Ethereum’s price has sort of erased all of winter and is now acting as if nothing happened, with the currency sliding in a straight line if we ignore the winter months.
Ethereum is currently trading at around $700, a price level it grudgingly first reached in December, and then went on to spend pretty much all of the month there, not really caring to move one bit.
Until bitcoin turned on to crash. We now know it did so because the MT Gox trustee is probably a clueless old man who probably sold some half a billion worth of bitcoin through probably market orders.
As ethereum had looked on for so long while bitcoin kept on rising and rising, it thought now it was its chance in an inverse correlation in December.
So going on to test new highs, but then for some reason sentiment turned and they all started sheepishly following bitcoin on the way down.
We say for some reason. Charlie Lee, Litecoin’s founder, sold all his litecoin and found it fit to publicly reveal the fact.
Of course, he publicly shouted it not because he wanted to buy in lower. We’d never say such things because defamation courts are not fun.
Even the mighty Vitalik Buterin was keen to wax lyrical about memes while saying hey, hey, hey. Philosophizing whether a half a trillion market cap was deserved around the same time, or perhaps soon after, he sold some $20 million worth of eth.
The blockchain, you see, provides some added accountability. And although we do not doubt both of them have the utmost best intentions, as does Fred Wilson, who effectively told everyone to sell, we do no doubt either that they had quite some role to play in the changing sentiment for eth when really there appears no reason for it.
There was, of course, reason for sentiment to change in bitcoin, but eth had sat back looking in jealousy for months and months. When its time came…
So it’s now back where it was. Biting its time still because the gravity force of bitcoin seems keen to bind them all. So let’s go to Brazil.
“It’s the laymen, lawyers and old-money guys who are on it now,” Kenzo Tominaga, a hedge fund manager based in Brazil says according to an interesting report by FT. A paper that is finally making it know they actually have reporters.
Apparently crypto is exploding there. In a country that within living memory had very high inflation and of course is mired in corruption allegations, leading their state bank to turn to ethereum.
Allegations of corruption Christine Lagarde is all but too familiar with. Would it not be nice if you could just pay your buddy $400 million of taxpayer’s money, be found guilty in a very public process, and then receive no punishment, not even a tiny little bit of a fine?
It certainly would, which might be why she apparently wants to “fight fire with fire.” By that she means:
“The technology that enables instant global transactions could be used to create registries of standard, verified, customer information along with digital signatures.”
Global surveillance in other words. A registry of who you transact with, how, when, and perhaps even why. But, at least in this space we’ll both have that registry. By both meaning techies, who can set up the same thing, just as much as governments. Therefore we’ll be able to see them, just as much as they can see us.
But enough with these politicians. They are so corrupt, one of them won’t even make it to G20, and yet find it fit to preach us.
It is, of course, because of this hypocrisy, because of this lack of accountability, because of this one rule for some and one for others, that crypto has risen and that the thing itself was found necessary.
The Federal Reserve Bank has never been audited, yet we are to trust they have legally counterfeited as many dollars as they publicly say they have? On what basis such trust? What angel in such position would not print far more and simply not reveal it?
Are we to believe the entire physical money circulation of the United States is the same as the valuation of Apple, at around one trillion?
Who verifies this data? Who can even compile it? Is it all nonsense? Because how do these banks just crash when there was no run on the banks? And why does the FED resist being audited? Nothing to hide, right?
The dogs will bark while the caravan goes on. Because ever so often there comes something which is a checkmate as it does not opine, but only reveals a bit of reality that previously could not be revealed.
What is good, is good. What is self-evident, what is true, is true. And no higher truth has the intellect expressed in the past 50 years than this:
“The past instability of the market economy is the consequence of the exclusion of the most important regulator of the market mechanism, money, from itself being regulated by the market process…
Only competition in a free market can take account of all the circumstances which ought to be taken account of.” – Hayek, in the Denationalization of Money.