Would not be surprised if they were keeping their treasury in UST as a number of other companies had been doing to earn 20% yield from Anchor.
Cryptocurreny retailer BitPrime closes trading after running out of money
131–140 of 172 posts
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#132Would someone mind calming me by explaining why this is not a huge red flag, this isn’t the beginning of the end, and a theoretical crypto crash won’t throw the market into turmoil (or why the current market turmoil ain’t so bad)? I don’t have any kids to feed, just young dumb and tired of market crashes.
This is some random startup nobody has heard of. HN likes to work themselves into a froth over every scrap of bad crypto news, but this is utterly insignificant. Crypto will continue to fluctuate wildly as it always has.
> Crypto will continue to fluctuate wildly as it always has.
Which is as much as an unfounded absolutism as stating the opposite. While there's not fundamental limit to what you're saying, there might be qualitative differences though going forward: I can still go into a store these days and buy tulip bulbs, it just doesn't cost me two salaries...
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#133Earlier quoted context omitted.
While this particular event doesn’t mean much, if you are heavily invested in crypto you should be anything but calm. If you are big into an altcoin, prepare for that to go up in smoke the next few months. If you hold a lot of Bitcoin, make peace with it losing over 75% of value in the next few months. It’s going back to pre-covid levels at best.
BTC, ETH and XMR are pretty comfy. A lot of scams are going to get purged, and that’s a good thing. Good projects will survive as they always do.
BTC already dropped another 1000. Will continue dropping.
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#134I am amazed how dominos are falling one by one.
This is literally some no name small OTC desk that caters to the New Zealand retail market. It's success or failure doesn't really mean anything.
Yea, I know, but my opinion is based on multiple news not just this post :).
https://community.intercoin.org/t/what-backs-a-currency-terr...
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#135Earlier quoted context omitted.
Who is the target market for such a service?
Generally OTC desks are useful for large purchases. Let's say you want to acquire $100 million in Bitcoin - you could go to Coinbase and just do it, but you'd drastically move the market, have a really obvious candlestick, and an observant third party could look for large movements from Coinbase and potentially track your holdings / de-anonymize you. An OTC desk can be setup to spread the buy over several days / mont…
How many high net worth individuals can their possibly be in New Zealand?
It's a country of 5M. High Net Worth is usually top 0.1% (100M+) - that's like 2k families.
Or would foreigners use this service for some reason?
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#136Would someone mind calming me by explaining why this is not a huge red flag, this isn’t the beginning of the end, and a theoretical crypto crash won’t throw the market into turmoil (or why the current market turmoil ain’t so bad)? I don’t have any kids to feed, just young dumb and tired of market crashes.
Luckily we were still at the beginning of banks lending REAL money using Crypto as collateral.
So you won't see much effect in the real economy.
There is absurd amounts of Crypto lending that's probably causing a lot of margin calls forcing a negative feedback loop in Crypto prices.
Everytime this happened before - the Central Bank of Tether came to the rescue and printed 10% of the entire Crypto market cap in ~2 days to pump up the market ~30%.
Time will tell if they have the balls to do this now - when they're already under investigation in many jurisdictions.
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#137“Small startup closes after running out of money” is not a terribly catchy headline I guess.
It's also less descriptive, accurate and precise.
Yes true, but my point is more that the headline is purposefully catchy (which is fine, it's a headline) but the actual content is not really noteworthy in any way except that "cryptocurrency failing" gets people's attention.
If BitPrime was a CRM SaaS that shut down and laid off all 6 of its employees or whatever nobody would think to write an article about it.
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#138Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#139Earlier quoted context omitted.
At least a house of cards has actual cards supporting it, it's not clear what's supporting cryptocurrency.
The latter answer is simple. Tether and other stable coins printing money from nothing. They have statements that they are backed as equivalent to dollars but it is utter nonsense. Just yesterday tether printed another billion usdt. They were openly proven to have only 3% of their currency backed by USD by the NY AG but everyone just ignores that judgement. They never held under audit, have proven to not be backed by…
Tether is propping up shitty exchanges/casinos — not cryptocurrency.
Re: Cryptocurreny retailer BitPrime closes trading after running out of money
#140Earlier quoted context omitted.
I don’t understand the go-to-zero case. Surely an open source, permissionless financial system has some value? There’s tons of value being captured in closed financial systems.
Sure, but it’s value is half of what it was this time last year.
When it returns to "original" value +30%, will you return to this thread?
Or are you only interested in discussing this when you can take a victory lap?