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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

#371

Post by irusensei »

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 highly surprised if it could be done algorithmically

Except this exists since the beginning?

I feel people are missing the point. A decade ago a guy created some system that allows users to digitally self custody funds without a third party. That’s self regulation to you.

MtGox was not that. Celsius was not that and finally FTX was not that. Binance is not that. Those companies and their tokens conjured out of thin air are glorified digital cassinos folks.

Government regulation? Will it make a difference? The stuff they did is already ilegal in pretty much any country isn’t? By the way wasn’t SBF trying to push regulations to hurt his competitors? Didn’t he funded D and R candidates? Do you really think you can trust anything that can come out of regulation to be effective and not exploitable?

FFS doesn’t FTX US division have a NY bitlicense? That’s probably the most strict license in finance.

As for crypto reputation I see this as a big W for the core principles of self custody. Bitcoin “toximaxis” being right all along. Even here people often reply me they feel more comfortable using a third party. It’s all good but perhaps you should instead trade stocks or idk commodities or wathever?

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

#372

Post by imgabe »

Thorrez wrote: post #259
imgabe wrote: post #211

Earlier quoted context omitted.

There is the same undo button that exists for every other financial institution that commits fraud: lawsuits.

And if you can't find the person to sue because the person is an anoymous hacker? With fiat the court will tell the banks to reverse the transactions.

That isn’t the case here. Anyway, people get defrauded through banks all the time with advance fee fraud, 419, and other scams and banks don’t reverse those.

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

#373

Post by pksebben »

mjburgess wrote: post #340
polygamous_bat wrote: post #316

Earlier quoted context omitted.

> This isn't a crypto failure. Crypto works. This is a human failure. "Guns don't kill people, people kill people."

A point no one who wants to ban guns would disagree with.

the edge here being that if a tool is powerful enough to take someone's head off, we should probably do something to mitigate the risk of folks using it.

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

#374

Post by tromp »

n0tth3dro1ds wrote: post #255
iblaine wrote: post #33

Earlier quoted context omitted.

It’s unfortunate that what started out with altruistic motives, a method for decentralized anonymous asset exchange, is being derailed by opportunists. There was a time where a 51% attack was the biggest concern. All that said, I’m not surprised at where we are today.

> It’s unfortunate that what started out with altruistic motives Are you actually buying into SBF’s pathetic ideologies? Or are you more referring to Satoshi’s white paper when you refer to “altruistic motives”. I can’t understand how anyone would take SBF seriously. He’s a smug charlatan who converted funny money to real money so that he could dump it into politics for his own aims, all while calling his actions “al…

> Or are you more referring to Satoshi’s white paper when you refer to “altruistic motives”.

There's little altruistic about an emission that allocates half of all supply (first four years) going to early miners including Satoshi himself, and leaves only crumbs for later generations.

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

#376

Post by imtringued »

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 think this is the end of fully centralised exchanges. All exchanges will have to build their own Validium and customers will self custody their non fiat funds on that Validium and the centralised exchange merely runs the order book logic and fiat onramp.

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

#377

Post by pksebben »

croes wrote: post #192
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.

So bank regulation worked in 2008, is was just a human failure? Communism works, it's just human failures? The measure of whether something works is whether it prevents human failure.

We had gotten rid of bank regulation, which caused 2008.

https://www.federalreservehistory.org/essays/glass-steagall-....

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

#378

Post by dragonwriter »

rsj_hn wrote: post #369
gasull wrote: post #320

Earlier quoted context omitted.

FDIC covers only up to 200k USD. Many people have lost life savings when banks collapse. Also, not everybody lives in the US or in countries with a semi decent banking system.

> Many people have lost life savings when banks collapse. Do you have some data for this statement? (in the US, post FDIC deposit era) Because even when a bank fails, there is usually more than enough to cover depositors, and what the FDIC does is arrange for the bank to be taken over by a healthy bank, with the deposits migrated (but equity and bondholders can take a bath). E.g. no depositor lost a penny in the fina…

> E.g. no depositor lost a penny in the financial crisis of 2008

No depositor has lost a penny in an FDIC insured account (even with total balances above the insurance limit) ever since the FDIC has existed.

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

#379

Post by fastball »

readthenotes1 wrote: post #81
genmud wrote: post #29

Fraud. This is why banking regulation is important, almost all banking laws on the books exists because someone got screwed.

Because someone screwed over too many other people

More like because the wrong people got screwed over.

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

#380

Post by irusensei »

grumpyprole wrote: post #288
netheril96 wrote: post #264

Earlier quoted context omitted.

Lumping diagonally opposed things (centralized coins like FTT or decentralized coins like BTC) under the same category (crypto) is quite misleading. > How long do we have to wait to see crypto working? BTC (on chain) is still working as intended, after all these years.

> BTC (on chain) is still working as intended, after all these years. It's certainly working on destroying the planet with its obscene energy requirements.

Energy which was paid for. If there is a problem with that then price it accordingly.
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