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Crypto crash deepens, stocks slip

reuters.com

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Re: Crypto crash deepens, stocks slip

#601

Post by lottin »

intotheabyss wrote: post #351
lottin wrote: post #264

Earlier quoted context omitted.

I can buy a car on credit using DeFi right now, is that what you're saying?

No, what I'm saying is that right now if you have a product on Ethereum with consistent cashflows, you can borrow money on credit from DAOs with large treasuries willing to lend them out using OpenLaw contracts as arbitration. The goal for these protocols is to expand this using decentralized identities and onchain credit scores.

If I can't buy a car on credit with DeFi it means DeFi can't do loans. And if it can't do loans it can't do finance. Maybe it can do a semblance of finance, maybe we can call it crippled finance, but it's not finance. Pretending that DeFi is going to turn everything upside down when it is unable to even make a simple loan is ridiculous. Nobody can take this seriously.

Re: Crypto crash deepens, stocks slip

#602

Post by inter_netuser »

jasonlaramburu wrote: post #591
inter_netuser wrote: post #566

Earlier quoted context omitted.

tether as absolved of all charges, and is under continuous monitoring and audit by NY AG - who would love to jail to advance their careers. Imagine how impressive "jailed 100 BILLION dollar fraudsters" sounds on the resume. Nope, not a fraud. Print, lol. They are just a prime money market fund, setup exactly the same way the funds your parents kept in their 401k. Surprise, commercial banks that lend to you, like mort…

>Surprise, commercial banks that lend to you, like mortgage or car lease are actually creating money out of thin air. Unlike tether which is fully backed. In the US commercial banks are required to maintain a certain % of cash reserves relative to all deposits. They are also FDIC insured. Tether is neither insured nor required to maintain any reserves. Their recent filings show that less than 3% of tethers are actual…

It's backed better than your bank. Currently the required cash reserve by the Fed is __zero percent__.

Yes, ZERO. Please check with your own eyes: https://www.federalreserve.gov/monetarypolicy/reservereq.htm

Please observe that 3% is actually much higher than 0%.

The rest of bank's book is usually assorted IOUs as well: commercial paper (aka bonds issued by companies) and mortgages. All of these assets that the Fed buys whenever any bank is in trouble, you can look this up in any news source.

Tether is simply just another offshore bank.

None of offshore USD deposits are insured by the FDIC. Yet, offshore banks hold trillions of dollars. They also have higher than zero reserves, just like Tether does.

There is nothing going on, just clickbaity nonsense media churns out for ads.

Re: Crypto crash deepens, stocks slip

#604

Post by coolspot »

AlexandrB wrote: post #512
coolspot wrote: post #501

Earlier quoted context omitted.

Also tax avoidance. My friend exchanged all his ETH to DAI at the top, doesn’t have to report that to IRS.

As someone else on here pointed out, the IRS would consider this selling ETH and buying an equivalent value in DAI. Selling the ETH is taxable as capital gains. Whether the IRS catches your friend or not is a different matter.

Point is, if you sell ETH for USD on Coinbase, they will report you to IRS.

But if you convert ETH to DAI, no one will get a report for that.

Re: Crypto crash deepens, stocks slip

#605

Post by inter_netuser »

celticninja wrote: post #590
inter_netuser wrote: post #585

Earlier quoted context omitted.

They are under regular audit by NY AG. Do you not think they'd be jail by now for fraud? They don't disclose details, yes. but neither does your bank, really. Finance tends to be tight-lipped.

They always claimed it was backed 1:1 with the US dollar. Then they paid a fine to the NY AG because it was not backed 1:1, and as part of that they had to produce quarterly reports about how it was backed. https://www.google.com/amp/s/amp.ft.com/content/529eb4e6-796... It still isn't backed 1:1 based in their own admission. This isn't about being tight lipped, this is willfully misleading customers.

that's just 3% in cash.

the fed requirement for reserves today is literally zero percent.

they are just an offshore bank, none of which have insurance and very different reserve requirements. Hold trilions of dollars.

Just clickbait articles farming eyeballs.

Re: Crypto crash deepens, stocks slip

#606

Post by tastyfreeze »

vmception wrote: post #579
tastyfreeze wrote: post #513

Earlier quoted context omitted.

Like-kind exchange doesn't apply to cryptocurrencies. Exchanging BTC for a stablecoin does trigger capital gains as does selling a stablecoin for fiat. In the BTC-USDC scenario it is a little trickier to calculate the basis in USD but capital gains taxes still apply.

It isnt tricker at all. Very simple math.

Yes, if you record the USD value of both sides at the time of trade. If you only record the execution price of your BTC/USDT trade you will need to later find the price of BTC/USD and USDT/USD at the time of execution.

Trickier in the sense that it requires more attention than simply recording the execution price and fees of a BTC/USD trade.

Re: Crypto crash deepens, stocks slip

#607

Post by lurkerasdfh8 »

remolacha wrote: post #518
pradn wrote: post #292

Earlier quoted context omitted.

It doesn't seem like anyone believes cryptos are supposed to be currencies any more. All the talk around them is around them being a new, exciting, and potentially very lucrative investment class. If you go to Coinbase's front page, you see that you can buy and sell them, like you can with Robinhood. It's not trying to be a PayPal. The currency-ness does serve an important purpose. It helps bring in investment for th…

Not all crypto assets are crypto currencies. Many DeFi tokens (ex. UNI, SUSHI, AAVE) govern projects with real cash flows and are poised to become more like equities on the blockchain

> real cash flows

you keep using that word...

Re: Crypto crash deepens, stocks slip

#608

Post by lurkerasdfh8 »

maybe off-topic but: interesting how any cryptocurrencies discussion have tons of comments repeating the same (flawed imo) arguments, while the older ones are both downvoted and argued against, but new ones keep popping up.

look anywhere in this thread. there will be a comment 1h ago, and 4+ others further down with the exact same argument both downvoted and with a few dozen replies explaining why the argument is bogus. You might need to enable the option to see dead comments to get the full picture.

Re: Crypto crash deepens, stocks slip

#609

Post by aparsons »

nroets wrote: post #482
divs1210 wrote: post #454

Earlier quoted context omitted.

I have used crypto (LTC, BUSD, XLM, XMR) to pay internet strangers so many times I've lost count. Looks like you just haven't tried it yet.

It's a fad[1]. It won't last. [1]: https://Bitcoin.IsNot.Money

Not sure why you’re downvoted
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