Good, I hope they dump it suddenly and without warning.
The bitcoin trading market is much thinner than it looks -- wash trading is ubiquitous [0] and BTC's price is systematically propped up by a likely fraudulent stablecoin [1]. High prices benefit the organized crime orgs that transact with it [2], but none of the putatively legitimate web3 projects rely on high valuations to work, in theory. If blockchain solves a real problem, it should do it at BTC = $100 or whatever.
IMO, if the US government floods the market, it could do a lot of damage to organized crime groups, potentially lead to unbacked stablecoin's death spiral (as people attempt to redeem more cash than they actually have on hand), and perhaps lead to a healthier, less mania-prone crypto market.
The bitcoin trading market is much thinner than it looks -- wash trading is ubiquitous [0] and BTC's price is systematically propped up by a likely fraudulent stablecoin [1]. High prices benefit the organized crime orgs that transact with it [2], but none of the putatively legitimate web3 projects rely on high valuations to work, in theory. If blockchain solves a real problem, it should do it at BTC = $100 or whatever.
IMO, if the US government floods the market, it could do a lot of damage to organized crime groups, potentially lead to unbacked stablecoin's death spiral (as people attempt to redeem more cash than they actually have on hand), and perhaps lead to a healthier, less mania-prone crypto market.
[0] https://cepr.org/voxeu/columns/wash-trading-centralised-cryp...
[1] https://www.coindesk.com/markets/2018/06/13/tether-manipulat...
[2] https://dialogo-americas.com/articles/china-sells-fentanyl-f...