🪙 Crypto fails its bank-run test — liquidity is all correlated

“I think the real question is, in the last couple of years, have we really seen a change in Bitcoin being used for transactions or for commerce in any meaningful way? I think the answer is still likely not.”

“So I think it's been a very big year, and I think that psychologically, it's proven a lot of folks wrong, and it's a setup for something really constructive.”

“With this Ripple ruling, I think this becomes a boon for people to say, well, the scarcity of Bitcoin and Bitcoin's stability”

“if Bitcoin or crypto assets in general were truly a legitimate off ramp and salvation from US dollar hegemony and all of this stuff, why isn't Bitcoin at least at $35,000 a coin right now? It's barely above $28,000. It really hasn't moved that much.”

“We have a real problem if Bitcoin is the exit ramp for an inflationary crisis because it's not accessible enough. It's not easily transactable.”

“Do I think that we're going to have a million dollar Bitcoin in 90 days? I personally find that very unlikely, but you can't say yet.”

“So he's betting $2 million in total on Bitcoin hitting $1 million by June 17th, which there's probably no chance of that happening. A very tiny chance.”

“this is the reason for that, Chamath, is just that what we've seen is that liquidity is all correlated. So when people are panicking about the state of their finances and worried about getting access to their cash, the first thing they dump is crypto because it is very liquid.”

“Nothing can revive the crypto market as we're seeing today. Even in a run on the bank, which is exactly what everybody was afraid of in a Bitcoin world, that thing is down 10%.”