In less than a week, Sam Bankman-Fried's $16 billion fortune evaporated

[SilverPalm]

https://www.marketwatch.com/story/th...?mod=home-page

The description of the irregularities at FTX, shines a light on one of the concerns I have always had with crypto -

"Alameda filed for bankruptcy last week, and the “dilutive ‘minting’ of approximately $300 million in FTT tokens by an unauthorized source” in the days after the filing.*FTT tokens were created by FTX to facilitate trading on its exchange and made up a big chunk of Alameda’s assets. "

I have always been concerned with the possibility of "dilutive minting", as they describe it here. Is Bitcoin safe from this due to blockchain? I don't know. I have yet to find a description of how block chain works that gives me confidence that I understand it well enough to trust it. Plenty of people parrot the statement that Bitcoin is finite, but I have yet to understand how this is guaranteed to be so. Hence, I remain wary.

[ynot2k]

SilverPalm wrote

"...I have always been concerned with the possibility of "dilutive minting", as they describe it here. Is Bitcoin safe from this due to blockchain? I don't know. I have yet to find a description of how block chain works that gives me confidence that I understand it well enough to trust it. Plenty of people parrot the statement that Bitcoin is finite, but I have yet to understand how this is guaranteed to be so. Hence, I remain wary."

That is reasonable and what does it hurt to remain wary? Probably a healthier outlook than just buying the story without due diligence.

[ynot2k]

Yes, government controlled digital currency, but the open source decentralized cryptocurrency is not.... and that is what is pissing them off.

In 2017 I did some research and came to the conclusion that it was possible (possible does not mean probable/absolutely/etc) that Bitcoin was created by the CIA.

I posted about it here on the forum but I probably did not post many details because at that time - as now - I am not trying to convince anyone of the possibility.

I would say that if one, without serious consideration, outright rejects a possibility it may be that they are married to an idea and have closed their mind to other views.

[Markpti]

SilverPalm wrote

"...I have always been concerned with the possibility of "dilutive minting", as they describe it here. Is Bitcoin safe from this due to blockchain? I don't know. I have yet to find a description of how block chain works that gives me confidence that I understand it well enough to trust it. Plenty of people parrot the statement that Bitcoin is finite, but I have yet to understand how this is guaranteed to be so. Hence, I remain wary."

That is reasonable and what does it hurt to remain wary? Probably a healthier outlook than just buying the story without due diligence.

I agree with both of you. Somehow, though, in the dark of my night, when I can't seem to let go of my thoughts, I wish I had pulled the trigger (as I was seriously close to) at $250. and sold at $500. But then, I'd be twice as remorseful that I had given where it "went" and even to where it is today. Peace of mind is worth money, or the lack of it.

The choices we make
Map the roads we take
The rewards we rake
And the headache.

[ynot2k]

From the MarketWatch article SilverPalm brought:

“Never in my career have I seen such a complete failure of corporate controls and such a complete absence of trustworthy financial information as occurred here,” Ray wrote. “This situation is unprecedented.”

I guess John Ray, III was asleep when the Bernie Madoff scam details came to light.

Or "they" don't wish to bring up, again, the failure of the government regulators to see Bernie with open eyes (perhaps they just happened to be looking the other way.)

[redraspberry]

I hear sex tapes are coming out too....

“Sometimes Life Creeps Up on You” – FTX Owner and Dem Donor Sam Bankman-Fried Blames Ex-Girlfriend for Collapse of Company and $32 Billion Loss

https://www.thegatewaypundit.com/202...-billion-loss/

Bankman-Fried, 30, is still in the Bahamas following his company’s $32 billion loss, but openly spoke with Vox reporter Kelsey Piper through Twitter‘s direct message feature on Tuesday about his current circumstances with little remorse.

The FTX owner told Piper that his ex-girlfriend Caroline Ellison’s company Alameda was responsible for gambling and losing his company’s money – to which he was ‘oblivious’ until it was too late.

‘FTX technically wasn’t gambling with their money, FTX had just loaned their money to Alameda, who had gambled with their money, and lost it?’ Piper asked. ‘And you didn’t realize it was a big deal because you didn’t realize how much money it was?’

Bankman-Fried responded: ‘And also thought Alameda had enough collateral to [reasonably] cover it.’

‘It was never the intention,’ he later added. Sometimes life creeps up on you.’

When asked what he would’ve done differently if he got another shot, the FTX owner said he would ‘off-board Alameda from FTX.’

[SilverPalm]

From the MarketWatch article SilverPalm brought:



I guess John Ray, III was asleep when the Bernie Madoff scam details came to light.

Or "they" don't wish to bring up, again, the failure of the government regulators to see Bernie with open eyes (perhaps they just happened to be looking the other way.)

One Bernie Madoff quote has always stuck with me - "In today's regulatory environment, it is virtually impossible to run afoul of the law"

When Carter was in office, we had a savings & loan crisis that ended with a bunch of people going to jail for engaging in the unscrupulous & illegal practices that caused the problems. By the time the 2008 crash came around, the laws had been changed thanks to lobbyists, & those same dangerous banking practices were no longer illegal, so none of the financial meltdown root causes were still prosecutable.

[and4rik]

SBF had to be a set up. They, don't want crypto to have a better name than the dollar, and allowed these kids to fuq it all up. 130 and counting connected bankruptcies already last I heard.

[golditiki2]

IMO the difference between Bitcoin and all other kryptostuff which can be created like pancakes, is like the difference between physical and papergold, which also can be and is created like pancakes.

Papergold is a scam like FTX is. Just wait what happens when the run on papergold ( or papersilver ) starts... As always the one who gets out first is best served.

Golditiki2+++

[ynot2k]

IMO the difference between Bitcoin and all other kryptostuff which can be created like pancakes, is like the difference between physical and papergold, which also can be and is created like pancakes.

Papergold is a scam like FTX is. Just wait what happens when the run on papergold ( or papersilver ) starts... As always the one who gets out first is best served.

Golditiki2+++

I am almost entirely in agreement with this statement.

Touting "crypto" as being "as good as bitcoin" (like the statement "as good as gold" is used) is a disservice IMO.