The Recent Collapse in Crypto Debt Structures With Caitlin Long (WiM 177)
The "What is Money?" Show
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I Don't Harp on All Leverage
There are people who tell me that they will borrow against the appreciated bit coin to pay taxes, and that they consider that a legitimate use of their bit coin. But tom, but i don't harp on all leverage. If you're borrowing up to one for one against the commodity itself, that's legitimate leverage. That's funded by real savings. It's not going to mess with the quantity of savings in the economy. And once you get into circulation credit, you start going above one to one leverage,. So you start getting to counterparties that will pothecate collateral and that sort of thing. That's when it starts to have an impact on price. Runming back to
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