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@cryptadamist

Billions seem small compared to US revenue, but then someone mentioned the 'moral hazard' of doing this.
If we bail out crypto once, it will green light new excesses. If we bail it out many times, it will be like legalizing fraud, and the amount of money lost will have no upper limit.

@Phosphenes senator lummis's (already drafted) legislation proposes to spend *at least* $100 billion, probably significantly more because everyone will front run the trade. so let's say it's $150 billion.

most of the US budget is social security / medicaid / etc. $150 billion is almost 10% of the entire discretionary budget of $1.7 trillion. or almost a quarter of the defense budget.

now who knows if they will go with the lummis proposal but i would not be surprised. remember trump himself and all the members of the government could legally front run the trade and personally make basically infinite money by doing this.

@cryptadamist

Wow it's a lot more billions than I thought.

Yes insider trading is almost a meaningless distinction when they own the government that creates major financial events.

I realize corruption has been going on a long time, but this feels like a phase change. Like we're about to enter a runaway feedback loop where things happen very quickly. 'Global economic crash' seems on the table.

I don't believe even the people causing it know where it will go.

@Phosphenes also there are no laws against insider trading crypto. in fact federal officials don't even have to report their crypto holdings at all (and most don't). there were theoretically some rules around insider trading that were broadly applicable but when the govt tried to enforce them, well that's when the broligarchs got behind trump.

the #1 thing on the broligarchs' agenda is getting rid of them.

yesterday: https://www.reuters.com/world/us/trumps-new-sec-leadership-poised-kick-start-crypto-overhaul-sources-say-2025-01-15/

see also: https://cryptadamus.substack.com/p/of-tech-bros-and-trumpers

@cryptadamist

When crypto is free of government regulation, they'll turn down those government bailouts right? Hahaha.