Anyone who thinks extreme rehypothecation is just a centralized crypto company problem needs to have a look at mortgage-backed securities and CDOs in general.

https://www.ccn.com/rehypothecation-more-about-the-wall-street-practice-that-could-ruin-bitcoin/
There were already laws around this, but it's still being done everywhere in investment banking.

Anyone who thinks extreme rehypothecation is just a centralized crypto company problem needs to have a look at mortgage-backed securities and CDOs in general.

1 thought on “Anyone who thinks extreme rehypothecation is just a centralized crypto company problem needs to have a look at mortgage-backed securities and CDOs in general.”

  1. just google how much deriatives exist out there, in stocks and futures, they dwarf any ‘real’ assets in the world. and everything was used to boost collateral value to take out more loans and gamble even more! thats leverage upon leverage, and bound to unwind one day in a clusterfuck of unprecedented dimensions..

    crypto was just the next asset class to abuse,
    all these exchanges are swimming naked.

    thats why we need to take ownership of both our crypto assets in our own wallets and stocks out of dtcc/brokers (and into transfer agents) to stop giving the system ammo for endless rehypothecation (which also hurts price discovery).

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