Caitlin Long

Yeah, obviously not your keys, not your coins, right?

We've learned, a lot of people have learned a lesson, including even yesterday, right?

Where some of the lenders, you know, if the lenders get overextended, turns out they may not be solvent and you may not get your money back.

And we've learned, we, the collective Bitcoin and crypto industry have learned some painful lessons with the bankruptcies of not just the lenders, but also trust companies.

that you thought were just holding onto your assets and they were outside of their estate, but it turns out big haircuts, right?

I think the haircut on the custody piece of the BlockFi, or was it Celsius?

I think it was Celsius, was 21 cents, right?

These are assets under custody that you think

are outside of the estate, but in a Chapter 11 bankruptcy, guess what?

Because of preferences and the like, the cram down that can happen means haircut on assets under custody.

And that is also happening in prime trust.

I don't know what the actual haircut is going to be, but it's probably in that zip code, 20 cents or so.

So a lot of folks are starting to

learn or relearn lessons from TradFi about counterparty credit risk in custodians and not your keys, not your coins.

We're just back to the same.

I mean, Bitcoin is digital gold, right?

Lynn Alden obviously has done a really great job explaining the history of why we have all these layers of complexity and layers of intermediaries in the financial system.

It's because we were dealing with a very fundamental problem, which that when money was gold, it was very difficult to move the money leg.

The data leg of a transaction could move at the speed of light ever since we created the

the transatlantic telegraph in the mid-1800s, but the money leg still had to move at the speed of matter.