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> It's not that SBF had a brilliant business model in mind They had the largest crypto exchange right? That's a competitive market. Seems like something was g
by starcraft2wol 3y ago
> It's not that SBF had a brilliant business model in mind
They had the largest crypto exchange right? That's a competitive market. Seems like something was going right.
- daveguy 3y agoI expect growth of a crypto exchange is a lot easier when you can steal client deposits to fuel additional growth.
- starcraft2wol 3y agoYou have it backwards. The deposits were used to fuel a separate trading business. All exchanges use customer deposits to grow their business.
- daveguy 3y agoNo. That is incorrect. A brokerage / exchange may not use customer assets for their own benefit. They are not a bank -- they are custodians. If they are doing that, they are committing a crime. https://www.law.cornell.edu/cfr/text/17/240.15c3-3 https://www.law.cornell.edu/cfr/text/17/240.15c3-3
- StressedDev 3y agoI believe Binance was bigger than FTX. That being said, it’s hard to tell how big any of these organizations really are because they do not release audited financial statements.