Whenever I hear of "bubble" I am reminded of this quote - "“The market can stay irrational a lot longer than you can stay solvent!”
So yes it may be a bubble- but the bubble may very last a few months, a few years, or a few decades...who knows?
So yes it may be a bubble- but the bubble may very last a few months, a few years, or a few decades...who knows?
If I borrow your bitcoins, how will you force me to sell them? If we agree that a third party will warehouse those coins, how can I trust them? And if BTC plunges, who's to say that 3rd party will still operate?
All very different from shorting a stock.
But if you want to loan me your bitcoins, let's talk!
I'm also interested in borrowing any other bearer instrument that you possess? (Now thinking of bearer bonds in the movie Heat)
Still, you can short these 30% drops without problem.
Did shorting the housing market work out well in the crash? I remember a movie with Christian Bale, where it did.
https://en.m.wikipedia.org/wiki/Bearer_instrument
Also, counter party risk was a major issue during that financial crisis.