4 ms·
> FTX issues FTT tokens (print money) => lends to Alameda to put under the asset balance => Alameda borrows money from outside against its assets or uses the as
by johnvanommen 4y ago
> FTX issues FTT tokens (print money) => lends to Alameda to put under the asset balance => Alameda borrows money from outside against its assets or uses the asset/coins to invest in others => win with thin air!
The Federal Reserve issues US dollars (print money) => US Treasury borrows money from The Federal Reserve, Japan, China and the UK against its assets or uses the asset/coins to invest in others => win with thin air!
- ackbar03 4y agoThis is actually... extremely apt. It is commonly referred to technically as the dollars exhorbitant privilege. It would seem FTX managed to exploit this phenomenon on a micro scale. Until it didn't of course lol
- presentation 4y agoYeah but the US can destroy you diplomatically, militarily, and economically if you try anything funny.
- johnvanommen 4y agoOf course! That's why it's so important for the US to encourage the use of the USD on a global basis, and also spend billions on the US Navy.
- phatfish 4y ago> The Federal Reserve issues US dollars (print money) => US Treasury borrows money from The Federal Reserve, Japan, China and the UK against its assets or uses the asset/coins to invest in others => win with thin air! Win with the largest military in the world and all tangible assets and influence the US has.
- deleted 4y ago[deleted]
- snowwrestler 4y agoUltimately the fiscal operations of the U.S. government are backed by the total assets of the U.S. (public and private), which are far larger.