Celsius Execs Cashed Out $40M in Crypto Before Halting Withdrawals for Customers

Post by AtlasBarfed » Thu, Oct 06, 2022, 4:41 PM UTC

scifibestfi wrote: post #60

There's an update at the bottom of the article disputing the claim: "Your report that Mr. Goldstein withdrew millions of dollars in advance of the “pause” is flatly mistaken. The reality is that Mr. Goldstein did not withdraw even one dollar in the four weeks prior to the pause—to the contrary, he deposited over $90,000 in CEL tokens in late May, just three weeks before the pause. Most of the supposed “withdrawals” f…

Post by cube00 » Thu, Oct 06, 2022, 4:41 PM UTC

tedivm wrote: post #15

geophile wrote: post #9

I don't follow crypto, so these are actual questions, not trolling: - If Celsius is a trading platform, how can Celsius itself owe anybody anything? - My naive understanding is that cryptocurrency, being based on blockchain, is a log of universally agreed upon, legitimate transactions. So how can there be a liquidity crisis at all, let alone one in the billions? How is the platform allowing transactions not backed by…

Most brokers- such as coinbase- perform their transactions using off chain methods. All the bitcoin in coinbase is held and owned directly by coinbase, and what users of coinbase actually have is a database table somewhere saying how much of coinbase's coins are marked as being owned by the user. Celsius is similar, but they also offer a loan system on top of it. So the coins you give to celsius are not only no longe…

Post by scifibestfi » Thu, Oct 06, 2022, 4:43 PM UTC

jedberg wrote: post #33

Oh hey look the consequences of a monetary system that isn't backed by a legal system (that is backed up by people with guns). The reason fiat money works is because at the end of the day if you run into trouble you have the legal system to make things right. And if the perpetrator of the crime doesn't listen to the legal system, there are people with guns/violence to back that up. That's why the whole system works -…

Post by arcticbull » Thu, Oct 06, 2022, 4:44 PM UTC

scifibestfi wrote: post #65

jedberg wrote: post #33

Oh hey look the consequences of a monetary system that isn't backed by a legal system (that is backed up by people with guns). The reason fiat money works is because at the end of the day if you run into trouble you have the legal system to make things right. And if the perpetrator of the crime doesn't listen to the legal system, there are people with guns/violence to back that up. That's why the whole system works -…

Fiat works until it doesn't. Whether that's inflation, corrupt government, or the long term debt cycle which we nearing the end of. Ray Dalio has a good video about what that means and how this has played out every time over the past 500 years: https://www.youtube.com/watch?v=xguam0TKMw8

Post by Retric » Thu, Oct 06, 2022, 4:44 PM UTC

pazimzadeh wrote: post #49

jedberg wrote: post #33

Oh hey look the consequences of a monetary system that isn't backed by a legal system (that is backed up by people with guns). The reason fiat money works is because at the end of the day if you run into trouble you have the legal system to make things right. And if the perpetrator of the crime doesn't listen to the legal system, there are people with guns/violence to back that up. That's why the whole system works -…

Huh? If that was true then it would be services like AAVE or Uniswap which would be bankrupt, not the centralized finance Celsius. The idea that the traditional legal system prevents funny business with money is naive. 9/10/2001: Rumsfeld says $2.3 TRILLION Missing from Pentagon https://www.youtube.com/watch?v=xU4GdHLUHwU The Pentagon’s $35 Trillion Accounting Black Hole https://www.yahoo.com/video/pentagon-35-trilli…