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Aren't these "dominoes" just more or less TradFi companies?
by k__ 4y ago
Aren't these "dominoes" just more or less TradFi companies?
- ForHackernews 4y agoNo, these are the unregulated bucket shops and wildcat banks favored by the bold adventurers of web3.
- polygamous_bat 4y agoThey are the pioneers of Web3 and crypto adoption as long as they're paying unreasonable APY in a 0% interest rate regime, and a more or less tradfi company as soon as they are exposed to be a ponzi scheme. Because we all know crypto is perfect and can't fail.
- rippercushions 4y agoInterest rates aren't 0% anymore. Of course, this only makes things even harder for crypto Ponzis, because they have to offer even more unsustainable rates to keep up.
- polygamous_bat 4y agoI agree with you, arguably interest rate raising above the minimum is what exposed a lot of these scams.
- joosters 4y agoIf you want to talk in terms of coins, some of the direct fallout includes: FTT: $26 -> $1.60 Serum: $0.80 -> $0.26 Solana: $36 -> $14 Or, more indirectly all crypto 'market cap' in general: $1050B -> $825B. Ok, so market cap is pretty ephemeral, but chances are, if you held any crypto prior to FTX collapsing, its theoretical value has dropped because of it. DeFi doesn't make you immune.
- vintermann 4y agoSure. TradFi companies that everyone in the RadFi ecosystem rely on.
- hanniabu 4y agoYes, more accurately referred to as CeFi. It's no different than a bank going belly up. It has no bearing on the underlying assets. But HN loves to call crypto a scam so they'll refrain from acknowledging the difference.