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A comment on New study detects lottery-like behavior in cryptocurrency markets. Parent comment

Re:New study detects lottery-like behavior in cryptocurrency... by rodiger on Thursday April 01, 2021 @04:56PM (#26665903)
There are financial primitives that cannot exist in traditional finance that I'd call pretty novel. For example flash loans allow uncollateralized loans for millions of dollars[0]. Or take KeeperDAO[1] or Dai[2] or any of the other meta protocols generating returns by providing utility. Also the sheer fact that this is all decentralized/identity-less is already a novel aspect.

[0] https://aave.com/flash-loans/

[1] https://medium.com/keeperdao/a-keepers-guide-to-arbitrage-mi...

[2] https://makerdao.com/en/

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Re:New study detects lottery-like behavior in cryptocurrency... by qeternity on Thursday April 01, 2021 @06:48PM (#26667234)
Flash loans are just for trading arbitrage. Like I said, speculation is the only major use for cryptocurrencies.

You just blanket state that DAOs are providing utility. I asked you how these things are doing that.

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Re:New study detects lottery-like behavior in cryptocurrency... by rodiger on Thursday April 01, 2021 @08:14PM (#26667861)
Effective arbitrage is required for efficient markets. Again I'll repeat: the sheer fact that this is all decentralized/identity-less is already a novel aspect.

The specific DAO's I linked to build products that allow for shared arbitrage profits and an autonomous decentralized stablecoin respectively- the utility is found in the effective distributed markets they help optimize.

The very fact that you can trade coins or earn interest on a loan in a decentralized manner is the utility. Composable financial legos are pretty useful.

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