Topic: Billionaire Investor call for crypto regulation - page 2. (Read 248 times)

The main idea of crypto market is decentralisation and no regulations. If it was under control, then what makes it different from fiat money? On crypto market people are completely responsible for their money, so they should always learn the ropes if they want to invest in something.

He shouldn't have chosen algorithmic stablecoin as he hadn't known how they worked. Some of them are not pegged to neither fiat, nor commodities, nor other cryptocurrencies. They work thanks to algorithms and arbitrage. But these mechanisms are new, that is why people don't really trust them, as a result, in case of panic, mechanisms break down and prices of algorithmic stablecoins collapse.

Rug pull on stable coin its freking sad. thats what you got when you looking for big apr, big reward means big risk. Big apr on stable coin doenst mean it couldnt have an inflation, when the coin too much and there is low demand what you expect for.

How in the world a stable coin that has nothing to do with the other coins drops its price, I mean, it has a different perspective and does not depends on some other non stable coins. Looks like this kind of scenario will drop bombs on those who have some doubts regarding it and it pushes them away from investing. That's the only way they can solve this kind of problem where they put some regulation to prevent such things to happen in the future. When you have it all calculated and you speculated that nothing will go wrong in your investment because it's called "stable", now investors should really take their time in which stable coins they want to put their money.

What surprises me is that Bitcoin is regulated and DeFi is not. Is that so? At least they are regulated in terms of paying taxes, I don't know if he is referring to broader regulation.

Regulations are good to help cryptocurrency market has more adoption and cryptocurrency goes to mainstream.

In any society, if you don't have laws, regulations, you will live with risk and no one from government will protect you. From scam project, Ponzi, exchange scam exit, ...

The market will be shocked and weak hands will leave the market. Gamblers will be liquidated. Long time, regulations are good for crypto market. It will be more visible in next several years and next one decade, when we look at where we are now, we will see regulations initiated in 2020 and 2021 are very good support for crypto market.

if he weren't scammed by a defi project he wouldn't be calling this regulation. i have not read anything about Cuban trying to go after the scammer to recover his funds, why?

going after the scammers-criminals i think is a lot easier than regulating crypto. he should know that anyone with a skill can create a token and then list it on a market. the internet is open for everyone just as cryptocurrencies are.

Not new on DeFi community. 

But is sucks when you are invested on Stablecoin then it collapse like hell, Only in DeFi this things will happened since most of the teamm there are anonymous which is very easy for them to rug pull. DeFi market will be in trouble once regulation step in and enforce law to regulate it. We will not see anymore insane APR offer in DeFi once there's a regulation monitoring every financing there.

Mark Cuban, the billionaire investor and owner of the Dallas Mavericks that has begun dabbling in bitcoin and crypto, has called for regulation of burgeoning decentalized finance (DeFi) space.

Cuban issued the call to regulators after he put money into an algorithmic stablecoin that collapsed, telling Bloomberg there "should be regulation to define what a stablecoin is." Stablecoins—a type of cryptocurrency that's pegged to an asset, usually the U.S. dollar—have rocketed in recent years, with the largest stablecoin, tether, now boasting a market capitalization of $62 billion. Meanwhile, DeFi, using cryptocurrency technology to recreate financial products such as loans and insurance without the need for bank, has surged in popularity over the last year, helping the price of ethereum, the blockchain on which most DeFi projects are built, to soar.

DeFi stablecoins, often attempting to hold a peg to fiat currencies by creating arbitrage opportunities and liquidity between coins, are notoriously risky with a myriad of similar projects collapsing recently. "There should be regulation to define what a stable coin is and what collateralization is acceptable," said Cuban.

Cuban hasn't revealed how much he lost on the project, telling Bloomberg that "as a percentage of my crypto portfolio it was small ... but it was enough that I wasn't happy about it." "I got hit like everyone else," Cuban told a fellow DeFi investor via Twitter who suggested Cuban had been "rugged"—when project liquidity drys up and investors are unable to withdraw cash.

Cuban—who revealed in March that 60% of his crypto holdings are in bitcoin, 30% in ethereum, and 10% in other coins—has recently begun experimenting with DeFi, writing this month in a blog post that "banks should be scared" of the largely unregulated and burgoning technology.

https://www.forbes.com/sites/billybambrough/2021/06/18/billionaire-bitcoin-investor-mark-cuban-calls-for-crypto-regulation-after-price-of-radical-new-token-suddenly-crashes-to-zero/?sh=1f3545db2607