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The explosion in stablecoins revives a debate around “free banking”

economist.com

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Re: The explosion in stablecoins revives a debate around “free banking”

#11

Post by Nasrudith »

dnadler wrote: post #5
sharkmerry wrote: post #4

Earlier quoted context omitted.

> I'm assuming these stable coins aren't actually backed by $150bn in actual USD, Maybe I am missing something, how is this different than banks employing fractional reserve banking?

That's not a great analogy, you can't redeem currency at a bank. My understanding is that stable coins are stable because they claim to be backed 1:1 by some other currency. If they are not actually doing that, then thats a fraudulent statement, isnt it?

And all of the incentives are set up for the maintainer to take the money and run. Excessive ammounts of idle money is an attractive nuisance.

Re: The explosion in stablecoins revives a debate around “free banking”

#12

Post by solveit »

diveanon wrote: post #10
mensetmanusman wrote: post #9

Imagine being a billionaire because you convinced enough people to give you money in exchange for a promise.

Pretty sure this is exactly how most startups get funded.

And this is HN. Imagine how the rest of the world thinks.

Re: The explosion in stablecoins revives a debate around “free banking”

#13

Post by diveanon »

solveit wrote: post #12
diveanon wrote: post #10

Earlier quoted context omitted.

Pretty sure this is exactly how most startups get funded.

And this is HN. Imagine how the rest of the world thinks.

Fundraising as we know it will be replaced by coin offerings soon.

Just consulted on a project that was able to raise $20m on their own through a yield farm and is using it to build out their product team and do tons of marketing.

Defi is the future, anyone who doesn’t see that is being willfully ignorant.

Re: The explosion in stablecoins revives a debate around “free banking”

#14

Post by odonnellryan »

diveanon wrote: post #13
solveit wrote: post #12

Earlier quoted context omitted.

And this is HN. Imagine how the rest of the world thinks.

Fundraising as we know it will be replaced by coin offerings soon. Just consulted on a project that was able to raise $20m on their own through a yield farm and is using it to build out their product team and do tons of marketing. Defi is the future, anyone who doesn’t see that is being willfully ignorant.

Well, some people will get rich. Many will lose a lot of money.

Re: The explosion in stablecoins revives a debate around “free banking”

#15

Post by diveanon »

odonnellryan wrote: post #14
diveanon wrote: post #13

Earlier quoted context omitted.

Fundraising as we know it will be replaced by coin offerings soon. Just consulted on a project that was able to raise $20m on their own through a yield farm and is using it to build out their product team and do tons of marketing. Defi is the future, anyone who doesn’t see that is being willfully ignorant.

Well, some people will get rich. Many will lose a lot of money.

Yeah, that’s called capitalism.

Re: The explosion in stablecoins revives a debate around “free banking”

#16

Post by post_from_work »

diveanon wrote: post #13
solveit wrote: post #12

Earlier quoted context omitted.

And this is HN. Imagine how the rest of the world thinks.

Fundraising as we know it will be replaced by coin offerings soon. Just consulted on a project that was able to raise $20m on their own through a yield farm and is using it to build out their product team and do tons of marketing. Defi is the future, anyone who doesn’t see that is being willfully ignorant.

>>>Just consulted on a project that was able to raise $20m on their own through a yield farm

Jeez. Over how long of a timeframe, and how much did they start farming with?

Re: The explosion in stablecoins revives a debate around “free banking”

#17

Post by diveanon »

post_from_work wrote: post #16
diveanon wrote: post #13

Earlier quoted context omitted.

Fundraising as we know it will be replaced by coin offerings soon. Just consulted on a project that was able to raise $20m on their own through a yield farm and is using it to build out their product team and do tons of marketing. Defi is the future, anyone who doesn’t see that is being willfully ignorant.

>>>Just consulted on a project that was able to raise $20m on their own through a yield farm Jeez. Over how long of a timeframe, and how much did they start farming with?

They launched the token and farm, it was their fundraising mechanism for the project and it is still ongoing.

Its for a game with play-to-earn mechanics, still early phase but they just made a ton of big hires.

Re: The explosion in stablecoins revives a debate around “free banking”

#18

Post by csense »

diveanon wrote: post #10
mensetmanusman wrote: post #9

Imagine being a billionaire because you convinced enough people to give you money in exchange for a promise.

Pretty sure this is exactly how most startups get funded.

And how brick-and-mortar banks operate.

Re: The explosion in stablecoins revives a debate around “free banking”

#20

Post by pjc50 »

diveanon wrote: post #13
solveit wrote: post #12

Earlier quoted context omitted.

And this is HN. Imagine how the rest of the world thinks.

Fundraising as we know it will be replaced by coin offerings soon. Just consulted on a project that was able to raise $20m on their own through a yield farm and is using it to build out their product team and do tons of marketing. Defi is the future, anyone who doesn’t see that is being willfully ignorant.

> raise $20m on their own through a yield farm

What is a yield farm and how is is structured?

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