Current Events > What's going on in the Crypto exchange sector is crazy

(+) Yeah! (+)

I'm not talking about the actual price of coins

I'm talking about what's going on with the "banks" (Celsius), "stable" investments (Luna) and exchange services like Binance and Robinhood.

Namely - they're all involved in huge scandals and they're all falling apart and taking out people's assets along the way, since Crypto isn't regulated.

Celsius sold itself on being a bank without being a "bank" in the negative-sense. Yet if a licensed bank does something shady and goes belly-up, they're insured by the FDIC and you'll still get your money back (up to $250k, at least). When Celsius went belly-up, you lost everything. Your assets were frozen and confiscated.

That's bad enough as it is - but the worst part is that crypto isn't anywhere near as liquid as investors think it is. And the companies that actually facilitate the real transactions are all in trouble for insider trading and basically being shady as shit. If they're not collapsing due to phenomenally inept hedging and investing, they're turning into rug pulls or Ponzi schemes posing as legitimate financial institutions.

It's plain as day that the core foundations of crypto as a speculative investment are systematically falling apart, yet people just don't seem to notice or care. But they will - as long as these pillars keep breaking. Finding out that all the stuff you HODLed is meaningless because you literally can't sell it even if you wanted to? That's terrifying.

If something sounds too good to be true (such as Celsius interest rates) they probably are

All of Crypto, NFTs, Block Chain should be banned from investments by any major countries IMO.

They're not worth dealing with.

No reputable businesses should touch those assets witha 10 km pole.

crypto is absolute insanity

if you're a gambler, toss some money in

Kamen_Rider_Blade posted...

All of Crypto, NFTs, Block Chain should be banned from investments by any major countries IMO.

They're not worth dealing with.

No reputable businesses should touch those assets witha 10 km pole.

The sad part is that the only real solution to preventing crypto from falling apart due to unregulated exploitation is to regulate it and have a government(s) oversight body. But at that point, there'd literally be no reason for crypto to exist anyway, because regular currency is far easier to exchange since it doesn't require blockchain computing.

DarkRoast posted...

The sad part is that the only real solution to preventing crypto from falling apart due to unregulated exploitation is to regulate it and have a government(s) oversight body. But at that point, there'd literally be no reason for crypto to exist anyway, because regular currency is far easier to exchange since it doesn't require blockchain computing.

Crypto was always a hammer looking for a nail. They took a relatively novel technological concept like the blockchain and tried to turn it into more than it really was. The use case was just never there, no matter how badly crypto bros wanted people to believe that if everyone just switched over we would somehow bypass all the world's governments and businesses to become some brand new techboro ruling class.

DarkRoast posted...

The sad part is that the only real solution to preventing crypto from falling apart due to unregulated exploitation is to regulate it and have a government(s) oversight body. But at that point, there'd literally be no reason for crypto to exist anyway, because regular currency is far easier to exchange since it doesn't require blockchain computing.

Regular Currency doesn't have a side effect of sucking the power loads of major small to medium sized countries.

DarkRoast posted...

The sad part is that the only real solution to preventing crypto from falling apart due to unregulated exploitation is to regulate it and have a government(s) oversight body. But at that point, there'd literally be no reason for crypto to exist anyway, because regular currency is far easier to exchange since it doesn't require blockchain computing.

totally disagree, it's not sad. It needs to happen. There can be regulation and also free finance. There has been way too much theft/scams, it needs to be reeled in imo

VigorouslySwish posted...

totally disagree, it's not sad. It needs to happen. There can be regulation and also free finance. There has been way too much theft/scams, it needs to be reeled in imo

There's no such thing as "Free Finance" and there never will be. Unless you do 100% of it yourself with literally no middle men. And it's actually harder to do that with crypto than with standard currency.

Banks are scummy and profit obsessed. But they're also regulated.

But deposits, loans, etc are not free lunches no matter how much Crypto Bros seem to think they can be. And the only difference between Crypto and a traditional financial instutition is the penalty incurred on that institution if they scam you.

DarkRoast posted...

There's no such thing as "Free Finance" and there never will be. Unless you do 100% of it yourself with literally no middle men. And it's actually harder to do that with crypto than with standard currency.

the beauty of crypto is you absolutely can do it 100% yourself

but most in crypto dont do that

VigorouslySwish posted...

the beauty of crypto is you absolutely can do it 100% yourself

but most in crypto dont do that

I can wire money between banks in less than 1 minute. That process is also backed by the governments of nearly every country on Earth.

How long does it take to trade 1 bitcoin using nothing but your computer and no middle men?

DarkRoast posted...

I can wire money between banks in less than 1 minute. That process is also backed by the governments of nearly every country on Earth.

How long does it take to trade 1 bitcoin using nothing but your computer and no middle men?

almost instantaneous, unless the network is frothy

and, yes, thats a problem

one that ethereum is working on fixing

but also it's important to note that just because YOU can do that with a transfer, doesn't mean the rest of the world can