Share this page!

Lark Davis Profile picture
Twitter logo
27 Jul, 10 tweets, 3 min read
Regulators are hitting #crypto hard right now! Here's what is happening and what you need to know!

thread
Both Binance and FTX have reduced their leverage max from 125 and 100X to just 20X.

coindesk.com/binance-starts…
100X leverage is rocket fuel mixed with vodka for traders. Most professional traders go nowhere near 100X. It is a product for retail traders and gamblers.

That being said leverage is a useful tool, and reducing harm by reducing leverage is going to be a good thing.
France a few days ago made a call for an EU wide regulatory body for crypto.

Like all things regulation it could be good if done right, crappy if done bad.

cointelegraph.com/news/french-go…
The big story rocking defi land is that Uniswap's front end, not the protocol, has delisted synthetic tokens and stock tokens. This follows Binance delisting stock tokens last week. Message is very clear, stay away from securities.

cointelegraph.com/news/uniswap-d…
Lender Blockfi has been hit with cease and desist orders in 4 states. Regulators are claiming that their product is a security. Seems like a stretch from regulators, but everyone is getting hit with the hammer right now, and those who haven't will be!

reuters.com/legal/transact…
And of course, regulators never seem to forget about Tether, with new fraud allegations and a criminal probe under way. reuters.com/business/finan…
Which leads to the biggest part of regulatory news. The increasing call for stablecoin regulation. Bitcoin, Ethereum, etc are catching the attention of regulators, but the ability to have dollars circumvent banks is def worrying regulators.

marketwatch.com/story/regulato…
So should you be worried?

IMO NO

Lower leverage is good
EU body is neutral for now
Uniswap story not a big deal since the protocol still trades synths, just not the front end
Blockfi will be fine and sort it out
Stablecoins like USDC will dominate due to compliance
Regulations are a "scary" thing because we all know how dumb politicians can be, but there are also lots of smart people in high places on the side of crypto. The right regulations can actually help the industry, the trick is getting it right!

• • •

Missing some Tweet in this thread? You can try to force a refresh
　

Keep Current with Lark Davis

Lark Davis Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @TheCryptoLark

Lark Davis Profile picture
29 Jul
#ethereum is just getting started!

The use cases for this asset are only just beginning, and the future is going to be insane!

Thread
In 2017 the big use case for Ethereum was fund raising. ICO mania was rather short lived, but established a major use case for ETH.

Many said it was a 1 trick pony, but ETH quickly proved the haters wrong.

Since 2018 we have seen the following
- The rise of defi, with an explosion of new apps in 2020
- NFTs were born years ago but remained niche until early 2021 when they exploded
- stablecoins have grown immensely in importance, 10X growth in a year
- Gaming has been exploding recently, it will be much bigger!
Read 13 tweets
Lark Davis Profile picture
23 Jul
#ethereum will be under going the so called "Triple Halving" as part of the ETH 2.0 upgrade. This is a highly significant economic event for the asset which has serious implications for the price of ETH in the coming years

Thread
First let's understand how much Ethereum is mined every day right now.

Daily block rewards paid out to miners are currently around 12,800 ETH a day

etherscan.io/chart/ethersup…
This means that every day there is 25.6 million dollars a day worth of sell pressure for Ethereum! And because we are in a proof of work system miners are constantly selling, dumping on the market. Why? Because miners run a cash business. We are in a mine and dump economy for ETH
Read 10 tweets
Lark Davis Profile picture
22 Jul
An incredible financial shift is taking place before our eyes with institutional money steadily flowing into the market.

If you zoom out and actually understand what is coming then you will know this decade will be insane for #crypto #bitcoin #ethereum

thread
A recent survey by Fidelity shows that 90% of institutions plan to have exposure to crypto by 2026. That is INSANE.

decrypt.co/76380/vast-maj…
"institutions" represents a very broad group.
Here's a break down of money by group (non exhaustive list)
Hedge Funds 4 trillion
Sovereign Wealth Funds 5 trillion
Central Banks 9 trillion
Asset Managers 34 trillion

Even a fraction of this money entering crypto is HUGE!!!
Read 13 tweets
Lark Davis Profile picture
20 Jul
Is $100,000 #bitcoin still possible in 2021?

A thread 👇
First let me say that it doesn't really matter when it happens. 6 digit BTC will come, only question is when. But end of year is a fun idea so let's dig in.
Is there precedent for an asset having a massive run up, then a long brutal corrective period followed by a spectacular blow off top later that year? Yes, of course.

Ethereum did almost excactly that in 2017, ended the year 237% higher than the "top"

Read 12 tweets
Lark Davis Profile picture
16 Jul
As I frequently mention I invest beyond the world of #crypto and #bitcoin, crazy I know...

Anyway here are my top #stocks in my portfolio right now.
1 - My biggest stock holding is Brookfield Property Partners. They run hundreds of commercial and retail properties around the globe. Dividend is 5.19%. This is my big property play in a portfolio otherwise heavy in tech and renewables.
2 - iShares Gold Strategy ETF is a fund that is exposed to a variety of gold products. Dividend is 8.06%. I like gold and dividends. Easy.
Read 8 tweets
Lark Davis Profile picture
14 Jul
Here are 7 reasons that I remain mega bullish on #ethereum, why I continue to cost average in, why I continue to buy oversold dips, and why I will hold my ETH until the multi trillion market valuation comes... at which point I will be staking and making sweet passive income!
1 Ethereum ETFs are here, and will only become more prevalent. Canada and now Brazil have approved ETH ETFs. There are multiple ETH ETF applications sitting with the SEC in the USA. Approval of which will unleash a tsunami of money onto ETH. markets.businessinsider.com/news/stocks/sk…
2 Ethereum is the king of innovation in crypto, with the biggest dev lead. The release of multiple layer two implementations really underlines this. Uniswap, the biggest DEX on ETH, has just announced their integration of Optimism for scaling. This kills the ETH killers.
Read 10 tweets

Did Thread Reader help you today?

Support us! We are indie developers!

This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!

Like this author's thread?

Get emails when @TheCryptoLark has new unrolls!

Check out other threads from @TheCryptoLark!

Read all threads by @TheCryptoLark

:(