Qualia

Co-founder @PortalDapp

[Qualia @seekingqualia]

Agree with Zeus' tweet below - the current structure of DeFi lending socialises risk of loss from borrower -> holders of protocol token. Some of my thoughts below on this - @ohmzeus would love to read the paper if there is any room for a debt nerd! (1/23) https://t.co/JbMC7kAg2y

[Zeus Ω ((3,3), P) @ohmzeus]

in tradfi, the responsibility to issue healthy debt is on the lender. they can’t repay -> you lose

in defi, the responsibility is far more on the borrower. minus long tail scenarios, lenders pretty much can’t lose

imo this is an issue

[Portal @PortalDapp]

Portal is super excited to announce the launch of our private beta, with our friends @Vizmotor, the creators of the amazing animated series Singularity time https://t.co/XaCuKr5vWS

[Qualia @seekingqualia]

Serious pleasure doing business with the kings at @redactedcartel and @terra_money. Special shout out @ItsAlwaysZonny @0xSami_ @DefinedNever @0xPercival and @CWALK_19 for getting this one done. First of many 🤝

[Qualia @seekingqualia]

@DeFi_Ted Shattered. Vale Warnie

[cwalk @CWALK_19]

@jimchang DAOs need a modular solution that can be custom-built around their revenue model. @debtdao is building the next DeFi primitive, a credit marketplace. We focus on delivering undercollateralized, trustless loans to DAOs, with a near term plan to incorporate automatic repayment.

[Qualia @seekingqualia]

@1EpikTeTuS Yesterday’s price is not today’s price!

[Sami @0xSami_]

This + another proposal with debt dao soon

From a high level, I’m in favour of taking on debt in the infancy of the project

What gives me more reassurance is that through thecosamata and debt dao, we’re taking on the healthiest debt in defi through novel white label solutions

[Ming Zhao @FabiusMercurius]

DEBT IS SEXY.

Broke: Debt is for poor people.
Woke: Taking on debt is a weirdly smart thing to do in 2022.
Bespoke: Debt is the best kept secret separating the upper-class from middle-class.

🧵 on HOW DEBT CAN MAKE U RICHER
- as a trader
- as an entrepreneur
- as a business
👇

[Qualia @seekingqualia]

@lazyvillager1 @ohmzeus Glad you responded king - long time reader of your content and admirer of your intelligence. RE 2a) keen to understand how portfolio approach changes the situation. RE 2b) and 2c) - not sure pricing and additional covs re-align incentives but keen to hear ur thoughts

[Qualia @seekingqualia]

Agree with Zeus' tweet below - the current structure of DeFi lending socialises risk of loss from borrower -> holders of protocol token. Some of my thoughts below on this - @ohmzeus would love to read the paper if there is any room for a debt nerd! (1/23) https://t.co/JbMC7kAg2y

[Zeus Ω ((3,3), P) @ohmzeus]

in tradfi, the responsibility to issue healthy debt is on the lender. they can’t repay -> you lose

in defi, the responsibility is far more on the borrower. minus long tail scenarios, lenders pretty much can’t lose

imo this is an issue

[Qualia @seekingqualia]

@JPFkrypto @ohmzeus Interesting idea and I see what you are getting at here (liquidation doesn't increase sell pressure and drive token price down). What do you think should happen when unlocked? Think we still need a little extra nuance to make borrower share downside risk

[Qualia @seekingqualia]

Liquidations occur because the token price of collateral is dropping - on-market liquidations only exacerbate this issue. Requiring a portion of collateral to be future cash flows aligns lenders with the health of the protocol (& the market) and creates a sharing of downside risk

[Qualia @seekingqualia]

Collateral: collateralising future revenues is something we are working on @debitors. Why does this help with alignment? If the majority of your collateral is tied up in the future revenue of a DAO, lender is incentivised to be help them succeed (this is how TradFi lending works)