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The issue wasn't cryptocurrency itself though. The issue was that FTX was investing into companies and they were essentially trying to run a fractional reserve
by dmak 4y ago
The issue wasn't cryptocurrency itself though. The issue was that FTX was investing into companies and they were essentially trying to run a fractional reserve against their own client assets. Those issues would happen regardless of the asset class.
- sumtechguy 4y agoNo arguments. Crypto is a form of payment system, if we want it or not. It is however an unregulated and uninsured currency system that may or may not have actual capital backing it up (depending on the coin). My point is you will see wild swings of interesting things happening precisely because of the unregulated nature of it. This is not 'new' because of crypto. It has happened before, it will happen again. Regulation also does not necessarily means 'it will not happen'. It usually just slows it down enough to catch it before it gets wildly out of hand. Also as a payment system crypto is interesting, as many people seem to be using it as an investment vehicle precisely because of those wild swings.