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The very first thing I though of when I heard about the bitcoin reserves was “that’s a great cover story to hide extracting more solid currency out of an obviou

The very first thing I though of when I heard about the bitcoin reserves was “that’s a great cover story to hide extracting more solid currency out of an obvious Ponzi scheme.” And low and behold it can’t be accounted for. This is my surprised face.

ackbar03 4y ago
But they are supposed to be a non-profit!
- mackman 4y ago
  I assure you the foundation won’t make a profit :-)
  - erung88 4y ago
    But those who setup the foundation will for sure make a profit.
berberous 4y ago
It's been 2-3 days since the entire thing blew up. Nobody said "it can't be accounted for", they said it's not yet accounted for. They will for sure account for every single BTC, but they have been, you know, busy with trying to deal with an emergency. See also Do Kwon saying the same thing: https://twitter.com/stablekwon/status/1525238422264172544?s=20&t=Uhp7zXWHHJb4ezAY8ZFxOw https://twitter.com/stablekwon/status/1525238422264172544?s=...
- igorkraw 4y ago
  The amount of trust displayed in a supposedly trustless ecosystem is amazing to me
  - moistly 4y ago
    Hey, if they didn’t have faith, they’d have nothing. Oh… wait…
  - berberous 4y ago
    Who said I trust them? Do you really not believe they will provide an accounting? Want to bet? These idiots lost people billions of dollars. I think they have a target on their back from pissed off investors, regulators, etc. There is no way they can avoid providing an accounting, and with BTC being onchain, it would be very hard to try to lie about what the funds were used for. But I never even said I trust their accounting, just that they will provide one. I imagine they may have made many transactions with the BTC during the emergency, and they are still dealing with the fallout. My only point was that pointing to two days of silence is a bit ridiculous. Things take time, and they have competing priorities. Give them a few days. Happy to bet any of the downvoters that disagree...
    - tarsinge 4y ago
      Which regulators? Also their “investors” will get their fair share of that billion, don’t worry about that. There is nothing to account for, don’t underestimate what a bunch of people can set up for a billion $.
    - deleted 4y ago
      [deleted]
    - pru567 4y ago
      Dae Kwon lives in Singapore, I imagine he'll find a friendly jurisdiction outside of US regulators.
koonsolo 4y ago
How is that a Ponzi scheme? That is just a scam.
- anm89 4y ago
  I'll never understand this. Seemingly, in modern lingo, ponzi scheme means "any unethical thing relating to investments". People will argue to death that any scam investment is a Ponzi even when they have nothing to do with the original definition
  - mackman 4y ago
    My understanding was he was offering 20% returns on investments and it seems it was paid for by new money coming in propping up the currency despite the dilution caused by interest payments. That sounded like a Ponzi scheme to me.

ackbar03 4y ago

But they are supposed to be a non-profit!

mackman 4y ago
I assure you the foundation won’t make a profit :-)
- erung88 4y ago
  But those who setup the foundation will for sure make a profit.

berberous 4y ago

It's been 2-3 days since the entire thing blew up. Nobody said "it can't be accounted for", they said it's not yet accounted for. They will for sure account for every single BTC, but they have been, you know, busy with trying to deal with an emergency. See also Do Kwon saying the same thing: https://twitter.com/stablekwon/status/1525238422264172544?s=20&t=Uhp7zXWHHJb4ezAY8ZFxOw https://twitter.com/stablekwon/status/1525238422264172544?s=...

igorkraw 4y ago
The amount of trust displayed in a supposedly trustless ecosystem is amazing to me
- moistly 4y ago
  Hey, if they didn’t have faith, they’d have nothing. Oh… wait…
- berberous 4y ago
  Who said I trust them? Do you really not believe they will provide an accounting? Want to bet? These idiots lost people billions of dollars. I think they have a target on their back from pissed off investors, regulators, etc. There is no way they can avoid providing an accounting, and with BTC being onchain, it would be very hard to try to lie about what the funds were used for. But I never even said I trust their accounting, just that they will provide one. I imagine they may have made many transactions with the BTC during the emergency, and they are still dealing with the fallout. My only point was that pointing to two days of silence is a bit ridiculous. Things take time, and they have competing priorities. Give them a few days. Happy to bet any of the downvoters that disagree...
  - tarsinge 4y ago
    Which regulators? Also their “investors” will get their fair share of that billion, don’t worry about that. There is nothing to account for, don’t underestimate what a bunch of people can set up for a billion $.
  - deleted 4y ago
    [deleted]
  - pru567 4y ago
    Dae Kwon lives in Singapore, I imagine he'll find a friendly jurisdiction outside of US regulators.

koonsolo 4y ago

How is that a Ponzi scheme? That is just a scam.

anm89 4y ago
I'll never understand this. Seemingly, in modern lingo, ponzi scheme means "any unethical thing relating to investments". People will argue to death that any scam investment is a Ponzi even when they have nothing to do with the original definition
- mackman 4y ago
  My understanding was he was offering 20% returns on investments and it seems it was paid for by new money coming in propping up the currency despite the dilution caused by interest payments. That sounded like a Ponzi scheme to me.