# 🗣│general
- Well, a CD works by locking up money for a time, where a bank or whatever reloans the money at a higher rate of interest.c
cafebedouin
04/12/2023, 4:56 PMWell, a CD works by locking up money for a time, where a bank or whatever reloans the money at a higher rate of interest. - So, that's easily understood. So, what is this doing? Counting on the progressive rise of all crypto as an asset class?c
cafebedouin
04/12/2023, 4:57 PMSo, that's easily understood. So, what is this doing? Counting on the progressive rise of all crypto as an asset class? - Technically not a scam if all the mechanisms are laid out. But if the only value of the native token is liquidating it, then it looks like a pyramid scheme.b
babygrenade
04/12/2023, 4:58 PMTechnically not a scam if all the mechanisms are laid out. But if the only value of the native token is liquidating it, then it looks like a pyramid scheme. - (re : *<cafebedouin> So, that's easily understood. So...*) This is inflating a token and allowing users to play a money game to capture inflation. If you capture all inflation you are essentially holding a fixed supply asset and your investment should go sideways unless someone else buys in.t
thecolj
04/12/2023, 4:58 PM - That's what a ponzi scheme does.c
cafebedouin
04/12/2023, 4:59 PMThat's what a ponzi scheme does. - Lol seet
thecolj
04/12/2023, 4:59 PMLol see - How is this different?c
cafebedouin
04/12/2023, 4:59 PMHow is this different? - yea this is basically MLM stuffd
dΣathgripson
04/12/2023, 4:59 PMyea this is basically MLM stuff - How is this different than the US stock market?t
thecolj
04/12/2023, 4:59 PMHow is this different than the US stock market? - you need fresh blood to get the "yield" that is a ponzi, there are literally thousands of dead protocols that do thisd
dΣathgripson
04/12/2023, 5:00 PMyou need fresh blood to get the "yield" that is a ponzi, there are literally thousands of dead protocols that do this - ?????t
thecolj
04/12/2023, 5:00 PM????? - Us stock market is apples to orangest
thecolj
04/12/2023, 5:00 PMUs stock market is apples to oranges - If nobody buys into the market your investment goes sideways.t
thecolj
04/12/2023, 5:00 PMIf nobody buys into the market your investment goes sideways. - (re @Dan / ដេនញ៉ូ : *If nobody buys into the market your investment...*) Thats not how markets workt
thecolj
04/12/2023, 5:01 PM(re @Dan / ដេនញ៉ូ : If nobody buys into the market your investment...) Thats not how markets work - That's why people care about things like P/E ratios.c
cafebedouin
04/12/2023, 5:02 PMThat's why people care about things like P/E ratios. - well - they care when you're not talking about growth stocksb
babygrenade
04/12/2023, 5:02 PMwell - they care when you're not talking about growth stocks - (re : *<cafebedouin> That's why people care about thi...*) Good point. In the future I will stick more to comparing this to traditional certificates of deposit.
- Cds have yield from actual value not just inflationt
thecolj
04/12/2023, 5:03 PMCds have yield from actual value not just inflation - Not to mention central bank inflation is a ponzi scheme itselfd
dΣathgripson
04/12/2023, 5:04 PMNot to mention central bank inflation is a ponzi scheme itself - (re @NoahErgo : *Cds have yield from actual value not just infl...*) Nope. CDs lend out your money. It's a speculation from the bank.t
thecolj
04/12/2023, 5:04 PM(re @NoahErgo : Cds have yield from actual value not just infl...) Nope. CDs lend out your money. It's a speculation from the bank. - (re @Dan / ដេនញ៉ូ : *Nope. CDs lend out your money. It's a speculat...*) This is disingenuous argumentt
thecolj
04/12/2023, 5:04 PM(re @Dan / ដេនញ៉ូ : Nope. CDs lend out your money. It's a speculat...) This is disingenuous argument - https://github.com/cafebedouin/ergo-wooden-nickelsc
cafebedouin
04/12/2023, 5:05 PM - cd is not what you are proposingt
thecolj
04/12/2023, 5:05 PMcd is not what you are proposing - imo staking is extremely problematic to any monetary system, i do participate in some as speculation but I feel extremely unconfident in literally 100% ofthe assets I have ever staked and its a lot of themd
dΣathgripson
04/12/2023, 5:05 PMimo staking is extremely problematic to any monetary system, i do participate in some as speculation but I feel extremely unconfident in literally 100% ofthe assets I have ever staked and its a lot of them - t
thecolj
04/12/2023, 5:05 PM - but degens love ponzi'st
thecolj
04/12/2023, 5:05 PMbut degens love ponzi's - look at hext
thecolj
04/12/2023, 5:06 PMlook at hex