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“howey test” · 1 mention
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02:25:15
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02:21:01
because no one trust that you deleted
02:21:03
your private keys if people could trust
02:21:05
that you deleted your private keys you
02:21:06
could stake and just be like yo man
02:21:07
here's my stake buy it for me but they
02:21:10
you can't prove you deleted your private
02:21:11
keys which pushes up the value of the
02:21:13
coins that are still on market I could
02:21:16
have made it a different way I could
02:21:17
have made it so that you could trade
02:21:18
staked coins but that would have driven
02:21:20
down the value of the unstick coins and
02:21:22
this whole game is about getting the
02:21:24
price to go up higher and faster and
02:21:26
longer through superior game theory
02:21:29
kryptos game theory plus trustless knows
02:21:32
right you're gonna be getting hundreds
02:21:35
of % thousands of percent or if they
02:21:38
were super super adopted and
02:21:39
everything's going great
02:21:40
tens of percent and instead of
02:21:42
destroying the environment to do it
02:21:43
we're just leaving your money locked up
02:21:45
in the same contract that invented it
02:21:46
and you don't have to leave a wallet
02:21:48
online like a master ned it just does it
02:21:50
automatically you can go to jail right
02:21:52
and if you go to jail and your coins are
02:21:54
locked up and you're worried like oh
02:21:55
[ __ ] man I got to pull my coins out I'm
02:21:57
gonna start losing 1% every 7 days you
02:21:59
can call anyone in the world and say yo
02:22:01
here's my ethereum address can you
02:22:03
please run the good accounting function
02:22:05
for me please
02:22:05
so the good accounting function and the
02:22:09
claim function anyone in the world can
02:22:12
run them for you you don't have to run
02:22:15
them yourself the starts take function
02:22:17
you got to run yourself right right
02:22:21
exactly so so here so I've explained you
02:22:24
the game theory I don't know how it's
02:22:25
gonna work out I give you the carrot and
02:22:27
stick ok the the stick is you don't pull
02:22:30
your shares out and start the accounting
02:22:32
to be right so everyone gets paid what
02:22:33
they're supposed to get paid and you're
02:22:34
dead shares are just in there reducing
02:22:36
people's payouts and under inflating the
02:22:38
currency we're gonna hurt your stack of
02:22:40
percent after a two-week leniency or two
02:22:43
period leniency I gotta check every
02:22:45
seven days but there could be some guy
02:22:48
that's just a nice guy that just every
02:22:51
two weeks
02:22:53
cleans everyone's steaks and and runs
02:22:55
the accounting function and pays the fee
02:22:57
to do it it might not even cost twenty
02:22:59
bucks so if one person in the whole
02:23:00
world wants to pay like 20 bucks every
02:23:03
two weeks to make sure no one ever gets
02:23:05
[ __ ] over like that that's an option
02:23:07
someone could do that or they could be
02:23:10
like mmm maybe I'll let that guy get
02:23:13
nuked and get a quarter of a stack right
02:23:17
I don't know how it's gonna work out I
02:23:19
do know that it's the best game theory
02:23:21
that I could come up with that makes it
02:23:23
interesting engaging repetitively
02:23:26
engaging you're gonna be watching how
02:23:28
many people are staking and unsticking
02:23:29
you're gonna be watching the graph to
02:23:31
see when those shares are coming out or
02:23:33
coming off a stake right you're gonna be
02:23:35
see how many referral payouts were
02:23:37
getting out there that complexity that
02:23:39
game theory that makes us so intriguing
02:23:40
so hard to understand
02:23:42
to the to the realm of impossible to
02:23:44
understand is why people will be more
02:23:46
engaged just like it's [ __ ]
02:23:48
impossible to figure out whether buying
02:23:50
mining equipments a good idea or not it
02:23:52
took me years to figure out that it was
02:23:54
a terrible [ __ ] idea and I'm a pretty
02:23:56
smart dude took me years to figure that
02:23:58
[ __ ] out I lost hundreds of coins buying
02:24:01
[ __ ] mining hardware that never
02:24:02
produced a coin not very happy about
02:24:05
that right so that same proof by
02:24:09
complexity stickiness consistent
02:24:12
engagement FOMO get an early carrot and
02:24:15
stick it's everywhere in the system it's
02:24:18
in the referrals it's in the claiming
02:24:19
it's in it's in the URL to the referrals
02:24:22
it's in the the good accounting do you
02:24:24
get do you let the guy get nuked and get
02:24:25
some of his money or do you clear his
02:24:28
dead shares out and get paid more fairly
02:24:30
with his dead shares not slowing down
02:24:32
the inflation slowing down the the stay
02:24:33
[ __ ] so [ __ ] interesting the
02:24:35
checks and balances it's really awesome
02:24:38
like I love it now I'll give you some
02:24:41
jammers I give you some disclaimers all
02:24:43
right it made a lot of big claims here
02:24:45
right so I was in the X 200 X these are
02:24:47
big numbers all this [ __ ] could go
02:24:49
terribly wrong everything go to zero
02:24:50
okay we could miss a bug it could go to
02:24:52
zero atheria miners give it just be like
02:24:54
yo [ __ ] that contract we're just never
02:24:56
going to mine a block with it I think I
02:24:58
could fix that if I just starting at my
02:24:59
own miners but then we'd have a fork or
02:25:01
whatever so let's talk about how the
02:25:03
[ __ ] could all go wrong okay one if you
02:25:07
you are the one so I'm gonna tell you
02:25:09
why this isn't a security okay a
02:25:12
security in the United States is as
02:25:15
follows based on the
Howey
test
did you
02:25:19
pay money into a common pool with the
02:25:22
expectation of profit from the work of
02:25:25
others okay did you pay money into a
02:25:28
common pool with the expectation of
02:25:30
profit from the work of others if you
02:25:33
did those four things you are a security
02:25:35
and you need to register and you need to
02:25:37
do a lot of [ __ ] that crypto people
02:25:39
don't particularly like like being a
02:25:41
credit investor or file a public
02:25:44
offering with an s1 or do a reg A+ that
02:25:46
has a 50 million max or I could give you
02:25:49
a long list of every funding mechanism
02:25:51
out there right
02:25:53
because I was gonna do that [ __ ] it was
02:25:56
just too [ __ ] hard like man that's
02:25:58
[ __ ] hard let's see if we can do
02:26:00
something amazing that gets to market
02:26:02
without so many years passing launching
02:26:06
an RC 20 token has been insanely hard if
02:26:09
I had done my other project the CFD
02:26:11
token which is a useful proof of work
02:26:14
project I can't imagine how many years I
02:26:17
would take like or just more and more
02:26:19
dabs and more managers like it it would
02:26:22
be exponentially harder it's been this
02:26:23
hard to do just a token with some game
02:26:26
theory extremely extremely hard so how
02:26:31
do you avoid being a security well you
02:26:33
can't buy these tokens they're not for
02:26:35
sale
02:26:35
you can only get them for free so there
02:26:37
ain't no giving me money sorry I won't
02:26:39
take your money like you can get the
02:26:41
tokens for free or go buy them from
02:26:42
someone else rich our heart that but I
02:26:45
can sell them sure you can do whatever
02:26:47
you want yeah right so you know I'm the
02:26:49
founder of the project right I came up
02:26:50
with the mostly game theory I'm out here
02:26:52
marketing it I'm out here making claims
02:26:54
and I need you to understand this is
02:26:56
designed to not be a security so that
02:26:58
you don't have the protections that a
02:27:00
security would give you right you're not
02:27:02
gonna have the government holding your
02:27:04
hand and being like yo here's the
02:27:08
conflicts of interest and here's all
02:27:09
this all that stuff that they do to
02:27:11
protect the investors you're not gonna
02:27:14
get that stuff because it's not a
02:27:15
security right so you should still watch
02:27:18
your ass read the code have the smar
test
02:27:20
person you know read the code understand
02:27:22
what it does because you're the run
02:27:24
running the code I am NOT running code
02:27:27
for you you are running the code you are
02:27:29
paying someone else to do computation on
02:27:32
your behalf that only you could do
02:27:34
because you're the one with the private
02:27:36
key no one else has it so if you [ __ ]
02:27:39
this up where you get [ __ ] in the
02:27:41
system it is solely your fault because
02:27:43
it is open source the code is readable
02:27:46
the code is auditable and you're the one
02:27:48
running it right so cuda theorem stopped
02:27:53
working yes
02:27:53
good shot two five six hashing stop
02:27:56
working yes we don't actually use that I
02:27:58
don't think maybe we use this somewhere
02:28:01
but mostly aetherium is kick hack two
02:28:04
five six which is like a different hash
02:28:06
action which is terrible name kick ACK
02:28:08
what a terrible name if if we have a
02:28:14
nuclear war and all the electricity goes
02:28:16
off your box ain't get in mind if you
02:28:18
know like we're at the edge of computer
02:28:21
science here [ __ ] can go wrong don't
02:28:23
invest more they're willing to lose you
02:28:25
got this thing for free if the price
02:28:27
goes up really high and you foam at the
02:28:29
top and the price oscillates and you
02:28:32
know you have to sell the bottom you're
02:28:33
gonna lose money hopefully won't
02:28:35
oscillate hopefully there's enough
02:28:36
market makers in there to eat up the
02:28:38
oscillations and sell enough to be able
02:28:40
to hedge out the bottoms right so they
02:28:42
sell a little on the way up then that
02:28:43
reduces the volatility because it can
02:28:44
act as a cushion underneath and you
02:28:47
would like you'd like speculators to be
02:28:48
able to get in on a 45 degree or a
02:28:51
hockey stick that's very easy for them
02:28:53
too long because it has low volatility
02:28:55
it's not knocking all their stops out
02:28:57
that would be ideal right so if you want
02:28:59
to appeal to speculators all you have is
02:29:02
your [ __ ] fundamentals which good
02:29:04
traders stop training after you've been
02:29:06
trading crypto for your like
02:29:07
fundamentals I don't give a [ __ ] Oh got
02:29:08
hacked watch the price go up uh if I can
02:29:11
got a deal that's the news dump it oh
02:29:14
you're on see Emmy now biggest market in
02:29:16
the world
02:29:17
dump it oh [ __ ] I thought that was good
02:29:20
news I thought the I thought that new
02:29:23
buyers would be like good nah dude yes
02:29:25
buy the rumor sell the news unless it's
02:29:28
a bear market and then you sell the
02:29:29
rumor by the news and the numbers are
02:29:33
weird like I told you earlier it's
02:29:35
easier to make money long and short a
02:29:36
lot easier unless you're in a bear
02:29:39
market then it's hard both ways so yeah
02:29:43
you care about the shape of the chart
02:29:45
you care about the stickiness getting
02:29:47
people addicted to this [ __ ] yo how many
02:29:49
people are staking out how much I'm
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