bank runs are solely a feature of trust-based systems, rooted in holders’ distrust in a fin services co

if holders depend on verified data, trust is irrelevant, and bank runs don’t happen

tl;dr system can only be stable if overcollateralized AND liquid AND data-based… i.e. DeFi https://i.imgur.com/IqKix9G.jpg

all of the financial regulation is actually just a patch fix for issues of a trust-based system

centralized institutions = trust-based fin services = should comply w/ same regulation (bc it’s inherently needed)

decentralized institutions = data-based financial services = same reg not needed

Yea but the world is SO levered on credit at this point. That it’s all a house of cards. And the crumbling of that would be devastating for humanity. 

It’s why the can keeps getting kicked down the road.