9 ms·
3AC isn’t just large. 3AC is the largest trader by volume in the world for like 4 years. Them going bankrupt is like long term capital management going bankrupt
by josh2600 4y ago
3AC isn’t just large. 3AC is the largest trader by volume in the world for like 4 years. Them going bankrupt is like long term capital management going bankrupt.
- 3327 4y ago
- sillysaurusx 4y agoMt Gox says hello. We’ve been here before, we’ll be here again, a bunch of people will lose money and the cycle will repeat. It’ll all work out.
- arcticbull 4y agoHopefully this time, we get some regulator action so we're never back here again. Each time the cycle gets bigger, the tendrils work their way into traditional finance - and more people get hurt. This time, the Quebec public servants are getting rekt on their investment into Celsius [1]. Now it's hurting pensioners, not just a bunch of degenerate gamblers and moonbois. It's fine for a bunch of pokemon card traders to get rekt - but by the time you get to 3AC scale, it's time for regulators to put the kibosh on the whole space. They're securities. They either get registered or you go to Club Fed. With all due respect, fingers crossed, this time it does not work out. [1] https://www.cdpq.com/en/news/pressreleases/celsius-network-announces-investment-led-westcap-cdpq-valuation-more-us-3b https://www.cdpq.com/en/news/pressreleases/celsius-network-a...
- ycta2022061715 4y agoQuestion: what is the point of crypto if it becomes regulated like traditional financial assets? Crypto doesn't have any actual use-value like stocks or real estate, and its entire selling point was that it's decentralized and unregulated.
- deleted 4y ago[deleted]
- junofan 4y agoSimplifies and modernizes cross-border flows. Try buying shares in a firm listed on the Indonesia Stock Exchange—you’ll spend days to weeks dealing with middlemen. Should be a couple clicks to submit to a public ledger. I don’t see where lack of regulation is a selling point—it greatly limits invested capital.
- astrange 4y agoIsn't the reason buying international shares is slow that they don't want you to do it and therefore have regulated it? There's no technical merit in crypto that actually makes things fast, it's just a regulation dodge. It's necessarily slower and more expensive than TransferWise.
- Jommi 4y agoA country that _Doesnt_ want to more capital flowing into their companies? Sounds pretty weird no?
- hakfoo 4y agoThe capital comes at the cost of sovereignity. They have decided it's better to avoid their local businesses being beholden to foreign investors, which is a case that can be argued. If you're being directed mostly by overseas investors who will never see your actual operation in person, that increases the pressure to cook the books, either on a direct accounting-level basis, or by cutting corners in operations, environmental or labour standards, or product quality. Notice how some countries insist on joint ventures with a 51% local partner, which similarly ensures there's some local skin in the game.
- btilly 4y agoAs far as I can see, https://wise.com/us/ https://wise.com/us/ is in all ways a better way to simplify cross-border flows than crypto. When working with overseas teams, it is literally how they ask to be paid.
- codehalo 4y agoAny advice for those getting rekt in the traditional markets, or are you hoping that doesn't work out too?
- lupire 4y agoWait it out or become an active investor in value creation. There is no such thing as a free lunch.
- codehalo 4y agoThere was never any in crypto either. Anyone who thought so is just as stupid as the HN'ers that think cryptocurrencies are bogus. Thinking a few over leveraged crypto companies getting wiped out will destroy cryptocurrencies is laughable.
- tyrfing 4y ago> Now it's hurting pensioners, not just a bunch of degenerate gamblers and moonbois. No, that's your public institution making degenerate gambles on late-stage startups. The largest venture capital investor in Canada isn't some poor victim, they are the perpetrators, the owners. It's completely laughable to paint them as a victim of some crypto-ecosystem heist.
- arcticbull 4y agoThe pensioners are the victims of both the fund and Celsius. Neither should the fund be allowed to invest in Ponzi schemes, nor should the so-called investments be permitted to run them in the open. [edit] I'd have the same criticism of both if they'd invested in Bernard L. Madoff Investment Securities LLC.
- lupire 4y agoIt should be illegal for fiduciaries to invest client funds in crypto schemes without client consent, not illegal for individuals to speculate.
- arcticbull 4y agoI take the position that cryptos are clearly securities under the Howey test. It's pretty self-evident. As such, they must be registered in order to be traded by anyone other than an accredited investor. To be clear, this is the law of the land today. All that's missing is regulatory enforcement action.
- anonymousab 4y agoThe victim is the pensioners, not necessarily the gambling fund. "regulator action" can refer to simply preventing sensitive/prison funds from going into certain classes of risky ventures, and not regulation against crypto itself.
- deleted 4y ago[deleted]
- workingon 4y agoNone of it has ever happened before during a recession. Crypto basically didn’t exist the last time the world had one. Being religious and so sure about the way something is going to turn out should be a warning sign to the self.
- fourstar 4y agoSo if it didn't exist how can you be so sure about dismissing it? It literally is a new paradigm. EDIT: nice to see all the luddites downvoting me. Guess the meme is true -- we still are early.
- arcticbull 4y agoInvestment fraud is not a new paradigm. Selling bags of nothing is not a new paradigm. Goes all the way back to the South Sea Company in 1711 [1]. I recommend reading Extraordinary Popular Delusions and the Madness of Crowds published originally in 1841 [2]. [1] https://en.wikipedia.org/wiki/South_Sea_Company https://en.wikipedia.org/wiki/South_Sea_Company [2] https://www.amazon.com/Extraordinary-Popular-Delusions-Madness-Crowds/dp/051788433X https://www.amazon.com/Extraordinary-Popular-Delusions-Madne...
- mumblemumble 4y agoExtraordinary Popular Conclusions is also available for free from Gutenberg: https://www.gutenberg.org/ebooks/24518 https://www.gutenberg.org/ebooks/24518
- vba616 4y agoI don't see it usually mentioned when people cite the South Sea Company, but their principal actual business was the slave trade. There is something about a useless or immoral business that often excites greed beyond what anything beneficial to society can.
- workingon 4y agoI'm not. Bitcoin could still MOON. I'm just saying you shouldn't be so sure either way with so much uncertainty.
- minsc_and_boo 4y agoMt. Gox happened when crypto was a small fraction of what it is today, in terms of capital, transactions, even # of players.
- rr808 4y agoIts nothing like LTCM, its much worse because when LTCM the fed and SEC cleaned up by reducing interest rates and helping GS take over the positions. Crypto is "free" from govt interference like this.
- kelseyfrog 4y agoIf crypto bubble bursting is what precipitates the next recession I'm going to be beyond upset. Getting burned by something I purposefully stayed out of is nothing short of enraging. I'd legislate it out of existence out of spite at that point.
- jvanderbot 4y agoWhat's happening here isn't causing the recession, it's indicating it, for the most part. Crypto was never really disconnected from the public markets, not like it claimed it was.
- mountainriver 4y agoExactly, the crypto bubble is tied to US monetary policy, even though they don’t want you to think that. Every time I make a comment about this I get downvoted by the crypto gang.
- rlt 4y agoMaybe the nuevo crypto gang, but OG Bitcoiners have seen enough bubbles they view them as inevitable and don’t particularly care about the reason for them.
- jankyxenon 4y agoSeen enough bubbles? They’ve only known one type of monetary policy and rate environment (essentially zero). This is uncharted territory for all crypto.
- 4y ago
- paulpauper 4y ago> Them going bankrupt is like long term capital management going bankrupt. Which ironically would be bullish for bitcoin . stocks rebounded huge after the 1998 crisis.
- 323 4y agoIsn't Alameda a bigger trader?