[alexitorg]

I was reflecting on this recently in the Chinese property bubble. I suspect firms that take customer deposits and use them to speculate of future growth grow much quicker in a boom environment than firms that handle the deposits responsibly. Crowding out responsible firms.

This has lead to Chinese property developers spending all the money they collected to build homes on new parcels of lands and even soccer teams instead of finishing those homes. After all there will always be new money coming in.

In the crypto space this has lead exchange firms that speculate with their customers assets to out compete the safe approach providing exchange services and collecting a commission.