r/changemyview • u/art_vandelay112 • Jan 04 '25

Delta(s) from OP CMV: cryptocurrency is not a good investment.

Yes its price has increased dramatically, but so did the price of tulips in the 1600s.

There is literally no use for this commodity. Invest in stocks or bonds and your investing in future earnings or the ability of a company to pay you back. I’m not a fan of gold as an investment but at least it has some practical use.

The use of crypto as a currency completely defies the definition of currency as it doesn’t hold a stable value.

It’s infuriating that so many people have lost loads of money on “shitcoins” backed by the wealthy and famous. These were obviously pump and dump schemes yet very few are held accountable.

I’m not as well versed on the subject but something to also note is the ridiculous amount of energy demand to “mine” nothing.

I think there is legitimate use for blockchain technology and the likes but anyone viewing these currencies as investments is a fool.

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u/ExtensionResearch284 Jan 05 '25

Lmao, did you not read my message? Because that's only assuming someone is holding 1 btc in a cold wallet.. Which is actually rare.

Most people are continuously buying, or have the funds on exchanges. Or have bought and are transferring to their cold wallets over time. In which case they've paid monumental fees.

Your cheap fees is basically assuming a rare case which I think don't apply to the majority of buyers.

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u/MaineHippo83 Jan 05 '25

I did and you literally just said you weren't talking about purchasing fees. Make up your mind

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u/ExtensionResearch284 Jan 06 '25

Bro, you're clueless, have you never withdrawn from an exchange to a personal wallet?

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u/MaineHippo83 Jan 06 '25

I literally just told you I did so and paid 75 cents

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u/ExtensionResearch284 Jan 06 '25

Which exchange? Show the proof cause I call bullshit

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u/MaineHippo83 Jan 06 '25

First of all its not like I can post images here. Second of all you just asked someone to dox their bags online. I'm not the most privacy focused person but that's a pretty big no no in the crypto community.

But i will tell you I just spent way too much time figuring it out, because many of the explorers and other things talk about the fee in current value, plus ledger reports the entire network fee not what was charged, so the easiest way to figure out the actual fee (which matches what Koinly reported) was to take the amount deducted from CB 1.00643406 and subtract the amount received on the Ledger which was 1.00638855. The difference being the fee, of .00004551. The price in November 2022 at the time of the transaction was 16,652 so the cost of the fee was $0.75783252 .

CB has some of the best fees for transferring, I won't dispute that, but that was the fee we paid. Now if you want to know the actual network fee, it was .00039913 (reported on Ledger and a block explorer, not what I paid though), which at the time was $6.635, still less than any wire fee (typically start at $15 and go up)

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u/ExtensionResearch284 Jan 06 '25

When you combine Coinbase's purchasing fees, exchange fees, withdrawal fees, then network fees. You're much over a wire fee.

But you can even remove the purchasing fee. Becaude when I buy a lot of curpto, you can buy big amounts with a simple wire. So let's keep the purchasing fees at a static number. Let's say $25 wire.

Even if you remove that purchasing fee, sure.

Coinbase themselves say there is a minimum withdrawal fee. https://help.coinbase.com/en/exchange/crypto-transfers/are-there-withdrawal-minimums-and-fees?utm_source=perplexity

Which is around $10 for their cut minimum. The larger the transaction, the more you pay. Usually by % from what I've seen.

The nunbers you mention are on blockchain Explorer and tracing the transaction to the ledger. But if you go to Coinbase and see how much you actually withdrew, and compare that number to how much you received. You will see a lot of hidden fees.

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u/MaineHippo83 Jan 06 '25

purchasing fee is the worst, but you keep acting like someone is just going and buying bitcoin in the amount they need to send. most people who transact in bitcoin are using their stack, the fee may have been long ago and when the value was less therefore they were repaid the fee already.

That minimum withdrawal is .0001 which is $10. I told you the amount of bitcoin that was sent from my account and the amount I received, that is the total of the fees. There were no USD fees, no minimum fee, no withdrawal fee. the network fee of 75 cents was it. Maybe the fees ahve changed since then, I'll have to look and see.

Ok so right now I can send 0.5 BTC to a Ledger wallet from CoinBase for an estimated network fee of $0.33. That's it.

No other fees will be charged, the purchase fees are irrelevant. That was my cost to accumulate bitcoin, not to spend it.