Does crypto need regulation - state of the market

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Decred and the State of the market is brought to you by Exitus and PhoenixGreen.

In this discussion, we’ll look at the state of the crypto market and why the trajectory we’re currently on doesn’t fulfil the original cypherpunk expectations.

Livestream agenda:

Bybit exploited for $1.4Bn whilst moving funds from a cold wallet to a warm wallet. Interesting points, this was a multisig wallet, initiation process used a web-platform called "safe" and the transactions were signed with a "ledger" hardware wallet. The transaction signed for was smaller than the amount drained from the account.

This bings up several points:

• websites wallets and services add an extra layer of insecurity
• What's the point in multisig wallet if they can't prevent an attack of this nature?
• Are hardware wallets worth the money people pay for them, if their strongest use-case, signing transactions, can be compromised?
• Why are the majority of crypto users still use custodial products? These custodial wallets are now a massive target.
• This also highlights the need for P2P exchanges

The meme coin super cycle is the ultimate Ponzi scheme — Trump, Melania and Libra coins. Billions of coins dumped on a market that seems unwilling to learn the lessons from the past.

Why non-cypherpunks are calling for crypto regulation. L1's with 21m max supply and decentralised consensus have a pretty hardcore set of protocol rules. There will always be winners and losers, but Cypherpunks look to build products where the rules and opportunities are the same for all participants and the barriers to entry are minimal.

Key aspects to these rules include:

• core infrastructure has to be run by the participants, sometimes referred to as P2P
• No KYC, rent seekers or middle men. Nothing should stand in the way of participation.
• No front running. No one should be able to insert themselves in the middle of a transaction or trade.
• Coins are distributed to those that run the network
• Coins are mined over a long period of time with a gradual deflation
• The low supply means that over time and dependent on development and network effects, the coin will naturally maintain its value
• Products like Bison Wallet that remove all the rent seekers and middle men help the space find price discovery and build a free market.

Bison wallet $1 million volume per month miles stone

New release of Bison Relay — audio notes, larger posts 10BM

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