BITCOIN

Thrugelmir

The Lehmans moment of Crypto Currency. Investor support melts away .......

Hexane

Thrugelmir said:

The Lehmans moment of Crypto Currency. Investor support melts away .......

Ouch!

Just looked at the price, had to double check it wasn't in GBP.... no, really all that way down even in USD.

[Deleted User]

Coinbase is trying to calm investors after it seems their share price fell 23% and there were fears of bankruptcy, in which case it has been suggested that the customers could been seen as creditors and their crypto would be gone.

https://www.ft.com/content/50c1e24d-4b28-42fe-bb29-e9d13aa01909

Madness, thank god I sold all my coins a couple of weeks ago just before they crashed again. Although maybe a good time to buy if you are brave!

User232002

Thrugelmir said:

The Lehmans moment of Crypto Currency. Investor support melts away .......

Hardly. Unlike Lehman, there will be no central bank printing money to save Luna and Do Kwon. The capital that was mis-allocated, blinded by greed, will be punished and the people that correctly allocated capital will remain. I'm really not sorry that UST/Terra has gone to zero; the consensus view was that it was always unsustainable, a complete ponzi and anyone could have verified this themselves with a modicum of research - algostablecoins have a long and colourful history of blowing up with remarable regularity. 

A lot of people have probably learnt the importance of decentralisation and POW today. Unfortunately, many people burned by this may not want to hear this - but the current fiat system is more akin to Luna than Bitcoin is. Even today HKMA are currently defending the HKD peg and this entire Luna episode is more or less analogous to the Soros / GBP trade in the 90s.

Malthusian said:

The future of money!

Please stop conflating crypto with Bitcoin. They are not one and the same. UST was always on borrowed time.

Zola.

darren232002 said:

Thrugelmir said:

The Lehmans moment of Crypto Currency. Investor support melts away .......

Hardly. Unlike Lehman, there will be no central bank printing money to save Luna and Do Kwon. The capital that was mis-allocated, blinded by greed, will be punished and the people that correctly allocated capital will remain. I'm really not sorry that UST/Terra has gone to zero; the consensus view was that it was always unsustainable, a complete ponzi and anyone could have verified this themselves with a modicum of research - algostablecoins have a long and colourful history of blowing up with remarable regularity. 

A lot of people have probably learnt the importance of decentralisation and POW today. Unfortunately, many people burned by this may not want to hear this - but the current fiat system is more akin to Luna than Bitcoin is. Even today HKMA are currently defending the HKD peg and this entire Luna episode is more or less analogous to the Soros / GBP trade in the 90s.

Malthusian said:

The future of money!

Please stop conflating crypto with Bitcoin. They are not one and the same. UST was always on borrowed time.

Thing is, everything is in the toilet. 
I work for a tech company, record sales in Q1, yet the stock price literally halved since November. Bitcoin is highly correlated with the Nasdaq at this moment in time, which is being hammered. 

As for all the sh*tcoins, well thats no surprise and people will learn one way or another from being rekt, than Bitcoin is the only one that matters.

I don't imagine there will be any big peaks again until the next halving after 2024. Im good with that! 

Frequentlyhere

Tether drifting off its peg too, now that could be very interesting. FT surprisingly quick off the mark in reporting:

https://www.ft.com/content/7ced3098-84a3-4c22-85ec-ac323d6d70e0

Though I believe we're all agreed that Tether is a crock, I can't recall from memory whether the participants in this forum believe its unrolling will substantially affect the price of bitcoin. We may be about to find out.

Paolo has already taken to twitter for his reassurance purposes ">300M redeemed in last 24h without a sweat drop"

Somehow from a British perspective, I don't take lack of sweating as being the good sign he means it to be.

Aegis

I for one love the idea of investing $0.90 to get back $0.60.  Presumably this will turn into a profit with enough volume?

Thrugelmir

darren232002 said:

Thrugelmir said:

The Lehmans moment of Crypto Currency. Investor support melts away .......

Hardly. Unlike Lehman, there will be no central bank printing money to save Luna and Do Kwon. 

Um.......... There was no support for Lehman Bros. The US authorities let it go under. Investors took the full hit.

Malthusian

Frequentlyhere said:

Tether drifting off its peg too, now that could be very interesting. FT surprisingly quick off the mark in reporting:

It dumped to as low as 94 cents around 8am this morning, but the wash trading bots are currently holding steady at 99 cents.

Infinite money glitch!

Which means that as it stands at lunchtime, nobody has much need to call on Tether's super secret reserves backing the "1 Tether = 1 real dollar" promise, that are too super secret to be independently audited. Unless, of course, they want to realise their "guaranteed" 1.01% return by calling on the guarantee.

Take the money! Open the box!

User232002

Thrugelmir said:

Um.......... There was no support for Lehman Bros. The US authorities let it go under. Investors took the full hit.

I thought you were referring to it in the metaphorical sense of it being the moment everyone realised the entire industry was running on vaporware.

Thrugelmir said:

The market is more correlated than investors think. Cross holdings have already resulted in sizable sell off's of bitcoin to raise liquidity. Like an iceberg. It's the 90% that lies beneath the water that's the problem. 

If your argument is that there are some crypto ponzi's that are a problem and need to die, I believe pretty much every pro-BTC poster here would agree with you. Plenty of tokens, in the top 10 even, are complete vaporware and we've said as much over the year this thread has been running.

If your argument is that Bitcoin, and many other genuine projects, are contaminated or somehow tainted due to this then that is wholly incorrect. The stock market isn't a scam because Theranos and Nikola existed.

And again, every 'sell off' has a buyer, which needs remembering.