Cryptocurrencies

[james22]

44 minutes ago, Sweet said:

The community is eating its own thesis.

 

Not even wrong.

[TwoCitiesCapital]

15 hours ago, Spekulatius said:

If they are smart they developed a digital blockchain based USD or treasuries with functionally like the ability taxes, earn interest. Why hop on Bitcoin train if you can issue your own?

 

So a CBDC? There are plenty of reasons to do this if you're a government that needs to control its citizens - there are plenty of reasons to avoid its use as a citizen. Is my understanding that the executive order effectively prohibits this as well. 

 

50 minutes ago, Sweet said:

It’s kind of funny how Bitcoin, the tool used to exchange money without a bank, is now being cheered because banks can take it.  The community is eating its own thesis.

There are different functions and use cases to BTC. The ability to spend/send without intermediaries is but one of them. Another is a store of value asset. For banks that are forced to buy diminishing paper by regulators, it makes sense that they might want some sort of hard-asset/long-term store of value/inflation hedge in the portfolio.

 

Just consider, we only had ~18 months of elevated inflation and watched most of Bank of America's tangible equity disappear. 

 

This really isn't anything separate from the additional adoption/institutional adoption thesis - its just now banks can be a part of that. 

Edited 6 hours ago by TwoCitiesCapital

[Fly]

46 minutes ago, TwoCitiesCapital said:

 

So a CBDC? There are plenty of reasons to do this if you're a government that needs to control its citizens - there are plenty of reasons to avoid its use as a citizen. Is my understanding that the executive order effectively prohibits this as well. 

 

 

Are stablecoins that different from CBDCs in the eyes of the US govt? Yes, they dont have direct control but can call up Tether and freeze accounts at will.