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Not super knowledgeable on this but Decentralized exchanges exist why are they not more widely used by the crypto community?
Usability is still not great. Slippage risk is hard to communicate and txn costs were high since they require on-chain txns.
ETH transaction costs are high, but L2s and side-chains like Arbitrum, Optimism, and Polygon are all quite cheap still.
How likely is this cascade to reach Binance?
In some sense, it has already reached Binance. The real question is whether or not Binance has enough funds to weather that kind of storm.
Not super knowledgeable on this but Decentralized exchanges exist why are they not more widely used by the crypto community?
A true exchange, where you just buy and sell, will never pause withdrawals because they won't be acting with these ponzi-like methods
A decentralized exchange won't give you free money, so less people will use it. Also the same with a centralized exchange offering you 0% APY and full liquidity at all times. You could build one, but will people sign up?
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> There's an entire cottage industry built around people etching their seed phrases on steel plates for people to (I'm not kidding) bury them like they're gold in the 1800s. "I write these words in steel, for anything not set in metal cannot be trusted." - The Well of Ascension, by Brandon Sanderson
Actually, if you want something to stay, you should go for stone rather than metal. Stone have low market value while metal can always be melted to do something else (like weapons). It's one of my main take away of my art history lessons -> most antic art done on metal has been lost, but the stone remains!
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Is it? There's no reserve rate on the books but there's still a natural interest rate. And I'd estimate that for something like Bitcoin it's sky high. That's how it produced massive returns with no equity or assets. When Bitcoin was first launched, economists said the mining and splitting algorithm would be massively deflationary and that seems to have come true.
> would be massively deflationary and that seems to have come true Bitcoin makes Argentina and Venezuela look like bastions of hard money. It’s lost purchasing power, i.e. inflated, at an astronomical rate.
Not super knowledgeable on this but Decentralized exchanges exist why are they not more widely used by the crypto community?
BlockFI was offering 8.5% APY on deposits. FTX was offering 8% A true exchange, where you just buy and sell, will never pause withdrawals because they won't be acting with these ponzi-like methods A decentralized exchange won't give you free money, so less people will use it. Also the same with a centralized exchange offering you 0% APY and full liquidity at all times. You could build one, but will people sign up?
Coinbase is also offering APY on its deposits through Coinbase Rewards, as does Binance.
This "true exchange" sounds like the no-true-Scotsman fallacy. Literally no one does what you claim. Everyone in the cryptocoin world is doing this "staking" == crappy loans / bonds business.
Besides the uselessness, let's not ignore the awful downsides. They're a huge boon for randsomeware. Oh and they're an environmental disaster.
Frankly I'm not really sad to see this stuff collapse, because when you get rid of speculation there's not much good about crypto.
I do think we need some sort of crypto currency in the future. I believe in the _idea_ of it. But the current implementation is ridiculous and awful. It needs to function as an actual currency, that you would be willing to spend, not as some sort of incomprehensible "investment" vehicle.
Who's next?
https://www.youtube.com/watch?v=oRLON3ddZIw
How likely is this cascade to reach Binance?
Earlier quoted context omitted.
Somewhat unrelated but unless it's absolutely dire circumstances do not EVER get a "store credit card". They have obscenely low limits which adversely affects your credit score as relatively small purchases can end up using a substantial portion of the available credit. Balance vs total credit (available credit) is a very important factor in calculating scores and credit worthiness. The interest rates are extremely h…
This is off the mark. I used to research credit reports for mortgage loans. The "perfect" report has a mortgage, auto loan, edu loan, bank credit card, and a retail store credit card. While the balances vs limits are a factor in scoring, it's just one factor among many. Retail credit cards won't trash your report unless you hit on specific bad patterns, like opening a bunch at once. I see this pattern all the time, w…
To be pedantic I don't think I ever implied dropping a store card will have any significant impact on an otherwise bad (or good) credit report.
That said, OP started with his nightmare of an experience with the shady banks store cards end up with so (to me) that's reason enough to stay away from them.