if so it would take a long long time to kick in — I’m the kind of person who switches savings accounts from bank to bank to get high rates, and I’m not totally crypto-ignorant, but I still haven’t gotten around to figuring out the stablecoin yield thing
-
This Tweet is unavailable.
-
This Tweet is unavailable.
-
When Bitcoin is up 300% in a year, paying 15% to borrow dollars to buy more BTC doesn’t seem like such a bad idea.
That’s the demand side. On the supply side, the borrowers want to collateralise their loans in crypto. Banks can’t accept crypto as collateral so you go to the people who can, which means exchanges, OTC desks or defi lending protocols who all have much higher “risk free” rates.
-
-
Also gotta be honest, there’s a lot of overlap between “why would someone pay 12% to borrow tether” and “why would someone pay 25% to borrow a highly shorted shitco”
-
Eh, it’s not really short interest, especially in the less overtly fraudulent ones. What I want to understand is why Alameda or Cumberland ever needed to pay 12% to borrow USDC when they had (presumably) cheaper funding sources available.
End of conversation
New conversation -
Loading seems to be taking a while.
Twitter may be over capacity or experiencing a momentary hiccup. Try again or visit Twitter Status for more information.