#DeFi is going to explode and it's going to look like the Flash Crash and the Financial Crisis got bitten by radiactive spiders and then had babies together

People are borrowing from Defi lending platforms like #AAVE in order to buy more crypto, but with leverage. https://twitter.com/davidiach/status/1351661526961311744

Now if you time this right it can be a very profitable thing to do. $1000 in rent paid in the summer of 2020 would be worth far more than that if one had just kept it in crypto, borrowed against it as collateral to pay your rent, and rode the crypto boom.

But, if everyone starts doing this and essentially leveraging themselves up the wazoom, then there is literally only one way it can end.

So, are you feeling lucky?

Take your rent money, convert it to Ether, stake it with AAVE and borrow your rent in stablecoin!

Then if ether keeps going up, you can pay your rent essentially for free and keep the ether and accumulate a huge crypto position.

The question is, who ends up carrying the can when this goes south?

See: https://en.wikipedia.org/wiki/2010_flash_crash