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International Business Times
International Business Times
Business

Crypto As Junk Equity: A Mental Model

You've undoubtedly heard someone say Crypto is Junk. They probably didn't know the Junk financing market is worth trillions of dollars.

The Crypto world's hatred of financial services is palpable. Call an Aave contributor a banker, and watch the color drain out of their face faster than Sam Bankman-Fried exiting a DeFi bet in November 2021, and understandably so. Crypto was undoubtedly the sexiest discipline of 2021 but risks becoming notorious in light of the ongoing cascade of bankruptcies and failures reminiscent of the 2008 financial crisis. My senior MD once well summarized the burden of notoriety at Goldman:

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