Quote from: georgiades on September 04, 2020, 06:02:08 PM

Quote from: Nienhaus on September 04, 2020, 05:24:49 PM

Quote from: Asamu.john on September 01, 2020, 01:59:58 PM

Quote from: PSULLWALERS on September 01, 2020, 01:06:11 PM

The upside could be life-changing, if sized appropriately, the downside could be the equivalent to a bad day in the markets. Couple that with the fact that this hedge is both uncorrelated to nearly everything else, and at the same time it lacks the term risk of most hedges, bitcoin doesnt decay like options, or credit derivatives.

The second most common narrative is, digital assets as a form of currency or medium of exchange. Equally as important as the store of value narrative.

Even banks, which people often compare crypto to, have some level of risk (aside from hidden fees, lack of privacy, and limited control over your money).

If something were to prompt lenders to withdraw all their crypto from Compound at once, this would be a problem.

Crypto lending is essentially for people who are bullish on the future of cryptocurrencies and understand that they may end up with crypto returns rather than fiat in the case of a default. Lenders understand that the markets are volatile and it may take some time to recover the fiat amount lent out.