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> This seems like... obviously a security? Or obviously an ETF, or obviously a mutual fund, or obviously a market maker, or obviously The Fed. There is litera

> This seems like... obviously a security? Or obviously an ETF, or obviously a mutual fund, or obviously a market maker, or obviously The Fed. There is literally a 1-1 attempt at mimicking the current financial system under the label "DeFi". The problem is that the vast majority of the participants don't care about this. They care about 720,687% APY as of this posting on things like this, which anyone should realize is nonsense: https://euphoria.money/ https://euphoria.money/ That's $100 to $3 billion in two years. Good luck with that.

pas 5y ago
those insane yields are deceptive because they are not adjusted for inflation of the currency/token/coin
- qeternity 5y ago
  Well, sort of. Your yield isn't in dollars, it's in number of tokens. Your dollar yield will be the token yield minus the change in token price.
  - EMM_386 5y ago
    > Well, sort of. Your yield isn't in dollars, it's in number of tokens. Perhaps they should be more transparent about this, because I can end homelessness in the United States right now with $100 based on their reported APY. The only people who are attracted to this misinformation are amateur investors, and I fear that is the whole point.
    - qeternity 5y ago
      Absolutely. I’m not defending it. But this is my point, it takes an understanding of finance and an understanding of what’s actually happening with these smart contracts. Retail will get slaughtered.
spinchange 5y ago
Yes, ETFs and Mutual funds are both registered securities. They are regulated instruments/investments. They could not be sold, legally, if they were not registered with the SEC (it doesn't have anything to do, specifically, with being traded on stock exchange- a security can be non traded too) The parent comment is pointing out that this looks like it meets the same definition as those other things and needs to follow the same laws, no matter how much people like it, want it, think it's better than what's it's "replacing"

pas 5y ago

those insane yields are deceptive because they are not adjusted for inflation of the currency/token/coin

qeternity 5y ago
Well, sort of. Your yield isn't in dollars, it's in number of tokens. Your dollar yield will be the token yield minus the change in token price.
- EMM_386 5y ago
  > Well, sort of. Your yield isn't in dollars, it's in number of tokens. Perhaps they should be more transparent about this, because I can end homelessness in the United States right now with $100 based on their reported APY. The only people who are attracted to this misinformation are amateur investors, and I fear that is the whole point.
  - qeternity 5y ago
    Absolutely. I’m not defending it. But this is my point, it takes an understanding of finance and an understanding of what’s actually happening with these smart contracts. Retail will get slaughtered.

spinchange 5y ago

Yes, ETFs and Mutual funds are both registered securities. They are regulated instruments/investments. They could not be sold, legally, if they were not registered with the SEC (it doesn't have anything to do, specifically, with being traded on stock exchange- a security can be non traded too) The parent comment is pointing out that this looks like it meets the same definition as those other things and needs to follow the same laws, no matter how much people like it, want it, think it's better than what's it's "replacing"