<story><title>The collapse of the IRON stable coin</title><url>https://irony-97882.medium.com/the-melting-of-iron-89469b01e083</url></story><parent_chain><item><author>thebean11</author><text>&amp;gt; There is no court or lawyer who can interpret the spirit of the contract.&lt;p&gt;That&amp;#x27;s obviously the point, though. You are trading one set of risks for a completely different set of risks that might suit your use case much better; your counterparty being able to contest a contract in court could very well be a &amp;quot;bad&amp;quot; thing for you.</text></item><item><author>georgyo</author><text>This has always been the problem with smart contracts. They are infact dumb contacts.&lt;p&gt;To program one you need to think about all the edge cases. The programmers here likely did want &amp;gt;0 here. The possibility that the thing feeding price data return zero incorrectly was higher than the price legitimately being zero in their minds.&lt;p&gt;There is no court or lawyer who can interpret the spirit of the contract.</text></item></parent_chain><comment><author>lmilcin</author><text>&amp;gt; That&amp;#x27;s obviously the point, though. You are trading one set of risks for a completely different set of risks.&lt;p&gt;But that&amp;#x27;s exactly &lt;i&gt;the&lt;/i&gt; point.&lt;p&gt;People are not able to interpret &amp;quot;smart&amp;quot; contracts. For normal contracts most people can understand the contract and if there is a dispute you have laws and courts who can interpret in every case.&lt;p&gt;In case of &amp;quot;smart&amp;quot; contracts even the contract developers more often than not seem to not be able to understand all consequences.&lt;p&gt;So if we are trading one set of risks for another it kinda seems to me to be a a really shitty tradeoff.</text></comment>
<story><title>The collapse of the IRON stable coin</title><url>https://irony-97882.medium.com/the-melting-of-iron-89469b01e083</url></story><parent_chain><item><author>thebean11</author><text>&amp;gt; There is no court or lawyer who can interpret the spirit of the contract.&lt;p&gt;That&amp;#x27;s obviously the point, though. You are trading one set of risks for a completely different set of risks that might suit your use case much better; your counterparty being able to contest a contract in court could very well be a &amp;quot;bad&amp;quot; thing for you.</text></item><item><author>georgyo</author><text>This has always been the problem with smart contracts. They are infact dumb contacts.&lt;p&gt;To program one you need to think about all the edge cases. The programmers here likely did want &amp;gt;0 here. The possibility that the thing feeding price data return zero incorrectly was higher than the price legitimately being zero in their minds.&lt;p&gt;There is no court or lawyer who can interpret the spirit of the contract.</text></item></parent_chain><comment><author>toomuchtodo</author><text>&amp;gt; your counterparty being able to contest a contract in court could very well be a &amp;quot;bad&amp;quot; thing for you.&lt;p&gt;Evading the law (whether the court or a regulatory body such as the SEC [civil] or DOJ [criminal]) is typically a &amp;quot;bad thing&amp;quot; for the person or people intending to or successfully doing so.&lt;p&gt;&lt;a href=&quot;https:&amp;#x2F;&amp;#x2F;www.sec.gov&amp;#x2F;spotlight&amp;#x2F;cybersecurity-enforcement-actions&quot; rel=&quot;nofollow&quot;&gt;https:&amp;#x2F;&amp;#x2F;www.sec.gov&amp;#x2F;spotlight&amp;#x2F;cybersecurity-enforcement-acti...&lt;/a&gt; (SEC Cyber Enforcement Actions, control-f &amp;quot;blockchain&amp;quot; | &amp;quot;crypto&amp;quot;)&lt;p&gt;&lt;a href=&quot;https:&amp;#x2F;&amp;#x2F;www.ropesgray.com&amp;#x2F;en&amp;#x2F;newsroom&amp;#x2F;alerts&amp;#x2F;2021&amp;#x2F;March&amp;#x2F;The-CFTC-Signals-New-Era-in-Enforcement-of-Cryptocurrency-Trading-with-Action-Against-Antivirus&quot; rel=&quot;nofollow&quot;&gt;https:&amp;#x2F;&amp;#x2F;www.ropesgray.com&amp;#x2F;en&amp;#x2F;newsroom&amp;#x2F;alerts&amp;#x2F;2021&amp;#x2F;March&amp;#x2F;The-...&lt;/a&gt; (The CFTC Signals New Era in Enforcement of Cryptocurrency Trading with Action Against Antivirus Software Pioneer John McAfee)&lt;p&gt;&lt;a href=&quot;https:&amp;#x2F;&amp;#x2F;www.jdsupra.com&amp;#x2F;legalnews&amp;#x2F;doj-activity-on-cryptocurrency-a-six-1846233&amp;#x2F;&quot; rel=&quot;nofollow&quot;&gt;https:&amp;#x2F;&amp;#x2F;www.jdsupra.com&amp;#x2F;legalnews&amp;#x2F;doj-activity-on-cryptocurr...&lt;/a&gt; (DOJ Activity on Cryptocurrency: A Six-Month Review)&lt;p&gt;&lt;a href=&quot;https:&amp;#x2F;&amp;#x2F;www.reuters.com&amp;#x2F;world&amp;#x2F;us&amp;#x2F;us-court-authorizes-irs-seek-identities-taxpayers-who-have-used-cryptocurrency-2021-05-05&amp;#x2F;&quot; rel=&quot;nofollow&quot;&gt;https:&amp;#x2F;&amp;#x2F;www.reuters.com&amp;#x2F;world&amp;#x2F;us&amp;#x2F;us-court-authorizes-irs-see...&lt;/a&gt; (U.S. court authorizes IRS to seek identities of taxpayers who have used cryptocurrency)</text></comment>