This reminds me of `OSHA laws being written in blood`. The same has been true for everything in life and the stock market. And human nature didn't change with Crypto, so it WILL be the same.
FTX faces potential hack, sees mysterious outflows totaling more than $600M
161–170 of 890 posts
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#162Regardless of whether you are pro- or anti- crypto, the collapse of FTX, SBF's bubble bursting in a rather extreme fashion, and now this hack are more nails in the coffin for mainstream support. I am no fan of crypto myself, but it's interesting to think what would have to happen for crypto to burnish its image. Would key people have to voluntarily form some sort of coordinating council and self-regulate? Would they…
This isn't a crypto failure. Crypto works. This is a human failure. FTX didn't collapse because of the technology. It collapsed because of human error. The fix is rather simple. If an organization looks like a bank and quacks like a bank; it should be regulated like a bank.
> it should be regulated like a bank
And how would they implement KYC/AML regulations which are fundamental to banking ?
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#163To all the people replying that crypto isn't regulated: that's a myth. Exchanges are regulated and keep KYC info of their customers. If the FTX hack is true, then all that KYC info will be sold in the black market. Regulation didn't prevent the hack (or rug-pull?). Self-custody with DeFi does prevent it. It's shocking how some people are for tinkering hardware/software and self-hosting services like Nextcloud, but it…
Whatever info FTX had, sure. Looks like your private documents were stored with Stripe, a much better steward of your data:
> FTX partners with Stripe to ensure a secure identity verification process. Please note data will be stored and may be used according to the Stripe and FTX privacy policies.
https://help.ftx.com/hc/en-us/articles/360027668192-Individu...
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#164> Investigating abnormalities with wallet movements related to consolidation of ftx balances across exchanges - unclear facts as other movements not clear. Will share more info as soon as we have it. From FTX's general counsel[1], retweeted by FTX_Official. So that indicates it's not being sold off legitimately under some sort of liquidation proceedings. It could be insiders or it could be hackers. [1] https://twitte…
FTX CTO Gary Wang as well has a lot of recent GitHub commit activity in last 2 days and now suddenly the site is hacked https://github.com/garywang
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Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#165Earlier quoted context omitted.
If he is in fact on the run... Does this dude really think the CIA and FBI won't find him? He's likely not safe anywhere but Russia, China, North Korea or Israel.... maybe Pakistan.
Why would the CIA and FBI care? It's not like they are going to send Navy SEALs after him. This is a DoJ matter, and the most they will do is file extradition requests. If the country he is in decides to ignore them, well that's about it.
He stole from rich people. Madoff made the same mistake. Parallel construction is how the CIA would be involved helping the FBI or foreign police to nab him. I'm just pointing out that his threat model has now increased by several orders of magnitude. He'll never get away from this unless he does an Epstein.
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#166[deleted]
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#167It's been stated that FTX can access the wallets of their customers [1], I wonder if employees or other bad actors knowing the ship is sinking have decided to - forgive me for the quip - plunder any remaining assets. 1: https://www.coindesk.com/policy/2022/11/10/ftx-violated-its-...
That was my first thought. Not FTX related, but I just got another email from Coinbase reassuring me that they’re not gonna use customer funds without permission. I have in the past moved my shit out of Coinbase wallets because of doubts about that. Honestly though I just want to GTFO of crypto at this point…
> Coinbase reassuring me that they’re not gonna use customer funds without permission
"Not gonna" is wildly different from "cannot". So are you sure they physically cannot use your funds? If that's not the case, their promise is worth just the price of sending that email to you.
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#168According to the latest reports, SBF is potentially on the run on a private jet [0] from the Bahamas to (probably) Argentina. He hasn't been confirmed to be on that plane, but it seems likely. This stuff is straight out of movie. [0] https://www.flightradar24.com/LVKEB/2e2e7cfd
If he is in fact on the run... Does this dude really think the CIA and FBI won't find him? He's likely not safe anywhere but Russia, China, North Korea or Israel.... maybe Pakistan.
No, not safe in Russia. From https://mobile.twitter.com/kamilkazani/status/15791389474472...
"In contrast, Russian cryptobros that I know tend to act very, very lowkey. The fewer people know about your activities, the better. Posting about dealing with crypto in social media is absolutely unthinkable. Why? Because that makes you too easy and lucrative prey"
That thread describes how a basement was found, in the house of an official in the Russian prison system, which appears to have been specifically designed for the capture and torture of crypto owners to give up their coins. It had its own crematorium for disposing of the remains.
If these guys think that they can take some coins and live a nice life in a place without strong rule of law, they have a nasty surprise waiting for them
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#169Regardless of whether you are pro- or anti- crypto, the collapse of FTX, SBF's bubble bursting in a rather extreme fashion, and now this hack are more nails in the coffin for mainstream support. I am no fan of crypto myself, but it's interesting to think what would have to happen for crypto to burnish its image. Would key people have to voluntarily form some sort of coordinating council and self-regulate? Would they…
The problem is the crypto community’s skepticism of proven financial safeguards. Large financial systems are centralized for a reason and they seem intent on finding out why by hitting every bump in the road at full speed.
Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M
#170According to the latest reports, SBF is potentially on the run on a private jet [0] from the Bahamas to (probably) Argentina. He hasn't been confirmed to be on that plane, but it seems likely. This stuff is straight out of movie. [0] https://www.flightradar24.com/LVKEB/2e2e7cfd
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