this post was submitted on 07 Dec 2024
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Summary

A teenage boy created and released three memecoins, earning over $50,000 by selling his holdings before the price crashed (“soft rug pull”).

The backlash was swift, with the boy and his family doxed and facing threats from angry traders.

While the legality of such actions is unclear, the incident highlights the risks and ethical dilemmas in the unregulated memecoin market.

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[–] Corngood@lemmy.ml 0 points 2 weeks ago (1 children)

It's state-issued and not backed by a commodity.

[–] FlyingSquid@lemmy.world 5 points 2 weeks ago* (last edited 2 weeks ago) (1 children)

No, it's just not backed by a commodity. That's why it is currency by fiat. Company scrip is fiat currency and it's not issued by any government.

I get that you crypto fans don't want your currency backed by nothing to be the same as all the other currencies backed by nothing except that, unlike crypto, nations actually support them and their citizens use them en masse, but that's just the way things are.

[–] Corngood@lemmy.ml -1 points 2 weeks ago (2 children)

You're just being obtuse. It does no good to argue about some obscure definition of the term, when that's not how it's being used.

Company scrip can also be issued by a central authority.

I think crypto is stupid, but so is your made up argument over terminology.

[–] FlyingSquid@lemmy.world 1 points 2 weeks ago* (last edited 2 weeks ago) (2 children)

It's not an obscure definition.

But fine, if the any government adopts crypto, like some people seem to want, it will be fiat currency.

[–] sem@lemmy.blahaj.zone 1 points 1 week ago

I thought fiat currency has value because the authority says it does.

Wouldn't crypto have value based on the scarcity of new coins being mined, etc, regardless of what governments do with it?

[–] catloaf@lemm.ee -5 points 2 weeks ago

Don't feed the troll.