Tokens Seem Worthless

Why is a token worth anything? It's not a value asset, a share or a currency.

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protip: it isnt

Have you heard about something called 'speculation?'

its a funding token, so they could raise twice as much money as ethereum, and not release anything for months after ethereum already launched their network and had thousands of developers building the ICO craze.

problem is, now they've funded their failed company, the token has no reason to exist. the best they can do is shoehorn it into the protocol in some way, but then its trivial to cut it out, or replace it by another token, or use a side-channel instead of the token at all.

There still must be some kind of value, even if just a fad like tulips.
Seems so and i think if ChainLink was really a value asset investment, it should have shares.

timo even advised us to sell and called it a cult coin. It is a worthless piece of shit

Nothing is worth anything. Humans just value things that they are told are valuable.

Tokens in general are worthless.

why would normies value it tho. at least tulips were tangible and pretty
That's what i mean. I don't get the point of them.

Imagine walking into an airport and trying to convince security to let you into the terminal by flashing enough money to buy a plane ticket. Kek

Perceptive. They are completely worthless. They are premined and then pre icod.zero fair token distributions in history of crypto

What is bitcoin? World powered digital currency
What is Ethereum? World powered super computer
What is Chainlink? World powered data

Which do you think is the most valuable and why. When you can answer this you will understand it all. You will finally understand where this whole crypto space is moving toward. You will understand why biz has been so obsessed with [redacted].

take the leap and understand crypto. from there you can make an informed decision.

Get woke my fren.

lol

but yeah tokens are worthless

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tokens arent money
Even if the companies most important, how does that make the token important

This will be my good deed for today, 1 spoonfeed.


The tokenomics of the LINK token.

1. Chainlink nodes will be paid in LINK tokens only. There will be conversion tools for people that want to use fiat but will be converted to LINK. at the end of the day only LINK tokens can power the network since the nature of ERC-677 token, built specifically for LINK, is to transfer data.

2. LINK tokens are used as collateral value. Smartcontracts will use Chainlink nodes that carry a % value of LINK to the value of the Smartcontract. So yes, you can start a node without LINK but no one will use it. High value smartcontracts or any contract that has value will use nodes that carry the same or a % of value of LINK.

3. Decentralized networks that are home to smartcontracts will need decentralized data to execute. Chainlink is currently the only option. Thats why you will see everyone in this space partner with Chainlink

So....

Smart contract creators will demand a certain level of reputation or amount of collateral, to be paid in LINK tokens, that suits the value of their smart contract. A $1million bond would require a lot more collateral, than, say a smart contract dealing with $100. You wouldn't select the low rep/low collateral available nodes for something like a huge bond. Chainlink is actually targeting these high value contracts. Sergey has discussed at length why high value contracts in the financial world require a decentralized oracle: it puts all the risk onto the oracle rather than the smart contract creator. The smart contract creator doesn't risk losing money - the node operators do, if they. The Chainlink network is genius like that.

There is infinite amount of collateral available because the token price can rise to meet it.

Now you have to research how large ALL these markets are. derivatives, insurance etc... hint: Trillions.

why the fuck are you faggots still fudding this shit lmao, nobody is even talking about it any more except for you faggots

thanks brain person

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Nice try Warren Buffett

yeah.. jesus.. there is noone shilling only these plebs fudding all day rofl
this /thread

daily reminder that there's only one token that wasn't created out of thin air by one dude and thus actually has some intrinsic value

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Chainlink is a separate network, and needs a cryptocurrency to allow instant and guaranteed compensation for services.

- Fiat itself won't do because it can't be used for instant conditional payments like crypto can (smart contracts).*

- Another crypto like ETH or BTC won't do for many reasons, including a lack of control over things like supply and distribution.

- A stablecoin tied to fiat won't do because it requires an additional system to run and maintain.*

A freely traded proprietary token is the most ideal, most independent, most decentralized way of ensuring guaranteed and immediate compensation (and penalty) within the network.
And guaranteed and immediate compensation (and penalty) is an absolute prerequisite for having a decentralized network.
This use case is why tokens exist in the first place.

And on top of that, the fact that Chainlink still holds 2/3rds of the total supply makes perfect sense. If they had distributed the majority of tokens at ICO (i.e. before mainnet), there would have been a real risk of imbalanced or even majority token holdership.

>*oracles could theoretically allow for the use of fiat in smart contracts, or for the use of a stablecoin in the Chainlink token, but using oracles as part of the backbone of an oracle system creates a clear conflict of interests.

It's all about adoption. If LINK is used, $1000 isn't a meme within a decade.

Have you heard of PokeyMan? It’s like a card game for kids and each card has a little funny cartoon dinosaur on it, but the dinosaurs are called PokeyMans. Cryptocurrency is like a new digital version of PokeyMan for those same kids except they’ve grown up now. When they were kids, the PokeyMans had funny names like Bulbosaur and Squirtle and Charizard...cryptocurrencies are the same but they don’t get actual cards, there’s just a logo and they keep track of how many “digital pokeymans” each person has. It has saved them millions of dollars in card stock, ink, etc, but they can charge WAY more money for digital cryptocurrencies than PokeyMan cards. The “best” pokeyman card is Charizard, and the “best” cryptocurrency is Bitcoin (you can tell because they’re both orange and they’re the most rare).

Biz has a favorite digital pokeyman crypto called ChainLink. Some people here collect thousands of them and only want this ONE pokeyman because they think it is the best.

But it’s really all just a fun, silly game. Most players that aren’t extremely autistic play by the phrase “gotta catch em all” and they just try to buy a few of each digital Pokeyman.

Personally I just think it’s a silly game for millennial thirty year olds that refuse to grow up.

Oh, also, each Pokeyman has special powers: Charizard shoots fire out of his tail, Squirtle squirts water,Zapados shoots electric zaps...

These CryptoPokeyman coins are the same...each one has some special magic power it is supposed to accomplish, but again, it’s all just a funny fantasy for overgrown kids....don’t pay it too much mind.

The funniest part to me is because some of the original pokeyman cards are bought for huge premiums on eBay: all these kids think their digital cryptoman tokens are going to be worth millions of dollars in the future!

i like P3D too, but that ship has sailed. if they ever release their next game, it'll be on tron

0xbtc and link together is the only chad holding there is.

Here goes the cold hard truth, only DPOS tokens have any value:

In most DPOS tokens you need to hold the token to become a node (miner). So unlike POW coins, the node holders have something at stake

Voters have to vote for delegator nodes using the token given, which again give the token voter rights, which you find in stocks.


Given it's DPOS you get a return on how much that node you voted for generates new tokens, which again is just like a stock sincce you get a return on your "investment" granted it's only in that token not USD but it's still a return, just like a stock.

DPOS is a highly debated, but if you're looking for an "investment" it's literally a no brainer for a consensus to have.

POS is good as well, but it just doesn't have the voter rights since you dont get to vote for delegators. but you still get a return on your tokens

Now these tokens have values based off of their consensus. The people securing the chain, need to hold a certain amount unlike POW coins. which gives it value right off the back. To vote for those people to secure the chain you need more of the tokens, given it more value, and you get a return on those tokens at the end of the day given it even more value. Just based off it's conesus alone, this doesn't talk about if it has on chain governace, anything built on or the product the coin has to offer.

I'm not saying DPOS or POS is better than POW overall

Just from an INVESTOR stand point it's better.

Is a token with good memes. Why do you want more?

Unironically defending one man sitting on 65% of the supply.

Please tell me all about why this is a problem to you.

Thanks for your service! Here's a screencap of this:

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Chainlink is all about end to end security / decentralization, right? Your smart contract holding billions of $ worth needs to have secure non-bribable data inputs.
So you choose oracles that hold a large collateral in Link to have a high security, as these node operators do not want to lose their collateral.
So far we should agree, but here is a problem.
As long as there is a single man who can snap his fingers and drop Link to 0 whenever he wishes you can not put much trust in any amount of collateral nominated in Link token.
If you need to trust Sergey to not dump his token you might aswell trust large centralized oracles. A single man can always snap and do crazy things. Even your prophet.

>comfy

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Its a currency backed by computational work. It has value when compared to the accepted value of fiat(USD) because data and the processing of said data holds a certain value in USD. You might want to look into what the definition of “currency” is, and while you are at it read up on “fiat currency”. The dollar is fiat, we have been off the gold standard for decades. Crypto is on the “data standard”. The prices fluctuate so much because nobody can really know how valuable this data will be in the future and there is no central agency responsible for inflating/deflating its value like the FED does with the dollar. Speaking of the Federal Reserve, you may want to look into their history and what powers they hold in the us government and economy. Once you have done your research on these topics, you will see that the value of tokens is far more real than the value of a dollar.

Based

>Why is a USD worth anything? It's just a cotton rag.

>tokens aren't money
That's the point, numbnuts. You need a ticket (otherwise known as a token) to get on an airplane.

>As long as there is a single man who can snap his fingers and drop Link to 0 whenever he wishes
How would he do that?

This.
An airplane ticket holds relevant information, so it's much more efficient to use at an airport gate than cash.
Same applies to a token, which holds relevant information to the transaction (in addition to being usable directly in transaction smart contracts without needing oracles, thus avoiding conflicts of interest).

Send 100 million Link to Binance and keep hitting the red button.
Not saying it makes sense for him to do that, just that he could do it at any time makes Link reliant on trusting Sergey to be sane.

But he won't have all those linkies anymore after mainnet.