This is not looking good for Crypto. Bitcoin is around 24K USD today after a ~10% fall. Other major crypto are following or likely to follow .. Terra Luna fiasco was just the trailer .. The whole movie is going to be more horrifying ..
Volatility isn't a virtue for a currency. It's fine for speculative financial vehicles that involve cryptography in some way, though. That vehicle might be driving to $0, though.
This crash has the sparkle of DeFi, which makes it more toxic. With the amount of leverage we're seeing peek it's head up, and the size of these yield farming ponzis, the fallout could finally breach the barrier into real-world finance.
I hope this is not a revealing comment on who you are, because I read that as "you should hope to speculate on some asset to make money off of other people simply because they were wrong"
I'd much rather see a stabilized crypto that could act as an amazing tool for people in poor countries to lift themselves out of poverty than I would see it be a vehicle to take me from top 1% wealth in the world to a higher tier of top 1% wealth in the world.
> I hope this is not a revealing comment on who you are
Get off your high horse. Literally the entire stock market is based on trying guess better than other people and make money off of other people's poor decisions.
I'm not a fan of crypto, but having a stable currency that the local government can't inflate/manipulate for their own gain would go a long way in many developing countries.
Think about it this way, how much trade would the US have if our currency changed every 10-20 years and all of our old debt was effectively thrown out? How would people save to build a business? How secure would they feel investing in their own future?
Stable, to some degree, in all of those respects, since they are interdependent. Being stable with respect to any of the above indicates a degree of stability with respect to the rest. You can't be stable against gold without a degree of stability against USD, as USD/Gold is pretty stable, and arbitrage would close the gap. Likewise with local prices and income.
To be fair, it was fairly stable until about 2006. However the whole point of "being stable" is also to be stable in times of external stress. USD/Gold fails that one quite spectacularly.
> see a stabilized crypto that could act as an amazing tool for people in poor countries to lift themselves out of poverty
Would you mind explaining to me, or linking to some resource you find convincing, how crypto would succeed in this goal? (or even which organisation or coin has this as a goal)
Do these line up with major markets downtowns? Fwiw, all major markets are down like 3% (so far) today. Crypto behaves more like a stock and typically when there are market downturns the more volatile stocks are impacted much more.
The irony of course being that for a while the pitch behind some crypto assets (at least Bitcoin) was that it was a hedge against inflation (which I would argue is what is roiling the traditional market now) and not correlated to overall stock market performance
