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On regulations: FTX and SBF were the main proponents of regulations. Not because it solves anything, but because it eliminates a competition and for them it gav
by splix 4y ago
On regulations: FTX and SBF were the main proponents of regulations. Not because it solves anything, but because it eliminates a competition and for them it gave more freedom to do a fraud. So I'm not sure it's always a good thing.
On loans: Give me a bank that can loan me $100M without even asking for an ID? Without a collateral, of course. Like Aave Flashloan provides on blockchain.
- noelsusman 4y ago>Give me a bank that can loan me $100M without even asking for an ID? Without a collateral, of course. Like Aave Flashloan provides on blockchain. That seems like a really bad idea!
- TimJRobinson 4y agoIt's great for levelling the playing field of finance. In traditional finance only the most capitalised players are able to do small arbitrage opportunities, and many firms make billions of dollars this way. In DeFi anyone can take advantage of them using flash loans.
- oblio 4y ago> In DeFi anyone can take advantage of them using flash loans. Ok... how do you repay flash loans when things go bad? Please, do elaborate.
- TimJRobinson 4y agoFlash loans are repaid instantly in the same block. If it doesn't repay itself the transaction isn't valid.
- snapcaster 4y agoFlash loans only happen if they're paid back. Pretty cool tech actually as someone pretty skeptical of blockchains