431–440 of 890 posts
This last week has been a rollercoaster. I've been in crypto since a long time ago and have seen quite a bit, but this FTX implosion takes the crown. And to be honest, I don't think its over.
Earlier quoted context omitted.
FTX is a centralized (not DeFi) exchange that used their own coin as collateral and obfuscated their liquidity. This wouldn’t be possible in open decentralized exchanges that many in web3/crypto were advocating for. However SBF made it his mission to lobby regulation on DeFi and a blind eye to CeFi exchanges like his own. https://www.politico.com/newsletters/morning-money/2022/10/2...
> many in web3/crypto were advocating for. If many people in this space are advocating for decentralized exchanges, how come everyone uses centralized ones? If there's ever a time and place for voting with your wallet, this seems to be it, and the wallets are speaking loudly and clearly.
A lot of people put money on CEX because they are ignorant, or willing to take on some risk for slightly cheaper and faster trades. Those people probably regret their decision now. If they used Uniswap and Aave they could not have withdrawals paused because of one company’s insolvency.
It’s interesting that we aren’t seeing a bigger crash in overall crypto prices - generally it’s holding up ok
Reality: contagion will spread next week and everything will probably crash, even if DeFi remains unaffected.
This whole saga has done irreparable damage to crypto. It will take a lot of time for it to come out of this hole. When there is money involved, and that too this much, there will be conspiracy theories flying around and the regular retail investor will be tough to win back. It will be very interesting to see what happens from here on out. Crypto doesn’t have any uses to begin with, if it’s purely used as pump and du…
I'm curious about when you thought it was anything else? I don't think this will affect its reputation noticeably. Which demographic is going to be turned off by this? The regular public won't hear about this. the FIRE investor people basically seem to use a percentage as a lottery ticket. Wall Street I would hope already saw the consistent story. Is it hard core blockchain people, who knew of all the other crashed p…
FTX is just an exchange right? Any sensible person only puts funds into an exchange that they want to trade. Not your keys, not your crypto.
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1. Crypto and web3 is so tarnished in consumer minds, it cannot recover. The next big thing in this space needs stay away from those terms like the plague. 2. Energy has become so valuable these days and Crypto tech has become so WASTEFULLY, UNNECESSARILY energy intensive, that the next iteration needs to be as cost efficient and effective as software. Transaction costs need to begin and remain extremely low to none.…
About #1 I think you are wrong. History has shown us that all they need to forget it is a few days of green numbers again. The siren song of a few days of up only.
Three clear and obvious outcomes of this unwinding:
1. The crypto mantra "not your keys, not your coins" rings true.
2. Entrusting your personal financial data with a private company is sure to end in disaster, either by hack or court order. Privacy should be a basic and legally protected feature of blockchains.
3. Centralized Finance or CeFi is mostly a sham and deserves to be heavily regulated. Not to be confused with on-chain and transparent Decentralized Finance or DeFi platforms like Aave that have behaved predictably through this downturn, and have never required KYC.
https://news.ycombinator.com/item?id=33153865
We haven’t seen privacy and KYC be an issue yet with FTX but data breach could be next after the money goes.
> 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
Earlier quoted context omitted.
FTX is a centralized (not DeFi) exchange that used their own coin as collateral and obfuscated their liquidity. This wouldn’t be possible in open decentralized exchanges that many in web3/crypto were advocating for. However SBF made it his mission to lobby regulation on DeFi and a blind eye to CeFi exchanges like his own. https://www.politico.com/newsletters/morning-money/2022/10/2...
> many in web3/crypto were advocating for. If many people in this space are advocating for decentralized exchanges, how come everyone uses centralized ones? If there's ever a time and place for voting with your wallet, this seems to be it, and the wallets are speaking loudly and clearly.
Convenience.