sri lanka's prime minister says the country is officially bankrupt the south asian country
is struggling with an ongoing economic crisis which is only worsening with each passing day
the country defaulted on its debt for the first time in its history as an independent nation
back in may since then its foreign currency reserves have run dry along with the nation's fuel
reserves driving the country deeper into economic despair welcome back everybody to altcoin daily
where you subscribe for daily videos on everything going on in cryptocurrency we keep you informed
news opinion perspective everything crypto the top story of the day world news and
crypto news sri lanka the country is bankrupt this is coming from the prime minister himself
as the country suffers its worst financial crisis in decades leaving millions struggling to buy food
medicine and fuel because sri lanka is bankrupt in sri lanka it's a small country but it's not
so small sri lanka is significant in size and scope sri lanka has a population comparable
to australia or taiwan and a gdp equivalent to that of slovakia or panama this isn't a
tiny nation failing they have no food they have bank runs protesting food scarcity
this is why we need bitcoin this is why we need permissionless systems not controlled by the state
and understand most people think bankruptcy is something that could never happen to them
yet 1.5 million americans a year file for it now imagine this happens to your country and you have
zero control over the events and monetary policy that led to it bitcoin is an insurance policy
against this the big question is how did sri lanka get to this point the biggest question
is how did sri lanka get to this point right and what does it mean to be a bankrupt nation
in terms of getting financial help now from other countries yes it's an astonishing situation and
while we are sitting here in washington uh really watching the ukraine war and focused on
the geopolitics of eastern europe it's very important to pay attention to sri lanka
and to see how these the downstream effects of the ukraine war have provoked crises elsewhere now i
i don't want to reduce this just to an effect of the ukraine war sri lanka's issues are deep and
and go stretch back years there's been a legacy of government mismanagement of
massive overspending of projects that made sri lanka indebted to countries like china
but what we've seen right now is that they are in a situation where they don't not only do they
not have enough money to pay foreign reserves to pay for things like fresh shipments of oil
but they don't have enough money to pay for the debts they already have
so they are essentially bankrupt they are in need of billions of dollars of aid and all the
while uh you're seeing an incredible unraveling of an entire nation uh there's no fuel so people
aren't able to go to their jobs people are schools have been closed uh food food prices have surged
and the government is resorting to desperate measures like asking public sector workers
to grow crops in their backyard or even encouraging them to move overseas so they
can get jobs abroad and send money back home so it's a level of desperation and crisis that
we've really never seen especially in this one country what's happening in sri lanka is happening
because of problems with centralization problems with human greed and stupidity problems with
the few making choices for the many problems with corrupt power and unstable ever-changing monetary
policies the result of currency and property being corrupted and controlled inflation in sri lanka is
over 50 percent per the government metrics meaning inflation in reality is likely well
over 100 percent this is why bitcoin exists i truly hope some people save a little in bitcoin
and can make it through this take a look at what's happening in sri lanka what's happening
in sri lanka is going to be happening in many other places around the world fiat currencies
with enough time always get devalued and inflated away bitcoin can help with this
foreign
here we go
so you hate to see things happen like this but sometimes like a phoenix rising from the ashes
sometimes it's necessary i hope that zero casualties result out of the situation in
sri lanka driving people to a breaking point because of your stupid ass central planning
will cause this hopefully they will try something new like bitcoin in sri lanka is one of
many countries where there have been massive protests for one reason or another but it is
due to people's unhappiness with centralized power specifically their government and when you control
the money you control the people so opt out of the fiat system opt in to bitcoin and then
countries that are doing okay the more first world countries they don't want to lose their power
for instance bank of england wants stricter rules for crypto to avoid systematic risk what you need
to understand about this story is this the bank of england today called for better regulation
of cryptocurrencies noting vulnerabilities in the market in the uk central bank's financial
stability report published tuesday it said that quote crypto asset valuations have fallen sharply
plunging from a peak of nearly 3 trillion last year to that of under 1 trillion today
it said that although this wipeout did not pose risks to financial stability overall
tougher laws are needed to protect the wider financial system in the future so they realize
bitcoin crypto is inevitable and they're trying to get as much control over it as they still can
some people are leaning more into it some people are trying to crack down on it more
either way this isn't going away the genie is out of the bottle now talking about
bitcoin adoption specifically because with everything like this going on in the world
everything like this this is the use case for bitcoin right how does bitcoin
look from a fundamental level the real signal regarding bitcoin adoption every price
drawdown some new market participants leave that were only here for price going up anyway
but every price drawdown there's a higher base of people who gain conviction in bitcoin and
stay more and more people every cycle become bitcoiners join the cryptocurrency industry and
another takeaway for bitcoin as this happens the genie coefficient of bitcoin just keeps getting
better wealth concentration of bitcoin is dropping this proves all the naysayers wrong when they say
a deflationary currency like bitcoin encourages hoarding everyone should try to get point one
three three seven point two eight whatever it is one bitcoin everybody should try and
get your bitcoin hotel stash and hotel until 2030. not financial advice that's what a lot of people
are banking on because most people don't realize that bitcoin and crypto is here to stay in 1995
people were not sure that the internet was here to stay cut to 10 years later they were sure that it
would be part of their everyday lives forever and we're in that transition with bitcoin and
crypto now speaking of crypto let's talk about the next level for some of our favorite blue chip d5
protocols if you're wondering what's the future of defy maybe it's something like this maker dao the
blue chip collateral stable coin in the ethereum ecosystem votes to allow 100 million die which is
their stable coin loan to u.s bank a traditional financial bank the key takeaways are as follows
maker dow community has passed a proposal to integrate a u.s bank in its collateral system
the huntington valley bank has a debt ceiling of 100 million it will be able to borrow the sum
in die depositing collateral into an off chain account five other real world assets have been
integrated to make her dao with more suggestions in discussion on the government board the protocol
recently voted to allocate 500 million and die into bonds so the next level of defy
could be something like what maker dow is doing one 100 million volt by a commercial bank two
500 million allocation to u.s treasuries and bonds three 5 billion psm price sensitivity measurement
for unprecedented community slash voter participation per usual maker's bear market
experiments will set up the rest of defy for a bull it's one way to think about it and then
speaking of the genie being out of the bottle in general for cryptocurrency nfts continue to
take off when it comes to integration on adoption with many of our favorite crypto
protocols like ethereum's l2 polygon reddit has started selling nft avatars on polygon so nft
mania has cooled off since the start of the year but that hasn't stopped reddit from launching its
own limited edition nfts the social network revealed in a thursday blog post that it is
launching a series of collectible avatar nfts the users can set as their profile pictures on reddit
apart from being nfts the new avatars will differ from existing reddit avatars and that they will
only be available for purchase through a new dedicated storefront and will give purchasers
licensing rights to use them both on and off of reddit per the announcement the new nfts
will be hosted on polygon reddit noted that the ethereum compatible blockchain's low fees
and sustainability commitments factored into the decision to choose polygon over other chains
for its new nfts speaking of the genie being out of the bottle i love to peruse non-crypto
whether it's culture whether it's news non-crypto websites to see what they're reporting on crypto
and this is something i like to see nfts generating big revenue for musicians
according to billboard they tweeted this out had an associated article with it amid a bear market
the top 10 music nfts generated more than 1 000 eth in trading volume across primary sales
and secondary markets probably something and this is not only a big win for nfts
not only a big win for musicians but this is a big win for advertising for ethereum
and cryptocurrency how about this nickelodeon and open sea are taking nostalgia to a whole new level
on july 15th 12 hand-drawn one of one rug rats and hey arnold pfps will be up for auction they'll
be part of an exclusive collection only available in open seas so nickelodeon getting into the game
and of course while ethereum is still the place to be with many things including nfts there's
plenty of other options that can still gain major market share cardano nfts are routinely
third or fourth in daily sales volume without any marketing vc money or coinbase ftx binance open c
integration it just shows the power of a committed community that continues to grow organically
if you can't see the inherent value in that i don't know what to say to you my name is aaron
at altcoin daily tell me what you think about everything in the comments below let's continue
this discussion in the comments subscribe to the channel if you're new and i will see you tomorrow