The Real Story Of The Repo Market Meltdown, And What It Means For Bitcoin

Last week the financial system ran out of cash. It was a modern version of a bank run, and it’s not over yet. Stepping back, it reveals two big things about financial markets: first, US Treasuries are not truly “risk-free” assets, as most consider them to be, and second, big banks are significantly undercapitalized. The […]

Facebook’s Cryptocurrency, Libra: Senate Banking Testimony

The Senate Banking Committee staff reached out last week regarding Facebook’s Libra project, pursuant to my recent Forbes.com article. During a conference call, they indicated interest in receiving formal written testimony from me. Here it is. A pdf version, with citations, is available here.

What Facebook’s Cryptocurrency Means: 6 Predictions

What does Facebook’s new cryptocurrency mean? According to news reports, Facebook will shortly launch Libra, a global cryptocurrency available to users of its suite of platforms (including Messenger and WhatsApp). Presumably any merchant with an account on these platforms could transact in the cryptocurrency with customers who also have accounts—for anything, such as online purchases, and physical-world […]

Naked Shorting In The Uber IPO: It Couldn’t Happen On A Blockchain

A curious thing happened during Uber’s troubled initial public offering last week: naked short selling of UBER shares by the banks involved in placing Uber’s IPO, according to several sources who confirmed this to CNBC. Normally, naked short selling is illegal. But it was legal in this case, and it gave the banks a chance to profit–as investors […]