Crypto – Speedrunning Finance

November 16, 2022
  • Feels like we are doing modern finance, from the 17th century to today via crypto in less than 15 years
  • Have gone through various issues now like feedback loops, broken exchanges, fraud, derivatives and pets.com style bubbles
  • Own little GFC moment:
    • "Banks" (FTX/exchanges) making speculative investments (Alameda/prop division) that don't benefit customers.
    • Those banks blew up during the GFC. Similarly, those exchanges are blowing up now.
  • The most recent move will certainly lead to increased legislation in crypto
    • Suspect we will see Dodd-Frank like legislation globally
  • Worst part is, the recent blow up has nothing to do with crypto
    • The occurrence of frauds and Cult leaders in crypto are almost a complete circle on a venn diagram
    • Centralised exchanges all blow up, there is no rule to this exception.
    • Not your keys, not your coins.
  • Crypto is meant to be decentralised and cryptographic. All of the recent nonsense is the antithesis to the very idea of crypto.