In this week’s episode of Last Week Tonight, John Oliver gave audiences a detailed introduction to the world of cryptocurrencies with a cautionary reminder of the pitfalls.
During this show, the British comedian started talking about cryptocurrencies namely Bitcoin and he stated, “It is a matter where do you do not understand anything about money and you do not understand anything about computers.”
The much-publicized rise of bitcoin in comparison to how it was viewed not long before was covered by Oliver. “Just a few years ago you’d only hear about bitcoin from that one guy in your office who wouldn’t shut up about it,” he said.
He also said, “Bitcoin was not accepted at a bitcoin conference and this is alarming since you’d expect that this is the one place where Bitcoin would be accepted. It’s like when I tried to pay for access to the Republican National Convention using Ronald Reagan’s dusty skeleton bones.”
He also spoke about how tokens are required to start one and how one company made $35m in 30 seconds after obtaining some. “Many people are buying coins for no reason other than other people are buying them.”, he added.
Some companies which are trying to establish themselves in to the digital cryptocurrency world have already failed since their business model just did not seem to adjust with this new, dynamic way of business. Oliver asserted, “Not every blockchain company is bullshit just as not every cryptocoin is a scam, but in a speculative mania, it can be very hard to tell which companies are for real.”
He used an example of a company raising massive amounts of money via cryptocurrency without actually having an idea of what their business is yet. “The point is: if you choose to invest in the cryptocurrency space, just know that you’re not investing, you’re gambling. Which is fine, but you should know that is what you’re doing and prices do go down,” he said.
He ended by warning: “The important thing to remember here is: this is a brand new, very complicated space and literally nobody knows how it’s going to develop so you need to be careful and I know that sounds boring.”