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This has nothing to do with the technology of cryptocurrency. In fact, it's the complete opposite. What people are doing with FTX is taking their money off of
by ilaksh 4y ago
This has nothing to do with the technology of cryptocurrency. In fact, it's the complete opposite.
What people are doing with FTX is taking their money off of public blockchains and giving them to something like a bank or stock exchange where ultimately customer funds are accessed in secret. This is again, antithetical to cryptocurrency which has the main features of avoiding the necessity of banks for operating with digital money and having a public, mathematically verifiable ledger.
All of this nonsense is people using the interest around cryptocurrency to promote what is essentially gambling.
Some people have even theorized that they were intentionally trying to sully the reputation of the technology since it makes old fashioned financial institutions obsolete, and the family has strong ties to the establishment (with massive investments in old-fashioned financial schemes).
- nicbou 4y agoThe technology enabled countless scammers and hackers to disappear with people's funds. It's daily news. Failing exchanges are just an off-chain variant.
- michaelcampbell 4y agoI'm not in this space, but this very much feels like "it isn't working because you're doing it wrong".
- ilaksh 4y agoI'm just trying to explain what cryptocurrency is and how that is different from cryptocurrency exchanges. Cryptocurrency speculation on centralized exchanges literally does not use cryptocurrency and it's a shame that people think that's what it is. What cryptocurrency actually is is a secure and auditable way to do transactions and record keeping in a very large group of people. That's what I and many other people use it for. Completely unrelated to day trading, and using the actual chains.
- kayamon 4y agoIn general in life, things don't work if you do them wrong. Things working requires doing them right.
- throwawaylinux 4y agoThe problem is the things that don't work right if other people aren't doing them right.