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RE: Bringing Derivatives based trading to Cryptocurrency - IDAP

in #blockchain6 years ago

I fear that derivative trading will infect crypto with all the problems that derivatives have in the stock market. For example, if exchanges allow investors to back puts with naked shorts; then Wall Street could suppress and manipulate currencies by flooding the market with fake crypto.

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Even if wall street comes in with fake crypto in order to manipulate the market, I think people already understand the effects of pump and dump coins on their portfolio and will stir clear of such cryptos. It is easier when derivatives is introduced in crypto for example the ability to hedge funds will be made possible and every trader will be able to utilize the volatile market for their own good.

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