One for the crypto haters

[Gollygordon]

Nope. It’s very likely they can survive a 50% drawdown, which has not happened yet. Maybe they could even survive a 75% drawdown. But the last holders out of the door would be left with nothing I’m sure.

They could easily dispel this concern. It would be free, easy and trivial to do so. They choose not to.

Sure, but my point is that even if you are correct and that assets != liabilities, if they can survive this with a 50% or 75% marketcap drawdown, what event WOULD result in them not being able to redeem? Ie, even if they aren't technically fully backed, why wouldn't you consider them functionally backed?

[TheBrit]

Sure, but my point is that even if you are correct and that assets != liabilities, if they can survive this with a 50% or 75% marketcap drawdown, what event WOULD result in them not being able to redeem? Ie, even if they aren't technically fully backed, why wouldn't you consider them functionally backed?

I’d consider them fully backed when they can demonstrate they are fully backed. Until then, they’re very unlikely to be.

[Gollygordon]

Fair enough sir.

[Gollygordon]

Details now emerging that 3AC had somehow borrowed from multiple parties against the same collateral.

If only there was some technology available that could protect lenders against fraudulent or irresponsible borrows... Something where collateral ratios were available for all to review and are automatically updated in real time... With automated liquidations that make bad debt near impossible...

[hullexile]

So, you expect the heads of retailers in the most developed economy on earth to be bullish on integrating crypto but you personally remain unconvinced because your local vendor (who in your own words doesn't even accept credit/debit cards) isn't in the vanguard of adoption? Can't wrap my head around that one.

That is because your thinking is in a bubble. The largest retailers in the biggest economy may feel that the use of crypto will grow, that is far from it becoming in common use globally and very far from it lifting millions out of poverty.

We move in different circles, you seem to know plenty of people using crypto, I don't know a single person.

[Gollygordon]

deleted...

[Gollygordon]

Happy to stand corrected if I'm wrong, but I'd be very surprised if I ever said that crypto is going to lift millions out of poverty. You've quoted me twice on that now - just thought I'd clarify that I don't believe that to be the case at all. I think it will lower fees, lead to a more inclusive financial system and in extreme cases offer people a chance to sidestep economic or legal persecution. That doesn't mean I think everyone is suddenly going to be elevated from poverty.

Perhaps I am in a bubble. You will soon be a part of that bubble, whether you like it or realise it or not. You're missing an intellectually stimulating topic and a potentially lucrative opportunity by closing yourself off to that reality.

Probably going to bow out of this thread now. Evidently you guys don't agree with me that crypto is useful and has a future and I'm sensing I may not be able to sway opinions there. So agree to disagree.

Will just leave you with J Pow stating the Americans are examining whether a CBDC will 'improve upon a domestic payments system' and potential 'maintain the dollar's international standing'.

https://twitter.com/disclosetv/statu...juxoIl0u-2d9Tg

[TheBrit]

Probably going to bow out of this thread now. Evidently you guys don't agree with me that crypto is useful and has a future and I'm sensing I may not be able to sway opinions there. So agree to disagree.

I think most normal people will agree crypto has a future as the world becomes more digital and interconnected. These trends aren’t changing.

What I would assert is the crypto of the future won’t look anything like the crypto of the current.

There won’t be mining hashes using vast amounts of computing power. There won’t be many tokens and rampant speculation won’t be a feature of the payments system. Stablecoins will compromise most of the ecosystem and the issuers will be regulated and audited. The chief use won’t be making ransomware payments as there will be as strong KYC as there is in the current financial system.

Crypto will survive and thrive but it will look nothing like crypto today which is a bunch of worthless scams and a net negative on humanity’s resources.

[FrancisX]

Agree with the Brit, and that's all us "Crypto haters' have been saying all along. Crypto has value, but the future of crypto will be nothing like what we see now. In fact, it won't really be crypto at all, except loosely in name.

And going from the CBDC link, seems like GG is finally starting to agree.

Although still positing comments like this:

You're missing an intellectually stimulating topic and a potentially lucrative opportunity by closing yourself off to that reality.

Nobody is closing themselves off. Just taking a more realistic/critical position

[TheBrit]

130GB of rickrolling anyone?

CBA to check if the password was released on 15th but I suspect it wasn’t.