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by mgh2 1628 days ago
What does this mean for the non-crypto audience?
5 comments

It looks like it means that even the founders of Ethereum intended to enable fraud, disguising large institutional investors as many individual investors so that the market would be mislead about the popularity of ethereum.

Or to be frank - the messsage to the non-crypto audience is this:"Yet again, the crypto guys seem to be scamming each other, stay the hell away".

Ether is in part premined. Before the token went public, a select few insiders were able to buy lots of it at practically no cost.

Here the co-founder explains how to buy more than the agreed maximum per holder, by simply creating multiple accounts to buy them. The founder actively encourages fraud and does it on record.

Everybody was able to pre-buy Ether at the time, not just "a select few insiders".

https://www.coindesk.com/markets/2020/07/11/sale-of-the-cent...

Maybe, but it was under the pretense that the project was intending to be "decentralized", not controlled by whales who followed the founders' advise of disguising their purchases.
It’s decentralized and totally transparent. Do the research first.
The point is that the founders apparently intended for large whales to disguise their purchases. This means individuals bought into a system that was advertised as being decentralized, when it was apparently intended to merely /appear/ to be decentralized. Remember Ethereum is planning on moving to "proof of stake".
Yeah I intended sarcasm. The only amazing thing about crypto is that so many people fall for it.
It means that Ethereum is a super shady project and probably an illegal, unregistered security, not a commodity property like bitcoin.

It's a mystery why the SEC hasn't torn them apart.

The same way the RIAA has torn apart BitTorrent?
Honestly?, in three years?, probably dick.
even the founder sees the scam value in the scam crypto