Crypto’s Grift Exposed: Actor Ben McKenzie Dives Deep

Crypto’s Grift Exposed: Actor Ben McKenzie Dives Deep

Actor Ben McKenzie, known for his roles in ‘The O.C.’ and ‘Gotham,’ has become an unlikely but vocal critic of the cryptocurrency world. His new documentary, ‘Everyone Is Lying to You for Money,’ pulls back the curtain on the promises and pitfalls of digital currency, revealing a landscape rife with scams and broken dreams. McKenzie argues that crypto, far from being a revolutionary financial tool, is largely a get-rich-quick scheme built on a foundation of lies and speculation.

Is Crypto Really About Money?

McKenzie challenges the very premise of cryptocurrency, questioning whether it’s truly about money at all. He explains that all forms of money are social constructs, built on trust. Crypto, however, aims to replace human trust with computer code, a concept McKenzie dismisses as fundamentally flawed. He likens it to a ‘governmentless government’ or ‘religionless religion,’ suggesting the terms that better fit are ‘anarchy’ and ‘cult.’ Furthermore, the underlying technology, like Bitcoin’s limited transaction speed, is simply not practical for widespread use, he contends.

The idea that crypto might work in the future is a recurring theme, but McKenzie points to real-world examples that contradict this. He recounts his visit to El Salvador, the only country to adopt Bitcoin as legal tender. Despite the nation’s economy relying heavily on remittances, the adoption of Bitcoin for everyday transactions was abysmal. Merchants, often earning only $400 a month, were unwilling or unable to use the volatile and cumbersome system. This experience, he says, showed him that the narrative of crypto as a solution for cross-border payments was largely a constructed story for Western investors, not a reality on the ground.

The ‘Blockchain Fixes This’ Fallacy

The popular tech meme ‘blockchain fixes this’ has become a running joke, highlighting the crypto community’s tendency to propose blockchain as a solution for virtually any problem. McKenzie argues that this is a fallacy. He asserts that computer code, the backbone of crypto, is written by people, and therefore, it is not inherently trustless. The collapse of FTX, where a single line of code was allegedly altered to allow the misappropriation of customer funds, serves as a stark example of this. McKenzie believes money should be a public good, and the failures in the financial system stem from deeper issues within our democratic and corporate structures.

Casino Capitalism and the Culture of Crypto

McKenzie describes the crypto community as largely comprised of ‘dudes’ with a high-risk tolerance, akin to gamblers. He likens cryptocurrency to ‘casino capitalism,’ a concept where wealth is generated through speculation rather than productive investment. Unlike the stock market, which can be a positive-sum game where company investments benefit society, crypto is at best a zero-sum game. This means one person’s gain is another’s loss, with a portion of the money always going to the ‘house,’ or in crypto’s case, the platforms and early adopters.

Beyond speculation, McKenzie highlights the significant role crypto plays in facilitating crime. He cites estimates suggesting billions of dollars in illegal activities, from sanctioned oil sales by Russian oligarchs to funding North Korean nuclear programs, are enabled by cryptocurrency. The documentary also touches upon the disturbing revelation of Jeffrey Epstein’s past involvement in funding Bitcoin development, underscoring the deep and often illicit connections within the crypto space.

Why Does the Mania Persist?

Despite the scandals and the exposure of its flaws, the value of cryptocurrencies like Bitcoin has seen surges. McKenzie points to the influence of figures like Donald Trump, whose embrace of crypto has been linked to price increases. He suggests that the market’s persistence is fueled by manipulation and the sheer number of people heavily invested, making it seem ‘too big to fail.’ He references economist Robert Shiller’s work on market manias, noting that irrationality can persist for extended periods, much like Bernie Madoff’s decades-long Ponzi scheme.

The core issue, McKenzie concludes, is that crypto has largely failed to deliver on its initial promises of technological advancement. Instead, it has devolved into a vehicle for gambling or criminal activity. He believes that until fundamental issues in our financial and democratic systems are addressed, schemes like crypto will continue to prey on people’s hopes for financial gain, offering a false promise of a better future.

Specs & Key Features

• Documentary Title: Everyone Is Lying to You for Money
• Focus: Exposing the crypto world’s speculative nature, scams, and impracticality.
• Key Arguments: Crypto replaces trust with flawed code, lacks real-world utility, and fuels crime and gambling.
• Real-World Examples: El Salvador’s failed Bitcoin adoption, FTX collapse.
• Community Analysis: Characterized as a ‘dude-heavy,’ high-risk gambling culture.
• Comparison: Contrasted with the stock market as a positive-sum game.

‘Everyone Is Lying to You for Money’ is currently playing in select theaters, with wider release expected.

Source: A reporter's descent into CGM madness | The Vergecast (YouTube)