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FTX faces potential hack, sees mysterious outflows totaling more than $600M

coindesk.com

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Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#221

Post by notch656a »

ajb wrote: post #168
AustinDev wrote: post #137

Earlier 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.

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…

That post has zero evidence the fake prison is "specifically designed for the capture and torture of crypto owners."

For all we know it was used to torture political enemies with maybe the odd crypto bro on the side.

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#222

Post by zone411 »

flylib wrote: post #155
zeven7 wrote: post #4

> 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

How do you know it's him and not somebody else with the same name? I don't see any crypto projects.

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#223

Post by YossarianFrPrez »

winternett wrote: post #217
YossarianFrPrez wrote: post #194

Earlier quoted context omitted.

I'd be curious to read anyone's thoughts on what would have to happen for crypto to improve its image at this point. Would being regulated exactly like traditional banking / finance be enough? More regulation? Would it be regulation + lower rates of fraud, hacks, collapse, and abuse? Or something else I'm not thinking of?

Depositor Insurance probably... But still, every single promise has been burnt in the crypto world.

Ooh, that's a good one. Who on earth would underwrite such a thing?

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#224

Post by jl2718 »

AndreLock wrote: post #66

This is absolutely wild and unprecedented. Imagine being a victim of Madoff's ponzi and - after already being traumatized by the unveiling of the fraud - discovering that the rest of the money had been stolen. Madoff's ponzi was larger, but the recovery rate was 88%. It looks like customers who didn't withdraw in time will end up with 0%.

So, did Madoff's victims just end up with normal returns like they would have gotten any other way?

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#225

Post by andreareina »

anonymoushn wrote: post #174
sam345 wrote: post #35

Earlier quoted context omitted.

iait may be centralized but there's no comparison to PayPal. PayPal does not commingle funds

Paypal keeps separate bank accounts for each customer?

The claim is that PayPal keeps user funds separately from the funds that PayPal e.g. uses to pay for operating expenses.

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#226

Post by bmitc »

douglaswlance wrote: post #133
YossarianFrPrez wrote: post #116

Regardless 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.

People keep saying this, but I don't follow. FTT was a token manufactured out of thin air. Crypto works as a concept, I suppose, but people saying crypto works is like the people that say Agile works. How long do we have to wait to see crypto working? Where are the success stories of crypto? There's a long laundry list of hacks, scams, company failures, "tokenomics", NFTs, on blockchain, etc. Saying crypto works as a technology base is not enough. Currencies and tradeable "assets" are a social thing. It isn't just a technology.

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#227

Post by px43 »

albertopv wrote: post #219
douglaswlance wrote: post #133

Earlier quoted context omitted.

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.

All crypto currencies are a ponzi scheme. Change my mind.

Ponzi schemes by definition use opaque ledgers. Ponzi schemes are custodial. Ponzi schemes guarantee returns.

There exist Ponzi schemes which have disguised themselves as cryptocurrencies, but the idea that all cryptocurrencies are Ponzi schemes demonstrates a complete ignorance of what a Ponzi scheme is.

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#228

Post by bmitc »

zone411 wrote: post #222
flylib wrote: post #155

Earlier quoted context omitted.

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

How do you know it's him and not somebody else with the same name? I don't see any crypto projects.

> I don't see any crypto projects.

How do you know that? It says explicitly: "52 contributions in private repositories" between November 1 and November 11.

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#229

Post by petesergeant »

YossarianFrPrez wrote: post #194
YossarianFrPrez wrote: post #116

Regardless 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…

I'd be curious to read anyone's thoughts on what would have to happen for crypto to improve its image at this point. Would being regulated exactly like traditional banking / finance be enough? More regulation? Would it be regulation + lower rates of fraud, hacks, collapse, and abuse? Or something else I'm not thinking of?

It would need a legal, non-speculation use-case that isn’t much better solved by extant centralised systems

Re: FTX faces potential hack, sees mysterious outflows totaling more than $600M

#230

Post by electic »

YossarianFrPrez wrote: post #116

Regardless 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 crypto. This is a centralized exchange with a centralized website, with centralized databases, that is run and controlled by humans. In fact, if you use a centralized exchange there is no use of blockchain for the most part.

There's a literal saying, "Not your keys, not your coins". Only if people would listen.

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