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Do Kwon in more trouble
- divs1210 4y agoHe's a towel.
- GauntletWizard 4y ago
- seibelj 4y agoDuetsche Bank was fined $700 million for helping launder $10 billion out of Russia. This is an astronomical sum and is merely one of innumerable cases of our largest government regulated banks assisting enormous crime at monumental scale. https://www.cnbc.com/amp/2022/04/29/prosecutors-search-deutsche-bank-hq-in-money-laundering-investigation.html https://www.cnbc.com/amp/2022/04/29/prosecutors-search-deuts... Yet crypto, a very small industry in comparison to other sectors, is despised and singled out as if technology by itself is suspect. Do Kwon may be a scammer and those that believed in a 20% guaranteed return may have been rubes. But crypto is a technology and financial crime existed well before the advent of crypto and will continue to exist whether crypto keeps existing or not. I think there is a certain myopia among technologists because crypto intersects so openly with economic activity whereas the traditional financial sector is opaque and wrapped in credentialed white collar employees wearing suits. Human nature - greed, ambition, desire, and all - exists regardless of the time and technology. One reason I am so intrigued by crypto is that for the first time engineers can hack on finance without any permission, licenses, approvals, regulations, borders, etc. This may turn out to be a bad thing. But I believe technology is neutral and overall I want to see how this experiment turns out. And as you are seeing with Do Kwon, and hundreds of other cases brought by the SEC and other regulators, criminals can be discovered and brought to prosecution even in the crypto space. This is not an industry that is immune to prosecution. So I’m apt to let the space develop. As engineers you are not required to work in the space just as you are not required to work in any other. Crypto has incentivized the research and improvement in decentralized systems, consensus, decentralized governance, advanced crypto specifically zero knowledge proofs and new curves not corrupted by government cryptographers. I am intrigued by what is happening and am not afraid by the negative events.
- mise_en_place 4y agoIt is the same white collar suits pumping up crypto daily on CNBC. That's why I'm skeptical of it, just like people were skeptical of watered stock during the wild west days of finance in the USA.
- seibelj 4y agoThe wise among us will put their wealth in index funds. The less wise may dabble in options and stock picking. The foolish may buy BTC and ETH. But not everyone who picks stocks and not everyone who bought BTC were foolish. And this is why letting me gamble my money on stocks, options, and crypto (or the casino) is not illegal. I wouldn’t be opposed to forcing everyone who wants to buy crypto to sign a letter saying (paraphrased) “I’m an idiot and if I lose everything I deserve it”. I’d rather you let the individual gamble rather than ban all speculation and risky endeavors.
- shimonabi 4y agoCrypto is just gambling now. Every day I'm watching my coworker spend all his "the boss is not around" time looking at the black screen of the Binance charts. It's sick.
- richardfey 4y agoHe'll get tired of it or lose all his money, whichever comes first.
- mise_en_place 4y agoI'm all for the free market and personal accountability, but there should be some safety measures in place to protect the most vulnerable, naive, etc from being destroyed financially by adverse selection. Schwab or Ameritrade won't just let you trade forex and commodities futures, futures options, and stock/etf options unless the application has been reviewed and the investor discloses they know the risk. It should be the same for crypto IMHO.
- 4y ago
- ravel-bar-foo 4y agoMinor correction: Naver is not a South Korean news agency, but a portal site. The original reporting was done by Maeil Shinmun (Daily Newspaper), which is an old (1950s) but otherwise not particularly notable paper out of Daegu.
- viceroyalbean 4y agoI get a link saying "go to original page" Here is the original article https://n.news.naver.com/mnews/article/088/0000761820?sid=101&_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=es https://n.news.naver.com/mnews/article/088/0000761820?sid=10...
- lifthrasiir 4y agoThe actual original article is at [1], which is paraphrasing JTBC's recent reporting [2]. [1] https://news.imaeil.com/page/view/2022060920542257730 https://news.imaeil.com/page/view/2022060920542257730 [2] https://news.jtbc.joins.com/html/673/NB12061673.html https://news.jtbc.joins.com/html/673/NB12061673.html
- kijin 4y agoNaver is just syndicating the article from Maeil Shinmun. They do this a lot, and split the revenue with the original publisher.
- Animats 4y agoStop him before he kills again. Look at the afterlife of LUNA. That tanked trying to support his stablecoin. So, a way was found to undo the crash, sort of.[1] You thought blockchains were immutable? No. Rename old token something else. Create new token called LUNA. Initialize new LUNA with balances from old LUNA as of 7 May 2022, referred to in the hype as the "pre-attack" date. So what happened? New LUNA crashed. Opened around US$20, now around US$3. [1] https://docs.terra.money/docs/migration/exchange-migration.html https://docs.terra.money/docs/migration/exchange-migration.h...
- justletit 4y agoHard to find a reason for new LUNA to exist now that the stablecoin idea did not work and collapsed. Nothing different than all the other platforms out there like Ethereum, Solana, Polygon now. Expect price to slide even further https://www.coingecko.com/en/coins/terra https://www.coingecko.com/en/coins/terra its $2.9 now, surely everyone have learnt the lesson
- bowsamic 4y agoAlgorithmic stablecoins probably (almost certainly) do not work, but other types of stablecoins should
- arcticbull 4y agoThe only kind of stablecoin that can work 100% of the time is one that's backed 100% by the currency it purports to maintain a peg to. Anything less than that cannot work 100% of the time. And that can be ok, but at minimum, the only one I'd touch with a ten-foot pole would be audited (AFAIK only the Gemini dollar is), and hold itself to the same standards as a proper money market fund. The problem is, you can't get rich off that.
- bowsamic 4y agoIn practise, people aren't going to try and withdraw 100% of the coins to USD. As another commenter pointed out, we would have the same problem in banks if everyone came to withdraw all of their money at the same time. It's probably not as risky as Terra. I agree that we should wait for auditing though.
- tholman 4y agoAm I missing something, or is "kwon-artist" a racism-style play on words much like say, "kung-flu"? Cmon... _edit_ ~ Sounds like I'm wrong here by the general sentiment, was taught not to use name's as puns :(
- 8f2ab37a-ed6c 4y agoLiterally not a single person except for you looked at it from that angle. Why stoke the fire?
- sbisker 4y agoThe headline struck me as unusually crass for HN even before I saw the parent comment. I was a bit surprised it wasn’t rewritten. So, I guess I’m a second person. Maybe it’s generational, but I was taught to avoid using names in puns. I definitely grew up with people who would make last name puns like this to put undue emphasis on race. If folks doesn’t even see why that would be a problem these days, I’ll take it as a win for society - but I think the question was in good faith.
- klyrs 4y agoYep. Making fun of "foreign" names is casual xenophobia. The fact that it's a pun doesn't excuse it. More generally, making fun of people's names is intellectual laziness and unprofessional at the very least.
- kortilla 4y agoIt’s not making fun of it, it’s using it exactly as it exists. “Bernie Madoff with my money”.
- unsupp0rted 4y agoI had the same reaction as you. Not that it's "crass" or "racist" or any other particular -ist or -ic, just that it adds nothing and seems like a childish pun attached to a serious story.
- DantesKite 4y agoI have to admit, that's definitely the best pun of his name I've seen so far.
- yellowapple 4y ago
- tarsinge 4y agoIs it okay to publicly joke on someone’s name in the US? Didn’t Basecamp got criticism for not even public and mostly English sounding name jokes a few months ago? I find this quite offensive to do this to a foreigner with a non English sounding name.
- numair 4y agoThose who are involved in this industry should be aware of this pending lawsuit: https://www.skadden.com/insights/publications/2022/05/putative-class-action-lawsuit-alleges-dao-members?sid=49bdc89c-9f37-4add-b562-c70b57e34072 https://www.skadden.com/insights/publications/2022/05/putati... You are going to see a lot of political maneuvering by the sorts of A16Z, Binance, FTX, Galaxy Digital, and — dare I say it — Y Combinator, to keep cases like this from getting very far. If all of this gets classified as general partnerships engaged in securities law violations (and worse, as per Terra/Luna), a lot of arrogant investors and market boosters will find themselves in more trouble than they imagined.
- chrisco255 4y agoBroadly classifying everything as a general partnership is not going to happen. Number one, there are already states such as Wyoming that have laws on the books allowing you to register a DAO as a DAO LLC. Number two, much of crypto is international and lawsuit will have no jurisdiction there.
- gnopgnip 4y agoYou can claim a state or country doesn’t have jurisdiction, but if consumers are harmed the courts see it differently
- goindeep 4y agoHundred percent this.
- chrisco255 4y agoAnd how are they going to enforce it or serve it? At any rate, no, there is no way that any online organized group of people (dao is a loosely defined word, except where legally defined and protected as in Wyoming) will be determined to be legally and universally and internationally jointly and severally liable. That's not to say that some suits won't be brought but even if bzx lost their case it would not be necessarily a reflection on other legal or political arrangements.
- prisout64 4y agoNo idea what I am looking at, but this reads like a cyberpunk novel subplot.
- spoonjim 4y agoThe vast majority of the people in crypto are "Kwon Artists," looking to book some gainz from whatever bagholder they can find. I feel bad for the normie grandparents who saw something on CNBC and bought in, but not for the crypto shills and grifters who lost their shirts in this.
- strikelaserclaw 4y agoIn a "true free market", a vast majority of people would get eaten up because they have no idea how to use their own brains and judgement to evaluate things.
- myraa 4y agothe best pun. took me one minute to get it hahahaha.
- noduerme 4y agoIt's incredible to me, but I have a friend who's still suggesting buying stablecoins that "pay" 9-12% interest after this. It's like some people are congenitally incapable of recognizing a ponzi scheme. When I pointed out that it was a lot of risk to trust a ponzi just to keep up with inflation, his response was "haters gonna hate". Look, Zhou Tong ran off with some of my money (Bitcoinica). GOX ran off with some of it. The obfuscation around the scam has evolved, the language and instruments have become more complicated (mostly for the purpose of suckering people who think they're not suckers, I suppose), but the basic scam is exactly the same. It's almost like crypto has become a living thought experiment in how many times people can be scammed and keep on believing.
- xwdv 4y agoWe really are in the golden age of scamming. People want money more than ever. But financial education and common sense is at all time lows. But also people have access to applications that allow for rapid investing at the speed of thought. And Crypto provides a vehicle for obfuscating transfers of wealth, from fools to scammers. Barriers to entry in creating a scam are very low. Social media allows for rapid propagation to unwary victims. Governments don’t do anything to protect people.
- noduerme 4y agoI'll go one further and say that with the exception of a few honorable pizza delivery services and casinos that were bound by their reputation, almost every enterprise involving crypto has been one kind of pump-and-dump scheme or another since day one. And I've got a metric fuckton of chat transcripts from early bitcoin founders in 2011 to prove it (some of whom are household names now, most of whom are wildly rich). I only got into taking Bitcoin because UIGEA cut my real-money gaming startup off at the knees right when I'd finished 3 years of coding and beta testing. I spent a lot of time in the gambling world with sharks, but Bitcoin was a whoooole other pit of snakes. And those [early Bitcoin] guys at least understood the technology and believed in the libertarian ethos of it, even if they were also the first to understand how to manipulate the market. What's gross is watching a whole generation of scammers and marks who don't even fundamentally understand what's going on. IMHO financial education is pretty simple: Don't take on debt. Don't invest in people who take on debt. Don't invest in something that's too good to be true. Save as much as you can. Save something from every paycheck. Buy stocks that pay dividends, reinvest and don't touch them until you're dead. Don't dip into capital. Don't ever sell real estate. It's not hard, it's not complicated, it's just not fast. If it's fast, it's too good to be true; see step 3.
- chris123 4y agoFor anyone who hasn't figured it out by now, every coin with some guy or team or venture capitalist or a combination thereof behind it is a scam for self-enrichment, and eventual rug pool or a failure, after they've sold their pre-minded coins, Bitcoin is the only truly decentralized, secure, digital gold. Are just scams that won't eventually go the way of Luna and the others