1/ If you're new, here are some must-read resources on bitcoin, ethereum, defi, web 3.0, and the future of crypto.

Tools to join the revolution. 👇

Here’s my thoughts with BTC lending as this cycle heats up. During the previous cycle we saw BTC prices jump from 10,000 to 20,000 in 16 days. This means that if the borrower overcollateralized with an LTV of 50%, their escrow will be liquidated (unless margin is met)...1/

within half a month. Now, what happens if this cycle produces growth that keeps running at double the price action in another 16 days from there? Well, it means those that just met the previous margin calls, now only have 4 days to respond to the next. So what does 2/

this mean for spreads? It means borrowers start to disappear from the market...which also means the spreads in the derivative market don’t get market makers to service the short-side of the trade. For lending/borrowing platforms that are completely overcollateralized, there 3/

shouldn’t be any problems for the depositors, but if lending/borrowing platforms are cutting corners for some of their borrowers (and they aren’t overcollateralized), the borrowers ability to meet margin calls due to counter-party risks in other parts of their portfolio mix ...4/

could cause systematic risk for all participants of the borrowing/lending platform. This is why transparency on borrowing/lending platforms are paramount to long-term trust and growth in the industry. I suspect the risk to lending/borrowing platforms is actually....5/

With Philadelphia now up, the billboard photo thread that teaches those about #Bitcoin as an alternative to our broken financial system is complete

Those in the 12 Federal Reserve Bank cities who see them are directed to the thread below as copied from @BTCvsFED ⬇️

Not long ago, the dollar was backed by gold

This meant you could redeem your dollar for gold & the government had to have enough gold to match the number of dollars they printed

“The Gold Standard” ended in 1971 b/c the US ran low on gold & needed more $ for war & welfare

Without a cap on how much money could be printed, The Federal Reserve (USA’s central bank) was now free to create unlimited quantities of dollars

When the Fed prints money, inflation occurs & prices go up b/c all dollars are worth less

If your earnings don't keep up w/ the rate of inflation the purchasing power of your dollars melts away

Imagine the economy is a pizza & The Fed gives you a slice ($1)

When printing new money, they cut your🍕into more pieces to give out

Yes, you still have a slice ($1) but you’re hungrier b/c that $1 doesn’t go as far

Many Americans hold dollars b/c they can’t afford a home & w/ bills to pay they can’t risk the stock market

Meanwhile, the wealthy move $ into real estate & other assets that better hold value