Crypto trading firm Alameda Research might be insolvent • Hacker News Board

Re: Crypto trading firm Alameda Research might be insolvent

#11

Post by phphphphp » Fri, Nov 04, 2022, 1:01 PM UTC

pixelpoet wrote: post #6

I'm continually surprised by how many "major" crypto firms I've never heard of before (being familiar with the space) suddenly are regarded as big names when they go under. Wake me up when it's Kraken or something, i.e. a company someone may actually have heard of.

I'm not sure if this is sarcasm or not, but just in case it's sincere: Alameda are considered a lynch-pin of the crypto industry, they're holding up pretty much everything... and by extension, FTX is far more important than Kraken. If Alameda implode, it'll be far worse than 3AC's implosion. I don't think it's possible to kill the crypto industry, but Alameda's implosion would be the most likely event to cause it.

Re: Crypto trading firm Alameda Research might be insolvent

#12

Post by hucker » Fri, Nov 04, 2022, 1:02 PM UTC

pixelpoet wrote: post #6

I'm continually surprised by how many "major" crypto firms I've never heard of before (being familiar with the space) suddenly are regarded as big names when they go under. Wake me up when it's Kraken or something, i.e. a company someone may actually have heard of.

Not to be that guy, but this is probably the biggest and most well known of all crypto trading firms, and the source of SBFs fortune initially.

Re: Crypto trading firm Alameda Research might be insolvent

#13

Post by cryptoanon » Fri, Nov 04, 2022, 1:02 PM UTC

aljungberg wrote: post #7

If those loans are no-recourse loans with this FTT token as collateral, then should the token crash the liability just "disappears". The collateral will be sold to cover the loan. If the collateral is now worthless that was the risk the lender agreed to take on when issuing a no-recourse loan. If they are Defi loans for example, they're pretty much automatically no-recourse loans.

Exactly. It seems like the author has very limited insight in the space. It makes you curious how they could come to such a headline/conclusion, when they spend the entire article, talking about the assets instead of the liabilities!

Re: Crypto trading firm Alameda Research might be insolvent

#14

Post by [deleted] » Fri, Nov 04, 2022, 1:02 PM UTC

pixelpoet wrote: post #6

I'm continually surprised by how many "major" crypto firms I've never heard of before (being familiar with the space) suddenly are regarded as big names when they go under. Wake me up when it's Kraken or something, i.e. a company someone may actually have heard of.

[deleted]

Re: Crypto trading firm Alameda Research might be insolvent

#15

Post by lm28469 » Fri, Nov 04, 2022, 1:03 PM UTC

Crypto bros caught once again speed running the invention money and its associated scams/schemes

Re: Crypto trading firm Alameda Research might be insolvent

#16

Post by StevigeHoning » Fri, Nov 04, 2022, 1:03 PM UTC

pixelpoet wrote: post #6

I'm continually surprised by how many "major" crypto firms I've never heard of before (being familiar with the space) suddenly are regarded as big names when they go under. Wake me up when it's Kraken or something, i.e. a company someone may actually have heard of.

Just because you didn't heard of it, doesn't mean its not a big name. Also Kraken is a Exchange not a trading firm.

Re: Crypto trading firm Alameda Research might be insolvent

#17

Post by paulgb » Fri, Nov 04, 2022, 1:04 PM UTC

ecommerceguy wrote: post #10

I'm curious, does a definitive list of crypto scams exist?

Although the name is about web3, https://web3isgoinggreat.com/ is pretty comprehensive in covering all areas of crypto.

Re: Crypto trading firm Alameda Research might be insolvent

#18

Post by acc_297 » Fri, Nov 04, 2022, 1:05 PM UTC

ecommerceguy wrote: post #10

I'm curious, does a definitive list of crypto scams exist?

scam is hard to define and people have different definitions subject to some bias but here is maybe what you're after

https://web3isgoinggreat.com/

Re: Crypto trading firm Alameda Research might be insolvent

#19

Post by pixelpoet » Fri, Nov 04, 2022, 1:07 PM UTC

StevigeHoning wrote: post #16

pixelpoet wrote: post #6

I'm continually surprised by how many "major" crypto firms I've never heard of before (being familiar with the space) suddenly are regarded as big names when they go under. Wake me up when it's Kraken or something, i.e. a company someone may actually have heard of.

Just because you didn't heard of it, doesn't mean its not a big name. Also Kraken is a Exchange not a trading firm.

Of course my awareness isn't what decides if a firm is a major one, and I did refer to crypto firms in general.

In any case, apparently these guys are a big deal and I hadn't heard of them. Maybe it's European bias, and I'm not a crypto expert or anything, just interested.

Re: Crypto trading firm Alameda Research might be insolvent

#20

Post by velavar » Fri, Nov 04, 2022, 1:07 PM UTC

pixelpoet wrote: post #6

I'm continually surprised by how many "major" crypto firms I've never heard of before (being familiar with the space) suddenly are regarded as big names when they go under. Wake me up when it's Kraken or something, i.e. a company someone may actually have heard of.

The reason that a lot of retail investors may not have heard of Alameda Research is that they are an institutional investor and don't lend directly to customers (afaik?). However, they do pack the monetary heft to make a lot of the interest payouts by companies such as Celsius possible.

It's as if Jane street failed, a company that an normal BofA user may not be familiar with.