The Socialization of Losses

3min Snip

00:00

Play full episode

Summary

Transcript

Episode notes

We've collectively and socially made a decision that it's better to not have to deal with the effects of crises, but we've also kind of blown out the discipline side of the equation. And there's a system where losses aren't deeply internalized by the actors that incur them. I feel like myself personally, I'm much more comfortable with that loss being socialized than with bank equity holders getting a bailout right and socializing that loss. Maybe it is a better system if we all have to like think very carefully before we put our money into bank account as to the management and trustworthiness of this particular bank account.

Today’s guest is Brendan Malone. He currently works at Paradigm’s Policy Department. But before that, he focused on crypto policy issues at no other than the Federal Reserve. In this episode, we get deep into answering one, if not the most Bankless questions. What is Money? And what does the answer look like in the Digital Age?

------ ✨ DEBRIEF | Unpacking the episode: https://www.bankless.com/debrief-brendan-malone

------ 🚀 Unlock $1,000+ in Perks with Bankless Citizenship 🚀 https://bankless.cc/GetThePerks

------ 📣 CYFRIN | Smart Contract Audits & Solidity Course https://bankless.cc/cyfrin

------ BANKLESS SPONSOR TOOLS:

🐙KRAKEN | MOST-TRUSTED CRYPTO EXCHANGE https://k.xyz/bankless-pod-q2

🦊METAMASK LEARN | HELPFUL WEB3 RESOURCE https://bankless.cc/MetaMask

⚖️ ARBITRUM | SCALING ETHEREUM https://bankless.cc/Arbitrum

🧠 AMBIRE | SMART CONTRACT WALLET https://bankless.cc/Ambire

🦄UNISWAP | ON-CHAIN MARKETPLACE https://bankless.cc/uniswap

🎮IMMUTABLE | GAMING ECOSYSTEM https://bankless.cc/Immutable

🛞MANTLE | MODULAR LAYER 2 NETWORK https://bankless.cc/Mantle

----- Topics Covered

0:00 Intro 5:40 What is Money? 10:34 The Moneyness Spectrum 16:59 How do Current Forms of Money Rank? 21:03 How Much is a Dollar Worth? 29:16 The Difference between Money and Credit 38:30 Losing Trust in the Dollar 48:29 The Role of a Central Bank 54:14 The Future of Money 1:04:26 Why Now? 1:07:14 New Technology Implications 1:10:40 The Case for Crypto 1:18:55 Closing and Disclaimers

----- Resources:

Brendan Twitter https://twitter.com/brendanpmalone

Read Moneyness In The Digital Age https://policy.paradigm.xyz/writing/moneyness-in-the-digital-age

----- Not financial or tax advice. This channel is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. This video is not tax advice. Talk to your accountant. Do your own research.

Disclosure. From time-to-time I may add links in this newsletter to products I use. I may receive commission if you make a purchase through one of these links. Additionally, the Bankless writers hold crypto assets. See our investment disclosures here: https://www.bankless.com/disclosures