Cryptocurrency
- Thread starter Playboi Carti
- Start date
I think you and I are just fundamentally different people because my reaction was the opposite. I don't trust anybody, at all, when it comes to money. Too many stupid and foolish people out there. A lack of regulation drives me away from a product, especially something like crypto where there are just so many hucksters and snake oil salesman. I want maximum transparency, not more anonymity.
Honestly I don't see the point of them. I wish they wouldn't do it because it only adds complexity to the monetary system.
I agree with this entirely. CBDC’s are a ginned up attempt by governments to keep up with the phony crypto market. Fiat currencies are already virtually free and frictionless digital currencies with credit cards, online banking, push or pull bill payment, peer-to-peer payment systems, check cashing with a digital image, you name it. CBDCs don’t add any value to that system and in fact as Bryce says they only add complexity.
Cannot wrap my head around that oneI know you love stables. This is the best idea I've seen for a stable yet.
Scientists claim to have designed a fully decentralized stablecoin pegged to electricity
Scientists working for the U.S. government have completed the proof of concept for a cryptocurrency that could transmit electricity.cointelegraph.com
I can't remember the last time I actively carried any cash. We had a garage sale last week and 75% of customers paid us with Venmo. The concept that we need digital dollars is stupid to me since dollars are basically all digital now anyway.
I'm surprised you don't support them. They would be faster, more secure, no risk of commercial bank failure, and far less privacy (less anonymity). Since all transactions are tracked on a public ledger it would help authorities with controlling illicit activity.
It kinda checks all the boxes, no?
I just don't think it's useful.
Think about the consumers and proponents of the current crypto environment. Those people want the anonymity of blind transactions between two parties. They would demand a token based retail CBDC. That eliminates the transactions tracked on a public ledger thing.
If people want a digital currency we already have one. It's the USD. So I don't think that it is addressing a need per se.
I think it has a big positive. It could help maintain the dollar as the world's most used currency which helps all of us in the US.
I think it has a nuclear level negative: if the central bank is unable to provide the liquidity required if mass adoption happens and people can't use it, it could literally crater the financial system in ways we've never really considered.
TLDR; I don't think the people that are interested in cryptocurrencies will be interested in CBDC's, and I think the possible mega negatives far outweigh any small benefits from them.
Yes, I can't stand the idea of CBDCs.
I just figured with the priorities you have mentioned in our chats (like illicit transactions) the CBDC would be something you would be interested in.
I don't entirely follow the nuclear negative you mention. A CBDC would allow people to interact directly with the central bank. As far as I understand it, there is no credit or liquidity risk for customers.
If there is a financial crisis, and the central bank doesn't have enough liquidity to facilitate withdrawals, it could lead to the collapse of a sovereign countries financial system entirely. Basically a bank run on steroids. Unlikely but so is nuclear armageddon and I think we shouldn't be doing things that facilitate those possibilities.
I think illicit transactions are an issue, but I don't think a CBDC does anything to stop it. It's not like if you're money laundering you're going to elect to use it once it's available.
How Binance became a hub for hackers, fraudsters and drug sellers
For five years, the world’s largest cryptocurrency exchange Binance served as a conduit for the laundering of at least $2.35 billion in illicit funds.
Any guesses on where BTC and ETH trade over the next 30 days? I wouldn’t be surprised to see BTC at a 10K handle and ETH at a 400 handle, around where they traded in Sep 2020 before the big run up. There is nothing tangible to support any particular price level. Cryptocurrency is a social experiment that is really fascinating to watch.
I have no idea. But I think you could be close. Those levels wouldn't surprise me at this point.
We are currently trading at level that is at a loss for miners. But, there are still some on chain metrics that have some downside room.
my base case is that for people interested in Bitcoin there will be excellent buying opportunities over the next 6 months or so. But I have no idea what the bottom is. I am laddering more in as we go down.
10k is what I'm watching for. If it gets down there I'll buy some.
