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Exciting news: Vegas casino adds $500M of other casinos' chips to its balance sheet. Visa will soon be out of business.

by pavlov 5y ago

bluecalm 5y ago
The analogy isn't good. Casino chips corresponds 1-1 to dollars. It's not like you have to pay more for them if there is fewer around. That being said companies benefiting from rising crypto currencies prices buying said currencies just to hold them (and therefore manipulating the price due to limited supply) should at least raise some eyebrows.
- sokoloff 5y ago
  If you take the logical view that BTC et al today function more like assets than currencies, then an enormous number of actors in the equity markets are in the situation of buying an equity asset and benefiting if its price goes up (and often talking their own book as well).
- Cthulhu_ 5y ago
  Arcade tickets then. What are they worth? Who knows, see what you can buy with them.
deleted 5y ago
[deleted]
scrollaway 5y ago
You're trying to make a point but think it'd be pretty noteworthy if a casino added half a billion in chips from other casinos.
mgamache 5y ago
Do most money managers want to buy casino chips? Is the market in chips large enough to cause the government to copy the chip market and tax the exchange of chips? Get you buy chips on all major exchanges? Visa should be worried.
- arcticbull 5y ago
  So this one time the entire economy of Albania imploded requiring a bail-out from the IMF because everyone got into a massive Ponzi scheme. [1] Interestingly enough, it happened at a period of serious political instability - switching over from communism to capitalism. This lack of confidence in social institutions caused people to seek refuge in snake oil salesmen. There's an awful lot of parallels in this story. Cryptocurrencies are really, super stupid currencies. They fly in the face of everything we know about modern economics. They're slow, they're expensive, they're deflationary. People don't spend deflationary things, and an economy is built on the idea of money changing hands. They're stupid assets because they're backed by nothing. They're not productive, and the biggest are negative-sum investment vehicles with value constantly skimmed off by miners. Crypto advocates are basically the anti-vaxxers of finance. If I've learned one thing from history and "Extraordinary Popular Delusions and the Madness of Crowds" it's not to underestimate this kind of insanity. So, with that in mind, let me address your question head on: > Do most money managers want to buy casino chips? I mean, most money managers in 2008 wanted people to buy mortgage-backed securities did they not? > Is the market in chips large enough to cause the government to copy the chip market and tax the exchange of chips? 85% of all trading volume is ersatz counterfeit dollars. [2] It really is an open question just how big this market actually is. If it wasn't there would be a Bitcoin ETF. This is in fact the reason there isn't one. Instead you've got Michael Saylor's next hell-ride, brought to you by the gentleman who lost more money in one day than anyone to date in 2000 when it came to light he was cooking the company books. The MicroStrategy company books. He settled for $11M. [3] [1] https://www.imf.org/external/pubs/ft/fandd/2000/03/jarvis.htm https://www.imf.org/external/pubs/ft/fandd/2000/03/jarvis.ht... [2] https://coinlib.io/coin/BTC/Bitcoin https://coinlib.io/coin/BTC/Bitcoin [3] https://www.nytimes.com/2000/12/15/business/microstrategy-chairman-accused-of-fraud-by-sec.html https://www.nytimes.com/2000/12/15/business/microstrategy-ch...
  - zpeti 5y ago
    Your only legitimate point about them being really stupid is that they are slow. But this evolving and improving. It's the only hurdle to crypto having all the properties of a real currency. And it will be fixed. On the other side you have technology that has now been working for 10 years. Have scammers used it? Yes. But that doesn't mean the technology doesnt work. Is it deflationary? Yes. So was almost all currency before the 1970s. Do you stop buying TVs and electronics because they'll be cheaper in a few years? Not many people do. Deflationary currencies can work too. Well done on the ad hominem attack of crypto people being anti vaxxers though. Very good. Why not add trumper in as well? That will really scare people away.
ravenstine 5y ago
Are USD and company shares really so different from poker chips? (Not to say you don't have an excellent point)
- jstx1 5y ago
  Poker chips have 1:1 correspondence to dollars. So they're very different from shares and from cryptocurrencies.
  - deleted 5y ago
    [deleted]
  - JohnJamesRambo 5y ago
    Poker chips are like a stablecoin based on USD, an inflationary currency- a very poor investment indeed. I’d be quite worried if a business invested in USD, but they all try to. https://fred.stlouisfed.org/series/M2SL https://fred.stlouisfed.org/series/M2SL
- BrissyCoder 5y ago
  Poker chips don't have earnings or pay dividends.
spyder 5y ago
> Visa will soon be out of business. Visa is also buying the casino chips and spending it in the even more riskier casinos (NFTs): https://www.forbes.com/sites/ninabambysheva/2021/08/23/visa-enters-metaverse-with-first-nft-purchase/ https://www.forbes.com/sites/ninabambysheva/2021/08/23/visa-... "We think that NFTs are going to play a really important role in the future of retail and social media, entertainment and commerce,'' says Cuy Sheffield, head of crypto at Visa" Also: “We envision there could be a future where your crypto address becomes as important as your mailing address,” Sheffield says. “In the same way Visa’s been here through shifts of commerce before, we're really excited to help drive this new shift of commerce in the future.”

Exciting news: Vegas casino adds $500M of other casinos' chips to its balance sheet. Visa will soon be out of business.

by pavlov 5y ago

Exciting news: Vegas casino adds $500M of other casinos' chips to its balance sheet. Visa will soon be out of business.

The analogy isn't good. Casino chips corresponds 1-1 to dollars. It's not like you have to pay more for them if there is fewer around. That being said companies benefiting from rising crypto currencies prices buying said currencies just to hold them (and therefore manipulating the price due to limited supply) should at least raise some eyebrows.

sokoloff 5y ago
If you take the logical view that BTC et al today function more like assets than currencies, then an enormous number of actors in the equity markets are in the situation of buying an equity asset and benefiting if its price goes up (and often talking their own book as well).
Cthulhu_ 5y ago
Arcade tickets then. What are they worth? Who knows, see what you can buy with them.

deleted 5y ago

[deleted]

scrollaway 5y ago

You're trying to make a point but think it'd be pretty noteworthy if a casino added half a billion in chips from other casinos.

mgamache 5y ago

Do most money managers want to buy casino chips? Is the market in chips large enough to cause the government to copy the chip market and tax the exchange of chips? Get you buy chips on all major exchanges? Visa should be worried.

arcticbull 5y ago
So this one time the entire economy of Albania imploded requiring a bail-out from the IMF because everyone got into a massive Ponzi scheme. [1] Interestingly enough, it happened at a period of serious political instability - switching over from communism to capitalism. This lack of confidence in social institutions caused people to seek refuge in snake oil salesmen. There's an awful lot of parallels in this story. Cryptocurrencies are really, super stupid currencies. They fly in the face of everything we know about modern economics. They're slow, they're expensive, they're deflationary. People don't spend deflationary things, and an economy is built on the idea of money changing hands. They're stupid assets because they're backed by nothing. They're not productive, and the biggest are negative-sum investment vehicles with value constantly skimmed off by miners. Crypto advocates are basically the anti-vaxxers of finance. If I've learned one thing from history and "Extraordinary Popular Delusions and the Madness of Crowds" it's not to underestimate this kind of insanity. So, with that in mind, let me address your question head on: > Do most money managers want to buy casino chips? I mean, most money managers in 2008 wanted people to buy mortgage-backed securities did they not? > Is the market in chips large enough to cause the government to copy the chip market and tax the exchange of chips? 85% of all trading volume is ersatz counterfeit dollars. [2] It really is an open question just how big this market actually is. If it wasn't there would be a Bitcoin ETF. This is in fact the reason there isn't one. Instead you've got Michael Saylor's next hell-ride, brought to you by the gentleman who lost more money in one day than anyone to date in 2000 when it came to light he was cooking the company books. The MicroStrategy company books. He settled for $11M. [3] [1] https://www.imf.org/external/pubs/ft/fandd/2000/03/jarvis.htm https://www.imf.org/external/pubs/ft/fandd/2000/03/jarvis.ht... [2] https://coinlib.io/coin/BTC/Bitcoin https://coinlib.io/coin/BTC/Bitcoin [3] https://www.nytimes.com/2000/12/15/business/microstrategy-chairman-accused-of-fraud-by-sec.html https://www.nytimes.com/2000/12/15/business/microstrategy-ch...
- zpeti 5y ago
  Your only legitimate point about them being really stupid is that they are slow. But this evolving and improving. It's the only hurdle to crypto having all the properties of a real currency. And it will be fixed. On the other side you have technology that has now been working for 10 years. Have scammers used it? Yes. But that doesn't mean the technology doesnt work. Is it deflationary? Yes. So was almost all currency before the 1970s. Do you stop buying TVs and electronics because they'll be cheaper in a few years? Not many people do. Deflationary currencies can work too. Well done on the ad hominem attack of crypto people being anti vaxxers though. Very good. Why not add trumper in as well? That will really scare people away.

ravenstine 5y ago

Are USD and company shares really so different from poker chips? (Not to say you don't have an excellent point)

jstx1 5y ago
Poker chips have 1:1 correspondence to dollars. So they're very different from shares and from cryptocurrencies.
- deleted 5y ago
  [deleted]
- JohnJamesRambo 5y ago
  Poker chips are like a stablecoin based on USD, an inflationary currency- a very poor investment indeed. I’d be quite worried if a business invested in USD, but they all try to. https://fred.stlouisfed.org/series/M2SL https://fred.stlouisfed.org/series/M2SL
BrissyCoder 5y ago
Poker chips don't have earnings or pay dividends.

spyder 5y ago

> Visa will soon be out of business. Visa is also buying the casino chips and spending it in the even more riskier casinos (NFTs): https://www.forbes.com/sites/ninabambysheva/2021/08/23/visa-enters-metaverse-with-first-nft-purchase/ https://www.forbes.com/sites/ninabambysheva/2021/08/23/visa-... "We think that NFTs are going to play a really important role in the future of retail and social media, entertainment and commerce,'' says Cuy Sheffield, head of crypto at Visa" Also: “We envision there could be a future where your crypto address becomes as important as your mailing address,” Sheffield says. “In the same way Visa’s been here through shifts of commerce before, we're really excited to help drive this new shift of commerce in the future.”