Popular silverbug and Golden State Mint head TruthNeverTold recently took its YouTube channel to rename the cryptocurrency market as little more than a Ponzi scheme. He claims in particular that Litecoin and the founder, Charlie Lee, are excellent examples of misleading unsuspecting investors.
If Bitcoinist reported on December 20, 2017, founder Charlie Lee of Litecoin "sold or donated" his entire Litecoin wealth to avoid "conflicts of interest" that ensued from his growth. Interestingly, Lee sold the top of Litecoin's unprecedented pump – something TruthNeverTold sees as a clear profitable exit from a nothing-for-nothing Ponzi plan.
He sold everything at the top. Good for Charlie Lee! Good job! But you've just proven that, as I said since 2011, early adopters take something that has no intrinsic value, they started building the perceived value for an unsuspecting public, to sell that illusion for something that has real value.
The YouTuber also objects to Lee's reasoning. The Litecoin founder then explained:
Litecoin has been very good to me, so I am good enough that I no longer have to link my financial success to the success of Litecoin. […] For the first time in six years, I no longer have an LTC that is not stored in a physical Litecoin.
For TruthNeverTold, Lee almost admitted that he had cashed at the top of the bubble by selling cryptocurrency for fiat and ensuring his long-term financial success.
Charlie Lee has since defended his actions as benign and well-intentioned. Despite the fact that the Litecoin 00 the market has dropped significantly and has never recovered since Lee's sale / donation, Lee claims that his actions have no effect on the market, stating:
I actually did not have so many litecoins. My selling litecoins did not actually have any influence on the market itself, but the fact that I had litecoins and people thought I might be able to dump it on the market was a problem.
Lee also believes that Litecoin will eventually bounce back and explain:
I still think it was the right decision, but I wonder if – I think it was the right decision in the long run, but in the short term, while the price goes down, under the highest value ever, it feels like as if it is not the right one. decision. But I think if, going forward, five years on, when the price is back to the highest point ever, I feel that it is the right move.
What do you think about Charlie Lee selling his entire stake in Litecoin at the top? Do you think Litecoin and other cryptocurrencies are Ponzi schemes, or is TruthNeverTold simply exaggeratingly responsive to a market bubble? Let us know your opinion in the comments below!
Images courtesy of Shutterstock, YouTube.