Can’t vouch for the tweeter, but this stuff is readily verifiable so I assume it’s true:
Wait, that’s the Cryptocurrency Exchange where the CEO died on vacation in India, and he took the encryption keys with him.
OR SO THEY SAY
Remember when absconding with a couple hundred million dollars of other peoples’ crypto seemed like a big deal? Oh, for simpler times.
Indeed.
And while this is preaching the choir, thought I’d nonetheless throw out a reminder that mainstream institutions which are supposedly regulated also routinely screw their customers just the same:
IT’S A CHRISTMAS MIRACLE!
WTF
Wells has paid $22 billion in fines since 2000 (source) – crime is a core part of their business model. This is why I’m wary of crypto regulation, I don’t want it to look like this.
Oh the Wells Fargo Wagon is a coming down the street
Oh please don’t let it be for me
Oh the Wells Fargo Wagon is a coming down the street
Here to illegally take my home away from me!
It appears some SBF’s inner circle at FTX have rolled.
If anyone is in the mood for a little schadenfreude:
- The Whitelist timer has been reduced to 1 minute in order to faster the withdrawal process.
flawless, no notes
“The Federal Reserve, FDIC and OCC said holding cryptocurrencies is likely inconsistent with safe banking practices.”
Amusing they decided at this exceptionally late stage in the game to announce something so abundantly obvious.
ref:
The agencies continue to assess whether or how current and proposed crypto-asset-related activities by banking organizations can be conducted in a manner that is safe and sound, legally permissible, and in compliance with applicable laws and regulations, including those designed to protect consumers.
A bit late this, but here is your regular reminder that code is not law:
Matt Levine talked about this at length in his newsletter yesterday.
Back in October, Eisenberg was quite proud of all this. Before doing the trade, he previewed it in some Discord posts, describing it succinctly as “You take a long position. And then you make numba go up.” After doing the trade, he tweeted a “ statement on recent events” that I once wrote “might be up there with Satoshi Nakamoto’s Bitcoin white paper as one of the great foundational documents of crypto”:
I was involved with a team that operated a highly profitable trading strategy last week.
I believe all of our actions were legal open market actions, using the protocol as designed, even if the development team did not fully anticipate all the consequences of setting parameters the way they are.
Unfortunately, the exchange this took place on, Mango Markets, became insolvent as a result, with the insurance fund being insufficient to cover all liquidations.
“Using the protocol as designed” just meant that the code let him do that, so he did. “All of our actions were legal open market actions” apparently meant that he hadn’t been arrested yet. Now he has been.
Last week I wrote a postscript to “ The Crypto Story” for Bloomberg Businessweek. “One imperfect but useful way to think about crypto,” I wrote, “is that it allowed for the creation of a toy financial system.” A lot of people in crypto described it as a set of innovations that would have profound effects on the real world, on ordinary people’s daily lives. But a lot of people in the crypto financial system treated it as a game where they could click some buttons on a computer and get rich with no real-world consequences. You are trading Mango tokens on Mango Markets! Doesn’t that sound fake? If you find a cool button to press to “make numba go up,” doesn’t it seem like you could press it? Like it would just be fun and consequence-free? And yet the people who did that keep ending up in real jail.
Silvergate doing about as well as you might expect:
Sure hope the FHLB doesn’t roll that over.
And apparently the stock fell 40% on the news, which suggests a lot of investors haven’t been paying attention for the last few months.
How are 10%+ returns possible with Celsius?
Oh, yeah, they’re not. I’m shocked, shocked I tell you.