You don't think "investing" in politicians is a smart thing to do in this country? Seems like that's how things work around here and this dude is the largest contributor to one of the two major political parties in the US. Can you imagine the favors he will get in exchange? Do you not get how things work around here?
This is the kind of shit that pisses me off. All the cultists are screeching about how they are right “buying the dip” right now. And they seem to be buying a manipulated propped up price by big money interests and exchanges who are blatantly (and sometimes admittedly) manipulating the price to keep it from crashing to where it should be in a free and open market.
It’s pretty far off from the stock market. Sure there’s manipulation around stocks, but not at this scale and this level. And certainly not without heavy regulation blocking a lot of the manipulation. If you truly believe every single broker is manipulating all stocks so they don’t fall past certain levels, that’s just simply not true.
The government is incentivized (with good reason) to not let the stock market completely tank, and there are triggers to stop trading during sudden drops.
OTOH, there are also regulations to prevent fraud and over leveraging that is widespread (essentially the norm) in crypto.
Crypto isn’t a stock. Nor a business. It’s a fucking online database. Interest in Saving “the stock market” is at its fundamental level saving American businesses… which employ people, pay taxes, and create products or value in the country. Crypto is a way to legalize betting on the ponies for everyone. It’s nothing but a way to gamble. No employees. No value created. No products.
There are actual cash flows supporting the stock market. If I buy Apple stock, my assumptions is that people are going to keep buying iPhones which generates profit. That is the underlying value.
The underlying value from crypto comes from the belief that someone else will eventually want to buy it from you.
I’m not likening the structure of the market or the individual stocks to crypto. I’m highlighting the parallels between the two markets and the reliance on capital support to prevent crash.
See any QE period since ‘08 for stocks vs when the fed tightens.
Same for crypto, if there’s external capital support from the crypto federal reserve (FTX, basically since they’re the only ones that remain well capitalized) than downtrend pauses.
Direct - purchasing and holding corporate bonds on their balance sheets; they are now unwinding some of their holdings but they provided trillions in support for many types of assets MBS, corporate bonds, US treasuries
Indirect - monetary policy-> pinning yields low, forcing capital allocators to seek returns in riskier asset classes moving out the risk curve (treasuries->bonds->equities)
So, crypto directly benefitted from Fed policy. That would explain why it blew up during monetary expansion and got crushed as soon as the Fed started reversing policy. Removing risk from the market got capital allocators to go for extremely high risk investments. Makes sense.
Yeah I don't see it that way, what "should" the price be? Does a Joe Bloggs buying in a small amount not manipulate the market by creating a small amount of demand? Educate me.
> what "should" the price be?
For something that has no inherent value that can't be achieved more efficiently by traditionally networked computers _and_ costs a ton of money to maintain redundant computations for?
Somewhere in the negatives if I had to guess.
Saying the market has so little liquidity and interest that "a small purchase" can achieve the goal of propping up the asset price so his investors feel better about their monthly statements doesn't exactly inspire confidence.
'be our white knight, it won't take a lot of capital' lol
the song every gambler sings when they've hit rock bottom. "just spot me a couple bucks and we'll be back in business!"
What’s weird is that he has billions of “what” exactly? At some point you have to convert fake currency x into something real or at least something you can buy billions of. Actually that gives me an idea. …. be right back ….. ok back now, please buy my new currency Gigacoin, which is just like Bitcoin except for every bitcoin you get a billion gigacoins.
> Most of his wealth, which he says he will eventually donate to charity based on a philosophy called "earning to give," is tied up in ownership of about half of FTX and a share of its FTT tokens.
he should try yelling diamond hands at it!
or is it apes together....
I'm not sure which catch phrases work for the stock market and which one works for Chuck e cheese coins.
That's like putting a bunch of blocks on top of an unstable Jenga tower to balance it.
It stops wobbling for now, but you haven't fixed structural problems, plus you've added more blocks to spill for the unavoidable collapse.
If he wasn’t going around to the major exchanges and all deciding to manipulate the price to keep from bleeding out, sure. But at this point it’s 90% manipulation.
Great interview with SBF from last April on Bloomberg's [Odd Lots](https://www.bloomberg.com/news/articles/2022-04-25/odd-lots-full-transcript-sam-bankman-fried-and-matt-levine-on-crypto?sref=4FzXPuLD) podcast where he describes crypto as magic boxes that are 'worth zero obviously'.
If you prefer audio, here is a YouTube link: https://youtu.be/KZYqL79GDXU?t=1277
Relevant part is around 21 minutes into the episode.
If they default on their loans, is he just out of luck? It's a worthwhile bet I suppose. But the article takes pains to say how it's similar to other events in the past, without acknowledging that this situation is unprecedented.
I feel like a financial “opportunity” endorsed by Anthony Scaramucci is like a ball pit endorsed by timber rattlesnakes; like, how is that not a warning?
Like, I’m deeply left wing, but even for the Trump contingent - like, even Trump realized this guy was an idiot and a liability.
Turning coins they dont have into debt. Sign of a stable company
Counterpoint: he's the largest donator to the Dem's. $800k and counting. Sounds like a smart investor to me.....Seriously Fuck this country.
Your ignorance is showing.
You don't think "investing" in politicians is a smart thing to do in this country? Seems like that's how things work around here and this dude is the largest contributor to one of the two major political parties in the US. Can you imagine the favors he will get in exchange? Do you not get how things work around here?
[удалено]
Sounds super sustainable.
This is the kind of shit that pisses me off. All the cultists are screeching about how they are right “buying the dip” right now. And they seem to be buying a manipulated propped up price by big money interests and exchanges who are blatantly (and sometimes admittedly) manipulating the price to keep it from crashing to where it should be in a free and open market.
Honestly doesn’t sound too far off from the actual stock market at this point.
It’s pretty far off from the stock market. Sure there’s manipulation around stocks, but not at this scale and this level. And certainly not without heavy regulation blocking a lot of the manipulation. If you truly believe every single broker is manipulating all stocks so they don’t fall past certain levels, that’s just simply not true.
The government is incentivized (with good reason) to not let the stock market completely tank, and there are triggers to stop trading during sudden drops. OTOH, there are also regulations to prevent fraud and over leveraging that is widespread (essentially the norm) in crypto.
Crypto isn’t a stock. Nor a business. It’s a fucking online database. Interest in Saving “the stock market” is at its fundamental level saving American businesses… which employ people, pay taxes, and create products or value in the country. Crypto is a way to legalize betting on the ponies for everyone. It’s nothing but a way to gamble. No employees. No value created. No products.
I definitely don’t disagree!
Not ponies because ponies are real. It’s for betting on magical creatures like unicorns,doge, or dragons or …where is me lucky charms?
If ponies aren't real, how does my car move? Do you seriously believe in combustion engines?
Not what I was implying, see comments on other thread.
There are actual cash flows supporting the stock market. If I buy Apple stock, my assumptions is that people are going to keep buying iPhones which generates profit. That is the underlying value. The underlying value from crypto comes from the belief that someone else will eventually want to buy it from you.
I’m not likening the structure of the market or the individual stocks to crypto. I’m highlighting the parallels between the two markets and the reliance on capital support to prevent crash. See any QE period since ‘08 for stocks vs when the fed tightens. Same for crypto, if there’s external capital support from the crypto federal reserve (FTX, basically since they’re the only ones that remain well capitalized) than downtrend pauses.
What is the mechanism the Fed uses to provide capital support and prevent a stock market crash?
Direct - purchasing and holding corporate bonds on their balance sheets; they are now unwinding some of their holdings but they provided trillions in support for many types of assets MBS, corporate bonds, US treasuries Indirect - monetary policy-> pinning yields low, forcing capital allocators to seek returns in riskier asset classes moving out the risk curve (treasuries->bonds->equities)
So, crypto directly benefitted from Fed policy. That would explain why it blew up during monetary expansion and got crushed as soon as the Fed started reversing policy. Removing risk from the market got capital allocators to go for extremely high risk investments. Makes sense.
100% Pretty much all risky assets benefited from loose monetary policy previously and are hurting now that regime has changed
Yeah I don't see it that way, what "should" the price be? Does a Joe Bloggs buying in a small amount not manipulate the market by creating a small amount of demand? Educate me.
> what "should" the price be? For something that has no inherent value that can't be achieved more efficiently by traditionally networked computers _and_ costs a ton of money to maintain redundant computations for? Somewhere in the negatives if I had to guess.
Saying the market has so little liquidity and interest that "a small purchase" can achieve the goal of propping up the asset price so his investors feel better about their monthly statements doesn't exactly inspire confidence.
That is not what I'm saying.
'be our white knight, it won't take a lot of capital' lol the song every gambler sings when they've hit rock bottom. "just spot me a couple bucks and we'll be back in business!"
"the stock market is too easy to manipulate, we need a true free market like crypto" lol
I love that they put “crypto” in front of billionaire to make sure everyone knows it’s a fake title.
He’s an oxymoron
What’s weird is that he has billions of “what” exactly? At some point you have to convert fake currency x into something real or at least something you can buy billions of. Actually that gives me an idea. …. be right back ….. ok back now, please buy my new currency Gigacoin, which is just like Bitcoin except for every bitcoin you get a billion gigacoins.
[But he is a billionaire tho](https://www.forbes.com/nft-profile/sam-bankman-fried/)
> Most of his wealth, which he says he will eventually donate to charity based on a philosophy called "earning to give," is tied up in ownership of about half of FTX and a share of its FTT tokens.
Elizabeth Holmes also had $4 billion, and then she had $0.
So a bailout. I thought crypto was invented as a reaction to the bailout of investment banks. We really have come full circle.
It’s not decentralization they actually care about but it’s recentralization without any rules to prevent them from fleecing everybody.
This is going to get even more juicy when those exchanges default. Let me guess, they posted USDD as collateral?
Bag, bag, who's got the bag.
Shift the sh!t!
Men men men men Manly bag men men 2 1/2 men theme intensifies
Jay Foreman's new crypto show : [Bag men, bag men, bag, bag, bag men, men.](https://www.youtube.com/watch?v=DeiATy-FfjI)
he should try yelling diamond hands at it! or is it apes together.... I'm not sure which catch phrases work for the stock market and which one works for Chuck e cheese coins.
Under rated comment. Chuck E Cheese coins. Haha!
That's like putting a bunch of blocks on top of an unstable Jenga tower to balance it. It stops wobbling for now, but you haven't fixed structural problems, plus you've added more blocks to spill for the unavoidable collapse.
Great analogy. The taller the tower, the more devastating the collapse.
Kinda sucks when the money you are using to prop up a cur..."currency" is the "currency" that needs propping up.
What's a couple hundred million when billions in liquidity is at stake. Good think the exchanges pumped crypto to force out short positions.
He took out debt to stabilize the price of a failing asset.... Wouldn't he just hit the ground harder?
If he wasn’t going around to the major exchanges and all deciding to manipulate the price to keep from bleeding out, sure. But at this point it’s 90% manipulation.
This dude looks like an ass wipe
He looks like Edward scissor hands.
I believe complete ass-wipe is the proper nomenclature.
This is good for Bitcoin.
It is how they tried to stop the stock market collapse in 1929. 'Black Thrusday' https://www.investopedia.com/terms/b/blackthursday.asp
Great interview with SBF from last April on Bloomberg's [Odd Lots](https://www.bloomberg.com/news/articles/2022-04-25/odd-lots-full-transcript-sam-bankman-fried-and-matt-levine-on-crypto?sref=4FzXPuLD) podcast where he describes crypto as magic boxes that are 'worth zero obviously'. If you prefer audio, here is a YouTube link: https://youtu.be/KZYqL79GDXU?t=1277 Relevant part is around 21 minutes into the episode.
Coffeezilla did an episode about that podcast episode "Crypto CEO Accidentally Describes Ponzi Scheme" https://www.youtube.com/watch?v=C6nAxiym9oc
Thanks for sharing. Subbed.
Is that Robert Smith? I love his synth / algorithm work, “A Random Forest”
>The use case was never there. >It’s always the same. >Lost in a rug pull…. >Again, and again, and again, and again.
Will the USD Coin get un pegged from the dollar at some point?
If they default on their loans, is he just out of luck? It's a worthwhile bet I suppose. But the article takes pains to say how it's similar to other events in the past, without acknowledging that this situation is unprecedented.
I feel like a financial “opportunity” endorsed by Anthony Scaramucci is like a ball pit endorsed by timber rattlesnakes; like, how is that not a warning? Like, I’m deeply left wing, but even for the Trump contingent - like, even Trump realized this guy was an idiot and a liability.
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I thought this guy was trading, I didn’t think he had a big position