Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
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Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#2I wrote about a similar comparison way back in the middle of 2017:
https://benshieldsblog-blog.tumblr.com/post/165101127465/let...
https://drive.google.com/file/d/0B9li-Wu3-bPEWEswQVdIOHVKTmM...
Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#3Honestly stablecoins - specifically tether - is about the only thing about crypto that genuinely frightens me.
Crypto rollercoaster - up down sideways and in circles - sure I'm game. Tether that is stable until it implodes...hell no. Even without direct exposure the blast radius worries me.
Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#4Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#5Honestly stablecoins - specifically tether - is about the only thing about crypto that genuinely frightens me. Crypto rollercoaster - up down sideways and in circles - sure I'm game. Tether that is stable until it implodes...hell no. Even without direct exposure the blast radius worries me.
For what is worth, there's a huge blast radius if any of the top 3 collapse, with Tether (as the 3rd) likely having the smallest one - think of what happens to everything else when bitcoin crashes or even dips significantly.
Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#6Honestly stablecoins - specifically tether - is about the only thing about crypto that genuinely frightens me. Crypto rollercoaster - up down sideways and in circles - sure I'm game. Tether that is stable until it implodes...hell no. Even without direct exposure the blast radius worries me.
For what is worth, there's a huge blast radius if any of the top 3 collapse, with Tether (as the 3rd) likely having the smallest one - think of what happens to everything else when bitcoin crashes or even dips significantly.
>think of what happens to everything else when bitcoin crashes or even dips significantly.
No idea about the rest, but I'm buying.
Conceptually I think this has gained critical mass. i.e. There are enough people with enough belief to make crash to zero unlikely
Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#7Earlier quoted context omitted.
For what is worth, there's a huge blast radius if any of the top 3 collapse, with Tether (as the 3rd) likely having the smallest one - think of what happens to everything else when bitcoin crashes or even dips significantly.
>think of what happens to everything else when bitcoin crashes or even dips significantly. No idea about the rest, but I'm buying. Conceptually I think this has gained critical mass. i.e. There are enough people with enough belief to make crash to zero unlikely
Sure, but the exact same is true if there's a crash due to Tether's demise.
Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#8Honestly stablecoins - specifically tether - is about the only thing about crypto that genuinely frightens me. Crypto rollercoaster - up down sideways and in circles - sure I'm game. Tether that is stable until it implodes...hell no. Even without direct exposure the blast radius worries me.
Not obvious to me that it would be catastrophic. There are other stablecoins even if Tether is a 75%-funded scam (and honestly, who in crypto _hasn't_ taken a 25% haircut at some point?)
Some people holding cash* would get hit, but there's no real magic to starting a 1-1 backed stablecoin. Someone will fill the space, since it's obviously needed.
Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#9I wrote about a similar comparison way back in the middle of 2017: https://benshieldsblog-blog.tumblr.com/post/165101127465/let... https://drive.google.com/file/d/0B9li-Wu3-bPEWEswQVdIOHVKTmM...
honestly, anyone with half a brain do not see that cryptocurrencies are re-hashing (heh) every single scam from the unregulated investment market times?
every single one of them. Many times over.
I think everyone knows, because, c'mon. But everyone thinks they are the smarter one and will be the ones fooling others and making money. Which makes this article, and yours, pointless, because, everyone already knows that.
Re: Bitcoin’s reliance on stablecoins harks back to the Wild West of finance
#10I keep thinking of Madoff's fund. It was once called "the Jewish T-bill". It worked just fine until there was a significant net outflow. Then, total crash, because the backing assets were not there.
Tether is way too much like that.
Remember, Tether has no upside. There is no reason to ever hold Tether for any length of time.
[1] https://www.timesofisrael.com/before-dying-bernie-madoff-lif...