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> which should eventually reach parity to ETH You're ignoring the issue here. When I'm talking Fed Rate, its _OVERNIGHT LENDING_. Its not "eventually reach pa
by dragontamer 4y ago
> which should eventually reach parity to ETH
You're ignoring the issue here.
When I'm talking Fed Rate, its _OVERNIGHT LENDING_. Its not "eventually reach parity with dollar", its "this will turn into a real dollar tomorrow". Its a loan that is as safe as you can possibly get.
You're trying to compare Ethereum staking with the Fed's overnight lending. The risk/reward structures at play here are completely different.
The Fed Rate is the shortest, and safest, loan in the entire marketplace. Ethereum staking is kinda similar in some respects (as a yield granted by the "Ethereum system" itself, its kinda sorta like a central bank rate), but it... really isn't. Because it has an ill-specified withdrawal time.
- latchkey 4y ago> You're trying to compare Ethereum staking with the Fed's overnight lending. I don't know how you're drawing that conclusion from my comment. I am responding to your comment about coinbase and suggesting that they aren't the only product on the market. I also wanted to point out the fact that there are other actually liquid solutions to eth staking. The coinbase product is more like staking as a service, but centralized, and not recommended. https://ethereum.org/en/staking/#how-to-stake-your-eth https://ethereum.org/en/staking/#how-to-stake-your-eth