thomas leverett weblog

crypto reserve

Lately I've been watching the stock market very closely, and also the crypto market. In fact it started with the crypto market. I was wondering, what does a market in imaginary money have to do with anything?

Resistance to the national crypto reserve is interesting. My instinct is to say, the reason they want a big pile of crypto is so they can manipulate the market. It's a serious, even gigantic, version of the rug pull. You get everyone excited and buying in, then you get out quietly while it's at its highest, then when it comes down inevitably you're not around to suffer. The government is, but who cares about the taxpayers? Let the government buy all this play money - solano, ether, etc., whatever, and we'll have a big old tea party.

I think the serious crypto traders are beginning to really resent the way events tend to make crypto look like it's just a big techno-bro scam and basically we are widening the pool of victims because the taxpayers can always take the hit and half the time not even know it. But this time taxpayers are saying, hey wait a minute, you're turning our money into play money and doing what, letting it just sit there?

With the oil reserve, there are pretty well-established reasons to have a reserve. We bomb Saudi Arabia, or they bomb us, or Israel bombs both of us, we'd better have some oil sitting around or life as we know it will just stop. I don't think you can say that for crypto. The world is not relying on it to get to work in the morning.

Also, because it's entirely online, it's entirely accessible. That means that somebody with skills can get at it and swipe it at any given moment. This in fact just happened to what, about fifteen billion, in Abu Dhabi or someplace? By the North Koreans? And we never even found it, or tracked it down (?????). Does anyone care? Is there a geographical element at all? Will North Koreans actually get some food, as a result of this little heist?

Once we have a reserve, we have a target. Anyone with skills can get at it. We also need a regulatory agency because hey, certain people are going to be doing rug pulls like, constantly. But we're not into regulation right so now the government is the number one rug-pull, crypto-bro, snake-oil salesman. Anyone want to buy a $Trump coin?

Labels: crypto

posted by tom @ 6:31 AM