Repo Market Meltdown Shows Bitcoin’s ‘Systemic’ Stability: Caitlin Long

Wyoming Blockchain Coalition president Caitlin Long has responded to the recent unrest in the money markets by analyzing the systemic fragility of the traditional financial sector as compared with Bitcoin (BTC).

In a Medium blog post published on Sept. 25, Long made the argument that “at a systemic level, the traditional financial system is as fragile as Bitcoin is antifragile.”

Damage “control”

Writing in the wake of last week’s weakness in the repo markets — which prompted the Federal Reserve to temporarily inject $75 billion in cash to keep rates within its target range — Long argued that the incident represented “a modern version of a bank run.” She continued: 

“And it’s not over yet. Stepping back, it reveals two big things about financial markets: first, US Treasuries are not truly ‘risk-free’ assets […]  and second, big banks are significantly undercapitalized. The event doesn’t mean another financial meltdown is necessarily imminent […] since…