and greed at work. Crypto tribalism will kill Ethereum, and it dooms projects like EOS and TRON for failure.
True decentralization could never be born in the corruption of fake communities and fraudulent altcoins. We’ve been brainwashed by a crypto media (also fake) and a crypto tribalism that didn’t really care about decentralization. There’s no going back.
Airdrops, ICOs, and unscalable public blockchains need to die, before anything real can be born.