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We will not pursue the potential acquisition of FTX

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Re: We will not pursue the potential acquisition of FTX

#61

Post by cheeselip420 »

matai_kolila wrote: post #55
sytelus wrote: post #30

Earlier quoted context omitted.

At present no major currency is backed by anything material but trust. USD, for example, is only viable because, at the deepest level, trust in it is enforced by US army. There are three major class of people who need digital currency: (1) who are super rich and won't care about putting their 1% of wealth for "diversify and forget", (2) who need to transfer money eyes off from governments, (3) people who need alterna…

Yeah but like, the US is a lot more likely to be around in 20 years, so this argument doesn't really make any sense. Honestly I'm sick of hearing it; yes we know, all money is made up, that's not an interesting point anymore. Society is okay with that, but it doesn't mean you can just make up another currency, that's not how it works.

But what if you declare it? Like bankruptcy, but in reverse?

Re: We will not pursue the potential acquisition of FTX

#62

Post by oldgradstudent »

mumbisChungo wrote: post #23

The silly thing is that FTX was a money printing machine. There was no reason to start gambling with user funds, aside from greed, hubris, and stupidity. Similarly, Sam's fund Alameda was delta-neutral until some time in 2021, which is something that also could have profitably continued in perpetuity, but they got greedy and started making directional bets with leverage.

> FTX was a money printing machine

Turns out, they were a Monopoly money printing machine.

Re: We will not pursue the potential acquisition of FTX

#64

Post by fdgsdfogijq »

The funny thing is for six months I have been checking FTX for open developer positions. Thinking surely, the best place in crypto must be hiring good devs like me. And there have been no postings at all! And word on the street is their devs actually building the exchange made a middling salary with zero stock. I always found it odd, how could they not be hiring? even during the downturn? And now I know why, it was all a scam.

Re: We will not pursue the potential acquisition of FTX

#66

Post by rr808 »

shmatt wrote: post #32

CZ knew about the bad leverage to begin with, which is why he tweeted about selling all of the FTT What are the chances he never intended to buy FTX, just to destroy it after their public back and forth? It's almost like a reverse Musk - he sent a purchase offer with an option to back out no matter what CZ knew from day 1 all he needed to do was crash FTT just enough, and the rest would happen organically

CZ seems like a genius, but I'm sure he's panicking now, he doesn't benefit from killing the whole alt-coin world - which increasingly looks like happening.

Re: We will not pursue the potential acquisition of FTX

#67

Post by oldgradstudent »

PaulWaldman wrote: post #42
mumbisChungo wrote: post #23

The silly thing is that FTX was a money printing machine. There was no reason to start gambling with user funds, aside from greed, hubris, and stupidity. Similarly, Sam's fund Alameda was delta-neutral until some time in 2021, which is something that also could have profitably continued in perpetuity, but they got greedy and started making directional bets with leverage.

>The silly thing is that FTX was a money printing machine. There was no reason to start gambling with user funds, aside from greed, hubris, and stupidity. Where were their profits derived? Was it from taking their slice of every transaction? Or selling their freshly minted coins? If it was the latter, that only works for so long, just ask the Fed.

> Where were their profits derived?

Is there any reason to believe there were any profits ever?

Re: We will not pursue the potential acquisition of FTX

#68

Post by sytelus »

matai_kolila wrote: post #55
sytelus wrote: post #30

Earlier quoted context omitted.

At present no major currency is backed by anything material but trust. USD, for example, is only viable because, at the deepest level, trust in it is enforced by US army. There are three major class of people who need digital currency: (1) who are super rich and won't care about putting their 1% of wealth for "diversify and forget", (2) who need to transfer money eyes off from governments, (3) people who need alterna…

Yeah but like, the US is a lot more likely to be around in 20 years, so this argument doesn't really make any sense. Honestly I'm sick of hearing it; yes we know, all money is made up, that's not an interesting point anymore. Society is okay with that, but it doesn't mean you can just make up another currency, that's not how it works.

That's exactly how it works. When you issue IOU, you issue your own currency. When a company issues stock, they are in fact issuing their own currency. All contracts are in fact a currency that can be sold, bought, invested and transacted. World debt is far far larger than actually currency in circulation. How does that happen? Because we make up "currency" all the time.

Re: We will not pursue the potential acquisition of FTX

#69

Post by eddsh1994 »

Animatronio wrote: post #58
eddsh1994 wrote: post #45

Earlier quoted context omitted.

I called it and saw many others call it too. Cause a run on FTX, get due diligence and say it’s F**ed, and get their user-base for free. My concern is how much funding FTX and SBF in particular were giving to EA/AGI Safety research labs and charities. There’s going to be some significant knock on effects there when the money is no longer available.

What user base? FTX is unable to process withdrawals right now (and who knows if they ever will be), so the money's gone meaning users won't simply migrate to Binance.

Basically any r/cc user who was in FTX and wants to invest part of their next paycheck?

Re: We will not pursue the potential acquisition of FTX

#70

Post by pavlov »

Why does anyone trust Binance either? They’re notoriously shady about where they operate and what assets they actually hold, to the point that they’re officially not headquartered anywhere.

If you have $100k at Binance, is there any reason to believe you could withdraw it tomorrow? Any contract you may have with Binance is made with a local shell company that could just as well be a hot dog stand. Any money you’ve sent them is effectively nowhere.

FTX was supposed to be above the board and they collapsed in a day. A few months ago FTX was the white knight buying out distressed crypto companies. Why would Binance do any better?

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