A major exchange collapsing is bad, but it's not the end of the world...steemCreated with Sketch.

in blog •  2 years ago 

I won't try to convince you that the collapse of a significant cryptocurrency exchange is good news in any way.

It's also not as horrible as the talking heads would have you believe, though...

I wonder why I said it.

Thank you for asking!

The first point is that, in comparison, the shortage isn't that large.

It appears that about $8 billion or so in investor capital could be lost based on the data that have been released so far.

Only cryptocurrency investors are included; equities investors are excluded.

When compared to the over $60 billion lost due to Terra Luna, Celsius, etc., this amount appears to be a bargain.

The crypto market has previously survived the collapse of exchanges, so that's a second factor.

The biggest exchange we could see fell apart.

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