Yield Farming- Yearn- On Deck Or Rekt?/ Btc &Social Media Win

Welcome back to the channel. I hope you're having a great day. And so today we want to talk about DeFi tokens, specifically the craze of the yield farming tokens. Um, and, uh, uh, this is quite interesting. I first want to start off by saying, um, the, the channel is called the Education Entertainment TV channel. Uh, and that education in there is very important. I understand the tremendous amount of pressure that can go into running a cryptocurrency channel, trying to keep an audience to the point where you want to be on top of things. You want to catch the great projects with the big moves that's making the money. And, uh, right, you know, that's some tremendous value to a lot of people. And so I You know, a lot of these various projects get pushed, especially when you've went through a very cold winter, as it were, right? You went through a very tough time in cryptocurrency where you just haven't been winning, and something comes out where you might have that opportunity. I can understand the need to find these projects and have that one that's going to make you rich. Um, but today, in looking at many of these projects that's come out in yield farming, Yearn, uh, it's been several dozen of them. There's been many copycats. Um, got some people on the channel who are mentioning it. I decided to take a look into it, and it's been out, you know, a few months now for the most part. And, um, you know, DeFi's really starting to take off. Um, let's listen to what Vitalik has to say about it before we get into this, because, uh, Vitalik— a lot of people don't know this, but Vitalik Buterin isn't just a, you know, somebody who, you know, created Ethereum and just this very super intelligent genius guy. He also has a very sophisticated knowledge of money, right? He has a background in economics. So Vitalik really does understand a lot about money, all right? He's just not that developer type. One big issue I had in cryptocurrency was the, relationship between developers and their knowledge of money and business. And sometimes these things aren't congruent. Sometimes crypto people, developers as it were, might be awesome developers building interesting products, but they don't— that doesn't always translate well for them into business and the economy and because of these things butting heads, sometimes they just cannot design products that are what the marketplace really needs. And so I think Vitalik not only has done well with Ethereum, but I think he truly understood what was needed. And with his background, I think he has knowledge to speak on this. But let's read a little bit about what he just said several hours ago. About many of these, uh, DeFi, uh, DeFi applications and tokens, as it were. Vitalik Buterin, the co-founder of Ethereum, has taken to Twitter to warn against naive bullishness in the decentralized finance sector by comparing the economics of yield farming tokens to the Federal Reserve's money printing. It has been reported that yield farming has taken the crypto community by storm and sparked the, DeFi boom. However, Buterin highlighted the aggressive supply inflation of many governance tokens by saying that this puts downward pressure on the prices of coins that are getting printed nonstop to pay the liquidity providers. He said, seriously, the sheer volume of coins that needs to be printed nonstop to pay liquidity providers in these 50 to 100% year yield farming regimes makes major national central banks look like they're all run by Ron Paul. Likewise, he's not alone in his assessment of these inflationary aspects of the DeFi sector, with Twitter user Larry PC likening yield farming to a giant Ponzi scheme. Um, I don't know how many times I have to warn you guys about inflation, right? And Ponzi schemes and, uh, you know, why ultimately they don't work, right? We could do a whole series on that. Um, but to kind of help you understand what Vitalik's saying, right? Vitalik's now talking about the annual percentage yields that these projects are pushing out there, you know, 600% a year, uh, 20,000% a year, whatever they are, you know, they're, they're all very ridiculous, uh, numbers for the most part. He's saying that comparably to central banks, uh, Ron Paul's very, uh, uh, uh, astute, aggressive, uh, uh, economic ideas about we should all be running on the, on the gold standard and, uh, right, how the Federal Reserve should be ended. Vitalik saying even if Ron Paul was running central banks right now compared to decentralized finance, that, uh, you know, what the central banks are doing would be akin to what Ron Paul's stand is on our standard economy. So Decentralized finance, those, those type of annual returns, uh, let's just look at what's happening in crypto, right? These are, uh, markets that are holding a few hundred billions of dollars in them, right? These are very, very small, uh, markets with very low liquidity compared to many other, you know, areas of finance, right? This isn't even on the radar yet of traditional finance. And you're getting those type of returns. Now, how decentralized finance works, or the idea behind it, is that many of these projects, whether it be Yearn or— there are so many of them now, I can't even name them. There have been some fiascos with some of them. How they work, how they're working, is they're taking advantage of the arbitrage situation between exchanges and markets. You know, as to say, there's always going to be problems in liquidity, there's going to be problems with fees and transactions, and there are these applications that, because there's going to always be these profit margins between the prices of underlying assets on various exchanges. Because of that, there's always going to be all these returns you can make, right? But is that really true? Is that— is that— well, the problem— where is it? There is truth to that, right? You can take advantage of those arbitrage situations, right? It is also true that the more that the yields increase each year on these projects, that the, the fewer in between those projects become, right? So the, the arbitrage situations are going to actually diminish due to the large amount of liquidity being squeezed out, right? So it's going to actually start to bring the margins closer together. Um, the problem is, uh, that means this is going to have to come to an abrupt end, right? Which, like, uh, you know, and it's, it's, it's not going to be a good one. It's going to be more like a crash. Um, now stepping away from Vitalik for a moment and even looking at, uh, some of the founders of, of some of the major yield farming, decentralized, decentralized finance, uh, systems, um, like Yearn, I believe it is, uh, even the founders are speaking about how greed is driving this, right? And that this is, you know, is going to have to stop sometime in the near future. Now, one big issue with greed is that the argument that greed is what keeps the economies growing, is what creates incentive, is what creates ingenuity and all these various things. I could simply point you to 2008, and that is an example as well as what greed did to our economy. It brought it to a full stop, right? You know, and it pretty much just put the whole world in its tracks, right? The economic collapse, the economic collapse we had in 2008, uh, wasn't just geared toward the United States. This impacted the entire globe, right? That is an example of what greed as well can do for a system, right? And so I think there is a misunderstanding about trying to put those very old ideas about Wall Street greed and economic greed into formulas as to say that they are what propelled the markets. They are what crashed the markets. They're what caused bubbles. They're what caused people to be out of work and hunger on the streets, right? There's a big misconception about greed in our economy and much of what's driving the cryptocurrency space as to what's going to be beneficial if we go back to our the, uh, I can speak more about the United States of America because living in America, I'm a great deal more informed about the economy here. But if you go back, I'd say pre-19, before the 1980s, right, um, you have a different— you have, first you have the United States at its strongest economic heights, but you have, uh, a different idea about how companies were run in America, right? It, uh, they weren't just run based on pure profit, right? There was a concern of the company and the worker, uh, in their relationship together, how companies took care of workers. So it wasn't this, it wasn't like it is today, this pure profit mechanism. And although it strengthened the United States and it created such a great amount of wealth and value, It's interesting that it wasn't based on just pure profit, pure greed, and nothing else matters, right? That's like if you have a company, you take care of your customers, right? And you just, you turn to your customers and say, well, look, I'm just interested in making profits from you all. Forget how we treat you when you come here and so on and so forth. So it's something along those lines. I'm saying all that to say, to help y'all understand in crypto, that this whole gambling, mooning idea we have that we put forth before creating useful products to the people in the markets and just useful cryptocurrency projects in general that people are going to actually use to get value from, other than playing a game of hot potato or going to a casino or something like that. Until we start to really get serious about this space, take a look back, take a step back, we're just going to be nonstop doing this kind of thing. And here's the problem. More people are going to lose than are winning, right? Do you notice this thing where you're always missing a move in cryptocurrency and you're going, if I could have just been a step quicker, right? I got another theory about why you're always missing moves. Maybe you're always missing moves because the way that the, the high inflation that exists in cryptocurrency and how it's mostly composed of Ponzi schemes and pyramid schemes, uh, in those particular cases, The statistics are more likely that you're going to miss a lot because everybody can't get rich. It's a, it's a certain pool of, of money and value that's coming into cryptocurrency at one time or another, and they're already established people at the top of these pyramids, right? So a lot of times you're just missing these moves because it's just that bottlenecking where you're not going to be able to, to get it in this, in a systems aren't going to be able to sustain themselves either, right? It's just not going to work. And, uh, you know, I can already tell you guys my opinion about all these projects that you're jumping into. Uh, I'm on Vitalik's side. These situations where there exists an opportunity in the arbitrage, and, uh, if you don't have to go and find the arbitrage opportunities yourself and you can just kind of team up with these businesses businesses that do so. That's all fine and dandy, but there needs to be a way to value what that arbitrage is and how much value is actually going into these projects and what's being projected into the value of these cryptocurrencies and what can be sustained as far as the APYs. It's just not realistic, uh, it's on the lines of being very naive, as Vitalik suggested, And, you know, we just got to grow up now and be a lot more intelligent than that. There is a certain amount of money coming through cryptocurrency. Everybody's not going to get rich. The next cryptocurrency project isn't your road to riches. And, you know, also what our channel— what I'm striving to do is, besides educate, try to offer some solutions because A lot of cryptocurrency channels, I feel I'm in the Goldilocks zone. I only got about 2,400 subscribers. I understand that people in cryptocurrency got 100,000, 200,000 subscribers and their channels are really just about pushing a hype train, right? Or being paid by some group or entity to promote their cryptocurrency and they're locked into this cabal. And there's no way out. And fortunately for me, I don't got enough subscribers for that to matter, but I got enough subscribers for maybe my voice to have a little bit of, uh, uh, it will sit with some of you all to, you know, keep you from making bad mistakes. But let's talk about some solutions. And because we want to bring you that on this channel, we want to educate you. That's very important. That's more valuable than if you catch a cryptocurrency project early. So many people have what, made money in crypto only to put it in another project they didn't understand or weren't educated well about only to lose it on another project. So happens all the time. So let's get you over to what I believe to be some solutions. We're gonna talk about Bitcoin, the relationship between Bitcoin and social media and why it's so important. Alright, so what does the title say of this site? Deflationary Coin, right? Deflationary. Inflation is our enemy. Deflation is our friend, right? So why do we leave the traditional markets and come to cryptocurrency? A lot of it had to do with inflation, right? Inflation is a way to steal your money from you, your value. What we're doing in with many cryptocurrency projects through one form or another is we're putting those old systems back into these new systems that can revolutionize the world. But we don't want to get away from that, right? And the reason we don't want to get away from that is there are entities that exist in the cryptocurrency space that existed in the traditional markets that want to steal our wealth here, just like they did in the traditional markets. And that is the truth, guys, and that's what you have to come to terms with. Inflation won't get you there. Now, they secretly create these projects that have this inflation built into it that's going to do the same thing. A lot of them, as Vitalik mentioned, are centralized exchanges. They're, they're mixed up into this. Projects are created with a lot of inflation, like the Steem and Hive social media site, which I think is along the lines of a pyramid Ponzi scheme. And, uh, they're expressing many of these decentralized finance projects as pyramid Ponzi schemes. These do not end well, guys. They do not end well. Look at Bitcoin, right? It is deflationary. It is the king of cryptocurrencies because of its deflationary, uh, nature. Now, where Bitcoin gets it wrong is it hasn't understood, uh, the tremendous value of social media being engaged into it. And obviously Bitcoin cannot do that because Bitcoin is trying to be totally decentralized or as decentralized as possible. It's not going to be able to make decisions like that, right? It's going to be up to the network and the community. Um, and there are people trying to do that, but you have to couple the two together. Look at something like, um, Facebook that's pushing worth a trillion dollars, a lot of value. Uh, cryptocurrency just, uh, pales in comparison to that. Um, it's doing that because we can value it, right? We can value it by the user base. Bitcoin is doing it because of its deflationary nature, right? Deflation, not inflation. People say deflation is bad because you're going to have less of it and it's going to be harder for people to get it, right? But that's not exactly true. Because Bitcoin is— can be broken down into denominations up to 8 decimal points, right? You're not going to really have that problem in that way, but you're going to have the problem in how we deal with the value and wealth you hold. Now, um, Bitcoin