[ExI] bitcoin again

[Dylan Distasio]

SBF also made a lot of enemies in the community with his self interested
lobbying and money laundering operation for the DNC.   He did not exude the
typical anarcho capitalist vibe that powers the majority of the space.

I'd also point out what he did was fraud, plain and simple.   He's crypto's
equivalent of Maddoff.   It just so happens he did it with crypto.

If he doesn't end up in jail, it will only be due to the fact that the DNC
doesn't want its dirty laundry aired in discovery/at trial.  He was also
pals with the head of the SEC, Gensler, who is anti all crypto outside of
apparently FTX.



On Sat, Nov 26, 2022 at 5:23 PM Stathis Papaioannou via extropy-chat <
extropy-chat at lists.extropy.org> wrote:

>
>
> On Sun, 27 Nov 2022 at 08:55, spike jones via extropy-chat <
> extropy-chat at lists.extropy.org> wrote:
>
>>
>>
>>
>>
>> *…*> *On Behalf Of *Stathis Papaioannou via extropy-chat
>> *Subject:* Re: [ExI] bitcoin again
>>
>>
>>
>>
>>
>>
>>
>> On Sun, 27 Nov 2022 at 02:18, spike jones via extropy-chat <
>> extropy-chat at lists.extropy.org> wrote:
>>
>>  …
>>
>> >…I am a total cryptocurrency exchange virgin… do feel free to offer your
>> take on this article, which (guessing by their choice of advertising) might
>> be a parody:
>>
>>  "There Will Be Pain" - Binance's 'CZ' Floats Billion Dollar Bailout For
>> Distressed Crypto | ZeroHedge
>> <https://www.zerohedge.com/crypto/there-will-be-pain-binances-cz-floats-billion-dollar-bailout-distressed-crypto>
>>
>> >…A few months ago SBF was saying much the same things: crypto lending
>> services were in trouble, but FTX was solid, overflowing with money, and
>> would save the crypto world. It turns out that the reason he was saying
>> these things was that he knew FTX was in trouble and wanted to boost
>> confidence so that the value of the FTT token securing loans would be
>> maintained, customers would not withdraw their funds and maybe more VC
>> investors would invest in the company. It was working until CZ decided to
>> publicly declare that he would crash the price of FTT he held (which was a
>> lot, from a previous deal with FTX) by dumping it all.
>>
>> --
>>
>> Stathis Papaioannou
>>
>>
>>
>>
>>
>>
>>
>> Stathis, do forgive my tyro queries.  Did you mean that CZ intentionally
>> crashed the FTX token even though he held a lot of them, reducing his own
>> net worth, in an effort to intentionally wreck a competitor?  Perhaps this
>> was an attempt to buy the tattered remains of FTX for a song?
>>
>>
>>
>> Seems self-defeating, but perhaps effective.
>>
> CZ had over $500 million worth of FTT tokens, and he announced on Twitter
> that he would sell them. The CEO of Alameda Research offered to buy all
> these tokens at a fixed price (around the market price prior to the tweet),
> but CZ said no: he was going to sell them on-market. At the same time, it
> came to light that these tokens were being used by FTX as collateral for
> loans. Normal practice in the crypto world is to use coins such as BTC or
> ETH as collateral for fiat loans, which are liquidated if the borrower
> defaults or if the value of the collateral drops below an agreed amount.
> But using a coin that you created, the value of which depends on the
> financial health of your company, to secure loans to yourself, can
> obviously lead to trouble. CZ saw an opportunity to give the toppling
> edifice a push, bringing it all down.
>
>> --
> Stathis Papaioannou
> _______________________________________________
> extropy-chat mailing list
> extropy-chat at lists.extropy.org
> http://lists.extropy.org/mailman/listinfo.cgi/extropy-chat
>
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://lists.extropy.org/pipermail/extropy-chat/attachments/20221126/ea163d10/attachment.htm>