Bitcoin Pizza Guy could’ve been saved by Liquid Loans.
Here’s what happened to this poor seller.
The "bitcoin pizza guy" refers to Laszlo Hanyecz, a software developer who is known for carrying out the first real-world transaction using bitcoin in 2010.
On May 22nd of that year, Hanyecz posted on a bitcoin forum that he would pay 10,000 bitcoins to anyone who would order him two pizzas from Papa John's.
At the time, 10,000 bitcoins were worth about $30.
A user named jercos took Hanyecz up on the offer and ordered him two pizzas in exchange for the 10,000 bitcoins.
While it seemed like a good deal at the time, those same 10,000 bitcoins are now worth over 400 million based on today's bitcoin price.
Hanyecz wanted Pizza.
He had Bitcoin.
He did not have a way to extract value from that Bitcoin without losing price exposure.
He had to sell his BTC at unfortunately low prices.
Let’s all pretend that Bitcoin can harbor smart contracts.
If a user had created Liquid Loans on top of Bitcoin, then Hanyecz could have taken a loan out on his BTC.
Instead of selling his BTC, he could have sold the stablecoin which he minted.
The result would have been funds for many many more pizzas in the future, and maybe even pizza corporations.
Liquid Loans presents holders of PLS the ability to maintain price exposure without selling.
This is revolutionary in crypto because before this protocol accessing liquidity meant losing your coins.
So if you ever find yourself in the situation of wanting to buy something, do yourself a favor: mint USDL and spend that, but keep your PLS.
And of course, as always, this is not financial advice.
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Connor is a US-based digital marketer and writer. He has a diverse military and academic background, but developed a passion over the years for blockchain and DeFi because of their potential to provide censorship resistance and financial freedom. Connor is dedicated to educating and inspiring others in the space, and is an active member and investor in the Ethereum, Hex, and PulseChain communities.
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