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Dergigi on Nostr shared this video with us:
"What is the 'exit event'? A lot of the venture capital that has come into crypto more broadly as an asset class, has come because there is liquidity in investing in tokens.
And we can ignore it, we can pretend it doesn't exist, but incentives drive behavior and I think one of the big incentives we've seen play out in the crypto venture space; $35 Billion in LP capital last year went into funds. Why did a lot of capital go into these funds? Because they were able to deliver cash back to their LPs by investing in new L1s, L2s, DAPPS, things that have a token that enable this faster turn on getting an 'exit event' to liquidity event.
That's where the challenge really is for the Bitcoin space. So that's why I'm excited that we have Ordianals, we have BRC20s, because they actually start to enable us to generate new streams of revenue"
Let's decode this for just a moment. The basic flow being talked about here is, where new tokens are created and given to insiders (venture capitalists). Hype is driven in the crypto community, and then after retail is all hyped up, insiders get to dump their bags on victims.
This is a scam. This is THE scam that we warn people about when we're talking about "Bitcoin not Crypto". So now we have this mind fuckery they're trying to play, where they're going to convince people that the Bitcoin maximalists like these scams because their "Bitcoin only" scams. That's what they'll tell victims, but to us, they'll write article after article about us having a "religious fervor" that these scams are extinguishing in some way.

Prep Time

So now that you're properly enraged, lets cool down a moment. We know the strategy ahead of time. This is good for us. It gives us time to think of how to respond to it when the attack is launched.
The first thing to understand, is that this tactic is a psychological operation. Mind fuckery. Read this article on how perception can shape reality to understand how to defend against that: #67331
The second thing to think about, is how to organize around this. In Bitcoin only spaces, we lash out and shame and shoo away scammers. That works well for people who are exposed to Bitcoin first. In places where people were exposed to crypto first, where people were exposed to the psyop first, where they were told things about us that would get them to ignore our warnings, we will need a different approach.
For that approach, I'm reminded of my old article The Peaceful Revolution-Striking the Right Message w/ FIAT Slaves & the Scammed and my follow up Lifting Up the Scamned. The gist of those articles, is just that these warnings need to be stated plainly. They need to seem boring. Rather than being angry and attacking the crypto poster, the warning need to be served up dry and uncaring.
^Face of a guy who's there to tell you what's what, in the most boring dry way you've ever seen and then not have any reaction to you ignoring him. As though he that's what he expected you to do.
Please share your thoughts, comments, and tactics below.
That video is kind of amazing. Nothing in it is new to us, of course. I'm just surprised that this scammer would go ahead and spell out the grift so brazenly.
I'm seeing a few narratives beginning to fester. Expect these to ramp up during the next bullrun:
  • Ordinals / BRC-20 are good because they drive up miner revenue. Whether or not this is true, it does not mean that misleading retail is OK.
  • Other Bitcoin tech that's actually useful will be shot down to make ordinals / BRC-20 seem better. I don't think it's a coincedence that scam peddlers tend to be hostile towards Lightning and now Nostr. Indeed they were hostile towards Bitcoin generally until they figured out how to shill tokens on it.
  • "Crusty toxic maxis don't want you to have any fun. Don't listen to them, and buy my shitcoin."
  • Indirectly other shitcoin enabling tech will be promoted (seeing lots of talk about drivechains recently)
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I agree with your overall point, but I have just one small point of contention on this: "Ordinals / BRC-20 are good because they drive up miner revenue. Whether or not this is true, it does not mean that misleading retail is OK."
Agreed that "it doesn't mean misleading retail is ok" however, it absolutely was good for miner revenue. During the Ordinals spike, there were at least two blocks that I witnessed in which the mining fees matched and/or exceeded the block reward.
Again, I agree with your overall point so please don't misconstrue my post here.
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Yeah, poor wording on my part. The craze was unambiguously good for miner revenue!
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So that's why I'm excited that we have Ordianals,
WHY why wHy WhY why why why whywhyhywhywhyhwyhwh yw?? ????/
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She told you why. Because ordinals are a mechanism to print up tokens that can be given to insiders to dump on retail at a later date. Its a scam.
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Ohhhh i did not see the quote. I thought you were saying that.
you can use > to indent quotes.
like this.
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I know. Maybe I should have done that. If you watch the video you'll notice that block is text is a video transcription
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Like gold and fools gold, they will see the word bitcoin and think its bitcoin.
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The scammers have always been here.
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