zlacker

>>donsup+(OP)
1. HYIP (High Yield Investment Programs) is an old scam. Rebranding it as DeFi doesn't change this.

https://www.investor.gov/protect-your-investments/fraud/type...

2. Algorithmic "stablecoins" don't work, in the same way as perpetuum mobile doesn't work. You think you're inventing a perpetuum mobile, but you're building a Rube Goldberg's machine instead ;)

3. Every algorithmic "stablecoin" can be traced to 2 papers published in 2014: Hayek Money and Robert Sams' Seigniorage Shares

https://twitter.com/nivertech/status/1073248331726553090

>>nivert+Xc
algo stablecoins work fine when they're overcollateralized, like dai.

the industry keeps chasing undercollateralized algo stablecoins because of capital efficiency. jon wu explains to laura shin, worth a watch: https://twitter.com/laurashin/status/1525505300219961344