Comment by dvt

4 years ago

Yawn, brand new account, take this virtue signaling back to reddit and give me a break: YC can invest in whatever they want to, it's their money. Stablecoin farming may not be sustainable, but it's not a Ponzi scheme, unless you have no idea how a Ponzi actually works.

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dvt

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Jasper_  4 years ago

The thing is that a Stablecoin is either stable, and provides no returns, or it's volatile, and provides 15% returns. You can't have a stablegain that continually goes up in price, that's not stable then!

Stablegains, by their own admission, only invested in stablecoins: https://stablegains.zendesk.com/hc/en-us/articles/4402687671...

> We do not engage in speculation on the prices of volatile cryptocurrencies like Bitcoin or Ether. We only offer deposits in stablecoins whose value is pegged to one dollar.

> Regardless if crypto markets are soaring or crashing, the value of assets under our management remains stable.

This is hypocritical on its face. You can't have any returns if the assets are stable!

Sure, YC can do whatever they want with its money, but we can all be very disappointed and sad that VC funds are engaging with any of this. YC has been slowly been losing their image for years now, along with the other VC firms, and this just cements it for me.

  • dvt  4 years ago

    I completely agree with all of this. Stablecoin farming often uses a "secondary" coin which happens to be volatile (or some form of lending/leverage). The risk is obfuscated, but it's still there. My point was only that calling it a Ponzi is just lazy and wrong.