COINBASE for Crypto has come

[vimothy]

scams all the way down

 

[Clinamenic]

lol, classic crypto

Oh no, this applies to traditional finance here too. Celsius just inherited this standardized practice.

 

[vimothy]

Yeah as I understand, that would be a good long-term strategy. Ongoing exposure to the growth of the market, without trying to keep outperforming it via trading.

that's the idea

 

[Clinamenic]

from Wiki

In the United States, to be considered an accredited investor, one must have a net worth of at least $1,000,000, excluding the value of one's primary residence, or have income at least $200,000 each year for the last two years (or $300,000 combined income if married) and have the expectation to make the same amount this year.

 

[vimothy]

Oh no, this applies to traditional finance here too. Celsius just inherited this standardized practice.

no doubt. trad finance is not exactly short of this stuff

 

[Clinamenic]

It's a stupidly criminal policy, but at least there seem to be ways to qualify that don't require you to already be rich, e.g. the series 65 exam.

 

[Clinamenic]

It's actually funny how transparently unfair it is.

 

[vimothy]

but crypto seems to have reproduced exactly everything that's bad about trad fin and added some more as well

 

[Clinamenic]

but crypto seems to have reproduced exactly everything that's bad about trad fin and added some more as well

Not quite, as the barrier to entry for, say, earning interest is significantly lower.

Really the only gatekeeping so far is that the big exchanges require you to have a bank account to start trading. But anyone can make a decentralized wallet account for free, and accept crypto, and earn interest in DeFi. It's just that DeFi is more dangerous.

 

[Clinamenic]

I expect the gatekeeping to increase, as the big VC firms buy out the governance power in DeFi. But I also expect it to reach an equilibrium thats more fair than the current financial status quo - which really isn't saying much.

 

[Clinamenic]

Not quite, as the barrier to entry for, say, earning interest is significantly lower.

Really the only gatekeeping so far is that the big exchanges require you to have a bank account to start trading. But anyone can make a decentralized wallet account for free, and accept crypto, and earn interest in DeFi. It's just that DeFi is more dangerous.

I wouldn't be earning interest if not for crypto.

 

[vimothy]

nothing is preventing you from investing in non crypto assets

 

[vimothy]

Not quite, as the barrier to entry for, say, earning interest is significantly lower.

Really the only gatekeeping so far is that the big exchanges require you to have a bank account to start trading. But anyone can make a decentralized wallet account for free, and accept crypto, and earn interest in DeFi. It's just that DeFi is more dangerous.

really? vs stocks?

 

[vimothy]

looks to me like the barrier is lower for stocks

 

[Clinamenic]

looks to me like the barrier is lower for stocks

Yeah I wouldn't know really, as I don't have experience in finance out of crypto (aside from a Charles Schwab account that my family set up), but I'm actually not convinced that stocks have a higher barrier to entry, across the board.

 

[vimothy]

you can download an app in seconds and open an account

 

[Clinamenic]

And I'm also not familiar with how retail investing platforms operate, in terms of custody and profit models and whatnot

 

[Clinamenic]

you can download an app in seconds and open an account

Yeah I made one for Robinhood, but I never got to using it.

 

[vimothy]

its certainly very easy

 

[Clinamenic]

you can download an app in seconds and open an account

But here the same barrier exists that I pointed out for centralized crypto exchanges, namely that you need a bank account. That said, as far as I know there could be options to get involved in retail investing with just a store-bought debit card or something.