Ok now I get that… Thanks for your enlightenment
Thank you for the inspiration to think more about the topic
Every bull run the space gets accused of being a ponzi scheme, that it has no real value, that its a bubble, etc. But every bull run I’m seeing giant leaps in technological and sociological leaps being made, which is a beautiful thing. We are in exciting times! This is the first bull run where there are many protocols actually ready to be built on top of (previous runs were mostly speculative), but every day I see amazing DeFi, decentralization, and P2P economy projects being utilized more and more.
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True…I see sense in your layout
I love it and great point! It’s grown beyond just monetary value and is now starting to shape the world around us. Thanks for bringing a deeper look into the subject 
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What do you mean when you say “investors”?
1Hive has a dynamic supply.
If there’s too much free Honey some gets burned.
As it turns out the supply of Bitcoin could actually be changed, so we all need to get over that idea.
Also, Bitcoin isn’t used for anything but moving numbers around on a ledger.
Not all value comes from scarcity.
And definitely not all value comes from having a high price.
The goal of Honey has never been to moon.
How 1Hive protects “investors” is by providing a free, fair, safe, open, and humane environment in which to “invest”, ie, apply our talents and skills to increasing the use value of the 1Hive ecosystem.
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In fact, a very big percentage of cryptocurrencies are a ponzi scheme, let me explain in my noobish way:
-most projects do not have a product except for the cryptocurrency so the price action is a ponzi scheme
-a lot of DEFI is a a scheme also, not a ponzi one, but where do you think that high APY comes from?
I suggest you read a little about:
-the network effect
-how DEFI works
-how money works
Have a nice day!
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xDai actually has intinsic value as base infrastructure for exchanging value in decentralized, transparent and permissionless way.
I thought the debates about money as a tool that has no intrinsic but extrinsic value are a finished topic with a simple conclusion.
The usefulness of a particular DeFi dapps or NFT collectibles can be measured by the user’s subjective impression and needs. I personally started using Compound finance in early 2019 for the reason that I didn’t want to sell Ethereum when I needed to invest in new hardware. So my need was not high% yield, but better capital efficiency given the funds I have (Ethereum). In a traditional bank, they would certainly not give me a loan given the collateral and its purpose (development of decentralized infrastructure).
We can also take as an example the international exchange of values that brings with it unnecessarily high fees and paperwork or the services of financial institutions as intermediaries whose role is trivial in the exchange of values and the allocation of funds.
Most of us who now use decentralized infrastructure have suffered or still suffer from a “middleman syndrome” because we still can’t believe how much that service actually costs us.
I will agree with you in the part that there are users whose main goal is high APY or farming and protocols that base their value proposition on “value printing” but that part exists in any traditional sector with a positive trend.
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Very well said and I get that vibe from this community, which is really refreshing. I’ve been caught up in Babylon chasing $ for too long 
@ZER8 Your right and I totally agree. Although I still like to farm a little it’s a good place to store trading profits and keeps liquidity in the system.
@domik Wow that was awesome, I’ve never heard that explanation for Dapps or NFTs. It’s a great way of describing value! How long did you all debate that subject to come up with such a clean definition? 
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tnx man, the debates started at the end of 2018 because I had to explain to myself the reason why I should quit my job and start full time “crypto”.
In my opinion highest APY can be achieved when capital allocation is based on great fundamentals. “Displayed APY” on most DeFi dapps has more marketing intentions and it won’t last long.
agree with you, scams/ponzi always takes shape of a current trend - from cloud mining, ICO, DeFi, NFT etc.
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If I were you I won’t quit my job for full time crypto…it would be disastrous on my own side…
Great write up @domik
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Cryptocurrency can be compared to ponzi schemes in one aspect.
And on another hand, it’s not. Some cryptos could be used for payments and other things. But the scam tokens (pump & dump) makes the entire crypto world look like a ponzi scheme. Which is basically not true
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Thanks for sharing the wisdom and I agree with rebase tokens and them not being the easiest thing to trade/invest in without a solid fundamental understanding as well as technicals for entries and exits
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Great point pointing out that aspect… really true…
Cryptocurrency may seem like a ponzi scheme at the end of the day they are private digital currencies which have value ONLY amongst its users. But a critical point here would be the ‘nature of the users’, if they hold it for a short term purpose considering significant returns or for money laundering & illegal purpose or they hold it for a long term purpose (with or without any motivation), in which case it can be compared to a commodity.
So the role of the users, more specifically the nature of their transactions could answer the question whether the rapid growth of Cryptocurrency can be compared to ponzi scheme (or not).
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If you think an investment is a Ponzi scheme or any other type of scam, or you’ve been victimized, file a complaint with the Securities and Exchange Commission, FINRA and your state securities regulator (here’s a North American Securities Administrators Association list). One sign that you’ve put your money into a Ponzi scheme is that you’re unable to obtain promised payments or cash out. Some scammers offer investors even higher returns to discourage them from departing, says the SEC. Also see
Ponzi schemes often involve unregistered investments, says the Securities and Exchange Commission (SEC). Start by asking the person offering the investment: If the investment isn’t registered, ask why (not all investments must be registered). If you’re told it is, verify by following the advice FINRA provides for checking the Securities and Exchange Commission’s EDGAR database, your state securities
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Why? If we want to create system without intermediaries and centralized control systems, we need take responssibilities for our actions.
Ponzi scheme and other scams are part of ecosystem and in my opinion they play an important role in it, because they encourage users to constantly learn, develop their due diligence frameworks and of course - do not invest capital ($ or time) in projects they do not understand.
In the decentralized online world, we may not need a brokerage certificate to invest, but we still need a brain.
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True to that… but I won’t agree to the fact that ponzi schemes are part of the ecosystem…we can learn and develop due intelligence even without being scammed
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Scams exist only because someone has invested in them. My opinion is that they serve as a certain filter for poor capital allocation, after all scams and their victims have the same goal - fast and easy money.
If there are corrupt and naive people among the population decentralized and permissionless online platforms are ideal places for their meeting.
I agree with you, it’s possible, but the fact is that a lot of people don’t do that
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Many cryptos being a Ponzi, I’m not going to debate that atm, does not mean that cryptocurrency is a Ponzi.
Look at mlm’s for example.
Lularoe is a Ponzi scheme, as an mlm, but you can’t say leggings are a Ponzi scheme- not even poorly made moldy leggings, which Lularoe sent its “investors” to sell.
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