The Buying Frenzy For Crypto Companies

in HODL2 months ago

Hey JessHodlers

I recently spoke about the new regulation surrounding banks being able to custody cryptocurrency in the US, well not really crypto, mainly BTC and I'm sure any alt looking to cosy up to the establishment, IE XRP will be looking to get themselves more in-depth into the banking system.

I spoke about the double-edged sword that is banking holding crypto funds, but what I think is going to happen is they're going to get your funds whether you like it or not. Banks appeal to normies, and many cryptocurrency holders are anything but, they hate banks, they want to move away from finance 0.1 and want to hold their own.

Yes, there are those getting into it for the speculation and want more fiat at the end of the trade, and for them, they'll be happy to work with the banks. Those crypto holders tend to be the ones who leave their crypto on exchanges.

At any given time, centralised exchanges are sitting on millions if not billions in crypto. Some may be in cold storage, others may be insured, but we know they're not the safest place to keep your funds.

While banks can provide safety, do we want to use them? Not really, which is why I think we're going to see equity stake sold off by traditional crypto companies or fully being acquired by banks.


Not in it for the tech, in it for the payday

There are plenty of tech companies in crypto who are not in it for the tech, but in it for the payday. If the banks came along tomorrow and bought 10,15 or 100% stake in an exchange at a favourable exit price. Who is going to say no to that? The investors and tech entrepreneurs are going to jump at their chance to get a big pay off, and I don't blame them.

As for the banks, they can then instantly acquire customers and their stake sitting on exchanges. Depending on the bank, some may want to be silent owners; others will promote a bank now backs the exchange.

I think once the first exchange sale goes through you'll see many chomping at the bits to buy up exchanges and secure their avenue into crypto.

DEX's are going to be far more important

If we start to see these acquisitions go through, then the DEX market will need to get its act together. We will need to see better ways of non-KYC P2P fiat on-ramps into crypto and improve the ability of DEX if we are still to be able to trade without the banks being involved.

I don't see banks who custody crypto as a bad thing for normies but for us who have graduated past this and want physical ownership of our crypto, we will need new options.

If you hated centralised exchanges before, you're probably not going to like them going forward once they become fronts for the banks.

Have your say

What do you good people of HIVE think?

So have at it my Jessies! If you don't have something to comment, comment "I am a Jessie."

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Banks are safe in SA? definitely not in Nigeria if you ask me, I think I'll rather just keep my cryptos, almost all my life savings was taken and it was comfortably kept in the bank.

I wouldn't say they are safe, they are also pretty scummy but relative to other places yes I guess they're "safe" I wouldn't trust them for sure, happy that I can hold my own money now

link and band back on the ramp up, i still have some band but less. i took some profits in eth but still have a significant stake

I’ve also been looking at EWT energie it’s been on the rampage lately I bought a few a while back and it’s just keeps running! Not sure if we’ve hit our top but I’m at least x3 up

more nuts stuff

Just now I see fiat Ramps as One of the biggest problem.
So many of My friend dont want to buy crypto because you have to upload passport and give phonenumber.

Jessie says hi from north part of Sweden.

Totally, it would be the same here if the Rand wasn’t so bad and people want to get out of it there’s a motivation to move to something else!

However most people here don’t even have bank accounts so they need to buy from someone who does, it’s a different world here

I think banks mining and selling I got no problem with but banks holding your crypto I’m not a fan of that

If you’re in the north shouldn’t you be mining BTC? I read miners are moving north of Sweden and Norway because it’s cold and theirs an oversupply of electricity so they can mine very cheap there

I’d totally set up a multi and mine BTC,ETH and Monero lol


WELL I am just here at vacation.
I know Some companies tried to mining BTCbut the tax gouverment make it is so difficullt so no more...

LOL how do I get moose coin? Sweden looks very pretty when its not covered in snow, I think I would be able to walk around here during these sunny times, maybe with a jacket on lol

Not a moose. They never go so close to house. It is a raindeer. You know that pull santaclaus sledge.
In this village theese animals goes just outside Windows.

If you like hunting mountain skiing bicycling and down hill - this is the Place to be

Okay Ben Affleck calm down, it's a raindeer, you do know when its Christmas here its balls hot and we go to the beach right? We don't know about no damn Santa and his sleigh

I literally don't do any of that except cycling lol, but I'd like to try hunting and skiing

You call me Ben Affleck
Then you are....Craig Wright.
Come and try skiing and go down-hill cycling instead! I Will show pics later in blogpost.

Christmas without snow...sounds like love without kisses

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