2 ms·
I'm sorry for your loss but I hope you take this as a lesson that crypto is just snake oil. Some in these comments try and paint this as just an FTX problem but
by jmyeet 4y ago
I'm sorry for your loss but I hope you take this as a lesson that crypto is just snake oil. Some in these comments try and paint this as just an FTX problem but it's not.
For cryptoskeptics such as myself it's been fascinating to watch as the crypto world speedruns the lessons of debt, finance and the banking system that led them to work the way they do. A lot of otherwise smart people in other areas discovered those smarts don't automatically transfer to disrupting the financial system.
What ultimately underlies the financial system--including crypto--is trust and, beyond that, the military might of governments.
To your specific case, I saw a quote (that I can't find) that basically said that any investment consistently offering above-market returns is eitehr a scam or has risks that you cannot see.
Bear Stearns returned above market returns every month until it didn't, and that was that.
- tombert 4y agoYep, I replied in a sister comment [1], I am wholly turned off by cryptocurrency at this point. I was kind of enamored with the tech behind blockchains (and to some extent I suppose I still kind of am), and saw the insane growth it was going through, and drank the stupid kool-ade. Seeing it all go pear-shaped has really highlighted why we regulate banks in the way that we do. It's not perfect, but I sleep better knowing that an actually-insured bank won't really run away with my money. [1] https://news.ycombinator.com/item?id=35907377 https://news.ycombinator.com/item?id=35907377