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It's endlessly amusing to watch a group of (mostly) finance "outsider" engineering teams rediscover all the reasons the current financial system works like it d

by luma 5y ago

It's endlessly amusing to watch a group of (mostly) finance "outsider" engineering teams rediscover all the reasons the current financial system works like it does.

toomuchtodo 5y ago
This is what happens when you try to solve people problems with code.
- starfallg 5y ago
  It's like people watch and read all these Cyberpunk stories and say that nah, it's all fake, can't happen here, tech can solve everything.
Gatsky 5y ago
https://www.cnn.com/2021/02/16/business/citibank-revlon-lawsuit-ruling/index.html https://www.cnn.com/2021/02/16/business/citibank-revlon-laws... Just sayin…
- xadhominemx 5y ago
  This story is only notable because mistaken transactions get reversed all the time. This scenario was the result of a strange but intentional quirk in the law.
- JackFr 5y ago
  Of course the big difference is Citi actually owed that money.
- pb7 5y ago
  Did you read your own link past the headline? Citi accidentally repaid the loan in its entirety earlier than necessary. No money was lost or stolen. The lender decided to keep the early repayment of its money which is legally allowed.
  - Gatsky 5y ago
    Yes, I did. Did you read the comment I was replying to? Isn’t it ‘endlessly amusing’ to observe one of the biggest banks in the world discover why the finance system works the way it does? And if it was ‘no big deal’ then why did Citibank sue to get the money returned? I don’t use or advocate for DeFi, but the weird smugness of random people defending the existing financial system is quite off putting and frankly hard to understand given the last few decades.
londons_explore 5y ago
In the process of that rediscovery, plenty of people will become rich. That's an incentive to not be too quick remaking those discoveries...
- cynusx 5y ago
  You are forgetting the multi-millions of people that lost money on crypto so far. They are just written off as sore losers... Confirmation bias plays a big role in the popularity of crypto, in unsettingly the same way as it does with people dreaming to become a famous soccer player... mostly through confirmation bias and very little value-add.
elevenoh 5y ago
It's also endlessly amusing to watch traditional finance types take every crypto 'bump in the road' as an opportunity to justify their careers + justify their delusions about the status-quo & future of finance.
- IfOnlyYouKnew 5y ago
  It can only be "endlessly amusing" because there are "endless" of these bumps, so far. But, as with cryptocurrencies, it just doesn't make any sense. Maybe a boxer taking it on the chin round after round can derive some satisfaction from still being conscious. But they aren't making any progress and would be rather stupid to continue considering it a winning strategy. Oh, wait.. maybe it does make sense.
steveBK123 5y ago
Yes, it's main innovation is "not doing KYC" For those with a longer history on Wall St, it was essentially a new asset class with all the easy money arbitrage opportunities that went away in equities 20+ years ago back again.
- xadhominemx 5y ago
  Strategies that haven’t worked in regulated markets in 25-30 years are still minting cash in crypto.
- steveBK123 5y ago
  Arguably "not doing KYC" was also Robinhood's secret sauce..
leephillips 5y ago
It’s like the NoSQL of finance.

by luma 5y ago

It's endlessly amusing to watch a group of (mostly) finance "outsider" engineering teams rediscover all the reasons the current financial system works like it does.

toomuchtodo 5y ago

This is what happens when you try to solve people problems with code.

starfallg 5y ago
It's like people watch and read all these Cyberpunk stories and say that nah, it's all fake, can't happen here, tech can solve everything.

Gatsky 5y ago

https://www.cnn.com/2021/02/16/business/citibank-revlon-lawsuit-ruling/index.html https://www.cnn.com/2021/02/16/business/citibank-revlon-laws... Just sayin…

xadhominemx 5y ago
This story is only notable because mistaken transactions get reversed all the time. This scenario was the result of a strange but intentional quirk in the law.
JackFr 5y ago
Of course the big difference is Citi actually owed that money.
pb7 5y ago
Did you read your own link past the headline? Citi accidentally repaid the loan in its entirety earlier than necessary. No money was lost or stolen. The lender decided to keep the early repayment of its money which is legally allowed.
- Gatsky 5y ago
  Yes, I did. Did you read the comment I was replying to? Isn’t it ‘endlessly amusing’ to observe one of the biggest banks in the world discover why the finance system works the way it does? And if it was ‘no big deal’ then why did Citibank sue to get the money returned? I don’t use or advocate for DeFi, but the weird smugness of random people defending the existing financial system is quite off putting and frankly hard to understand given the last few decades.

londons_explore 5y ago

In the process of that rediscovery, plenty of people will become rich. That's an incentive to not be too quick remaking those discoveries...

cynusx 5y ago
You are forgetting the multi-millions of people that lost money on crypto so far. They are just written off as sore losers... Confirmation bias plays a big role in the popularity of crypto, in unsettingly the same way as it does with people dreaming to become a famous soccer player... mostly through confirmation bias and very little value-add.

elevenoh 5y ago

It's also endlessly amusing to watch traditional finance types take every crypto 'bump in the road' as an opportunity to justify their careers + justify their delusions about the status-quo & future of finance.

IfOnlyYouKnew 5y ago
It can only be "endlessly amusing" because there are "endless" of these bumps, so far. But, as with cryptocurrencies, it just doesn't make any sense. Maybe a boxer taking it on the chin round after round can derive some satisfaction from still being conscious. But they aren't making any progress and would be rather stupid to continue considering it a winning strategy. Oh, wait.. maybe it does make sense.

steveBK123 5y ago

Yes, it's main innovation is "not doing KYC" For those with a longer history on Wall St, it was essentially a new asset class with all the easy money arbitrage opportunities that went away in equities 20+ years ago back again.

xadhominemx 5y ago
Strategies that haven’t worked in regulated markets in 25-30 years are still minting cash in crypto.
steveBK123 5y ago
Arguably "not doing KYC" was also Robinhood's secret sauce..

leephillips 5y ago

It’s like the NoSQL of finance.