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Crypto trading firm Alameda Research might be insolvent

dirtybubblemedia.substack.com

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Re: Crypto trading firm Alameda Research might be insolvent

#91

Post by Finnucane »

x1ph0z wrote: post #70
phphphphp wrote: post #11

Earlier quoted context omitted.

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.

The whole point of crypto was to be decentralized. For one company to go down and cause the industry to implode means the industry is on the wrong path and needs to be reset.

Or it could be that the idea that it could actually work that way was just wrong. The creators of bitcoin adopted the delusions of goldbugs, tried to replicate it in a digital form. Adapting 19th century ideas about money to 21st century technology, and expected it to work.

Re: Crypto trading firm Alameda Research might be insolvent

#93

Post by boeingUH60 »

FortiDude wrote: post #86

Why is it so difficult for trading companies to simply keep the money in the reserve and never touch it unless your client wants to liquidate his share? I know, having that huge pile of cash and not doing anything with it can lead to huuuuuge temptations, but that's what I'm paying the company to do. If I wanted to invest my funds into something I would move my money to a separate investment account that the institut…

“Huuuuge temptations” is the answer. At that level, the temptation is too much to bear except enforced by an external hand.

That’s why there are regulations against playing with customer’s deposits in the traditional banking sector, or else greed will make banking executives do similar things as the crypto companies.

Re: Crypto trading firm Alameda Research might be insolvent

#94

Post by adamsmith143 »

Mistletoe wrote: post #63
phphphphp wrote: post #58

Earlier quoted context omitted.

3AC was a prop trading firm flush with cash… until the curtain was lifted and it turns out it was just a big fraud. Alameda is a prop firm flush with cash… Why do you assume that Alameda isn’t “packed to the gills” with financial gremlins? If you asked anybody in the space about 3AC or Alameda 12 months ago, you’d have heard the same thing about them: prop trading firms that have been hugely successful investing thei…

Alameda is helmed by quants from Jane Street etc., they are supposed to do better with regard to risk management, forecasting, bet sizing. Their whole M.O. is that they are smarter and actually do math and that is the source of their success. https://www.alameda-research.com/our-team Whether that is true or not, I don’t know. But from their tweets and podcasts it does seem they approach things very differently and in…

Sounds like Enron, turned out great for them too.

Re: Crypto trading firm Alameda Research might be insolvent

#95

Post by cryptoanon »

Mistletoe wrote: post #57
cryptoanon wrote: post #8

I really do not like this article and the discourse here for several reasons: 1. The entire Coindesk article lacks meaningful substance. For instance, we have zero idea about what those $7.4 billion of “loans” are. It’s really irresponsible to say that they’re insolvent. If you believe, so, you are applying no more rigor to your understanding of the space than the idiots who say HODL YOLO HFSP. If the liabilities are…

The guy that wrote it, Dirty Bubble, was big on the Celsius exposé train and he is trying to strike gold again. Idk how accurate any of it is though but that’s Dirty Bubble’s history and backstory. Kind of like FatMan and Luna. They want to stay relevant and get the next “big scoop”.

They gladly and unapologetically have posted fake material for engagement https://twitter.com/otteroooo/status/1548010114136715264

Re: Crypto trading firm Alameda Research might be insolvent

#96

Post by adamsmith143 »

cryptoanon wrote: post #32
PragmaticPulp wrote: post #21

Earlier quoted context omitted.

> 4. Recently they have cropped up a set of anonymous people who purport themselves to be insiders only to reveal complete ignorance about the topic at hand (otteroo on Twitter, for instance). Can you clarify this? By “they” do you mean this Substack? I didn’t see anything about “otteroo” or Twitter insiders in a quick search of the Substack, but I didn’t exhaustively search the entire backlog.

I mean this guy as well as a bunch of people on Twitter who have been clout chasing ambulance chasers, running over the truth to chase a story. The formula is this: 1. Create an helpful explainer thread to explain some crisis (ex-post) 2. Start to make vague predictions about relatively easy to predict things (like that Celsius is going to go down, a couple days before it technically goes down). 3. Refer your readers…

Dude you sound like the saddest most desperate FTT bag holder of all time. Did you lose your house and did your wife leave you or what...

Re: Crypto trading firm Alameda Research might be insolvent

#97

Post by threeseed »

x1ph0z wrote: post #70
phphphphp wrote: post #11

Earlier quoted context omitted.

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.

The whole point of crypto was to be decentralized. For one company to go down and cause the industry to implode means the industry is on the wrong path and needs to be reset.

Once the investors got in the whole point became making it more centralised just with the dominant players being ones they control.

Re: Crypto trading firm Alameda Research might be insolvent

#98

Post by polygamous_bat »

Mistletoe wrote: post #44

This might explain why Sam Trabucco the former co-CEO abruptly left out of the blue a few months ago… https://fortune.com/crypto/2022/08/25/sam-trabucco-quits-co-... For those not in the know, Alameda is THE trading firm in crypto that everyone always assumes is causing liquidations. For them to be insolvent would be a huge deal. It’s crazy to watch greed pollute the minds of crypto trading firms like Three Arrows Ca…

Am I correct in understanding your argument that "so long as numbers keep going up, all will be fine"? Because there is a possibility that crypto never gains back the hype as late 2020, and Bitcoin never reaches the high of $69K ever again, in which case people who "bought and hold" at that time (including those who were encouraged to be "brave" by Matt Damon in a crypto.com ad) will never see (a portion of) their money again.

Re: Crypto trading firm Alameda Research might be insolvent

#99

Post by tucnak »

cryptoanon wrote: post #87
jerf wrote: post #71

Earlier quoted context omitted.

This is a popular idea, but it's not just wrong, it's both systematically and personally dangerous. I am entitled to come to conclusions based on the partial information I have. If someone doesn't like those conclusions, it's on them to increase my access to information. The alternative means that anyone and everyone can hide anything they like behind partial information, then declare any suspicions baseless and grou…

> I'm just saying, the idea that people are not entitled to come to conclusions based on partial information is not valid. It’s possible to get scammed by a person that’s telling you that something is a scam. That’s an affinity scam. I’m not trying to tell you what to think. I’m saying that there are material flaws in the analysis.

Don't worry, your critique is fair and square, what you have to understand is that you probably piss a fair amount of people here already by virtue of your username alone! Cue takes on how "affinity scam" somehow doesn't apply & even more contrarian moaning re: crypto bad.

Re: Crypto trading firm Alameda Research might be insolvent

#100

Post by cryptoanon »

polygamous_bat wrote: post #88
cryptoanon wrote: post #52

Earlier quoted context omitted.

Sure you can say this is a stress test - I’m just saying it’s misinformation. I am annoyed by people who spread misinformation for clout. Applies to both the bullish credit and the bearish crowd.

You cannot complain something is misinformation without offering information to counter it. That never works, will never work. The only reason an article like this, speculative or not, has wind to it's sails because crypto is not regulated like equity and companies like Alameda does not have to publish regular financial reports that classic market participants moving billions of "dollars" have to publish.

What if I saw military helicopters flying above and told others “war has broken out!” I see how you can say that’s not misinformation, but wild speculation. For me, it’s both.
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