COINBASE for Crypto has come

[vimothy]

but it doesnt prevent it

 

[vimothy]

your bank requires collateral to extend your mortgage, but if you buy a home, it will grant the mortgage

 

[Clinamenic]

Okay, and thats why I take solace in Nexo only issuing overcollateralized loans, to ostensibly help balance the risks involved in relying on Tether as much as it does. Because it does seem like, if Nexo was somehow offering uncollateralized loans, and was issuing these loans with assets borrowed by Tether and assets provided by depositors, the risk profile would be higher as far as the depositor is concerned.

 

[vimothy]

i wouldn't worry about your exposure to tether personally. its completely intertwined with crypto. if there goes down, then crypto will take a massive hit and that will affect you irrespective of your direct connections

 

[vimothy]

not investment advice, obviously!

 

[vimothy]

but if youre worried then you should take some of your portfolio out of crypto

 

[vimothy]

only you can decide ultimately what you think is a good bet

 

[Clinamenic]

but if youre worried then you should take some of your portfolio out of crypto

Ultimately I'm not that worried, because of how long term my strategy is. I was managing a crypto portfolio for a friend of my dad, and we decided he should move out of crypto because of how technical and volatile it was, given that his investment strategy is much shorter term than mine.

 

[vimothy]

personally I think terher plays a useful role and the need for for something similar isnt going away

 

[Clinamenic]

personally I think terher plays a useful role and the need for for something similar isnt going away

Yeah as far as I understand, I agree. I'm just hoping that the operations of major stablecoin issuers can become more clued in and compliant with monetary policy.

 

[Clinamenic]

But re: Nexo I've been using them for a year, without any issue to speak of, and I still think it's a good investment. If I wasn't already earning interest on their token, I'd be inclined to keep buying more.

 

[vimothy]

if it's working out for you, then why not

 

[Clinamenic]

Its interesting to compare Nexo with a similar model, Celsius, which I also mentioned, and their different approaches to compliance in the US. Nexo never offered an "earn in NEXO" option for US residents, because then the NEXO token would presumably qualify as an unregistered security, whereas Celsius did offer an "earn in CEL" option for US residents, but has since made the option exclusive to accredited investors.

 

[vimothy]

that is interesting

 

[vimothy]

earn in nexo means what?

 

[luka]

This is my favourite thread now

 

[vimothy]

I like your new avatar luka

 

[vimothy]

it's not as good as mine ofc

 

[vimothy]

we're just ironing out all of the wrinkles in the new crypto economy, dont mind us

 

[Clinamenic]

earn in nexo means what?

Its an option Nexo has for residents in certain non-US jurisdictions, whereby they can choose to earn interest in the form of NEXO, on any asset that allows for interest yield. That is, they can deposit BTC, and choose between earning 5% APY in the form of BTC, or 7% APY in the form of NEXO.

For Celsius, I think they actually offered lower rates for "earn in CEL". On Celsius I'm currently earning 9% on MATIC, paid out in MATIC, but the earn in CEL option would likely be half that. I don't know off the top of my head.