> Not sure what that all entails.

Those same network effects that propelled web3 into stratosphere are going to bring it down back to earth. Not necessarily vanquish it, but put web3 in its place, so to speak. A scenario I'd imagine where DEXes / DeFi will endure and possibly thrive, but DEXes / DeFis don't have the kind of moats to justify astronomical valuations... which is both a good and a bad thing, depending on which side of the coin you are on.

Tech VCs have already circled back to AI, so doubt private companies in need of more money can stay afloat for longer, if they weren't being careful with volatile crypto assets.

Always take financial decisions based on anons in random discords.

To be fair, a lot of people probably got into this situation on an equivalent recommendation.

I agree with you, but context definitely matters here... With all the dominoes starting to fall, there is nothing wrong with moving funds out of exchanges or to a temp address. This seems equivalent to going cash in the equity markets as a hedge. I would go even further and claim that it would be foolhardy to not take this random Discord advice if they haven't already figured it out on their own lol.

It means there's no such thing as a free lunch (aka anything giving you "guaranteed" magically higher-than-traditional-banks interest rates is probably shit).

Even Coinbase?

Coinbase appears now to be relatively boring, highly regulated, and compliant with US laws.

I think they'll be fine.

Every coin on every market is being driven by the same collective mania. Just Coinbase is more ethical or Eth is ideologically pure doesn't mean their value isn't determined by the same rampant speculation and outright fraud that dominates the entire space. You may not see an outright bankruptcy but prices and volumes can plummet nonetheless.

They will be fine _modulo people's interest in crypto_. The way I think about it is that their business model is taking fees off of every transactions, so as the interest tapers off so will their earnings and valuation.

On the path to bankruptcy the boring way, not being able to turn a profit

Perhaps Coinbase will set a record by being the first crypto exchange that folded the proper, legal way! /s

You seem to be confusing "is a good business to invest in" into the discussion of "is reasonably safe to use".

Would you say they are A-OK?

So was FTX US.

Right but Coinbase doesn't have a renegade holding company based in the Caribbean.

What you said is all true and what everyone thoight until sometime today when they said they are cutting off withdrawals and part of the bankruptcy too.

I feel perfectly fine having my crypto stored on Coinbase’s end. As far as I know their business model makes perfect sense and they don’t take the weirdly big risks all of these falling dominoes have.

Also, if Coinbase goes bankrupt and takes everyone’s crypto with them I feel everything will crash to essentially 0.

A week ago someone could have said that about FTX. Loaning customer assets was explicitly disallowed in their TOS, and was not something I had even heard rumors they were doing (though I'm not that up on crypto rumors).

> their business model makes perfect sense

Well they can't make money because all the other exchanges offer better fees/lower spreads since they're loaning customer money out. They'll never be big enough to actually makea. profit while there are shady exchanges offering a better product(until it collapses).

There aren't many compliant exchanges operating in the US, though; Coinbase seriously even raised their fees a couple years ago because they thought they could do so, even while other exchanges are trying to lower them: they aren't merely competing on fees.

Cryptocurrencies are not everything.