Discussion in 'General Discussion' started by terosis, Jun 20, 2017.
Hahaha holy shit
My biggest worry with crypto was always having the exchange get shut down, losing my passwords, etc. This kind of thing happens at a large enough rate, that you can’t just shrug it off. Binance is probably pretty safe, but even they come with a risk that is impossible to quantify.
Responsible people are not going to heavily “invest” in something in which they can lose huge amounts of savings because they got drunk one night and misplaced their wallet, or because an exchange decided they didn’t want to pay.
If crypto is ever going to be a real thing, that sort of risk needs to be dealt with. I only played around with an amount of money that was more or less insignificant to me, because of the risk of just getting FUCKED by tether or an exchange.
In mathematical finance there is actually a separate factor for this when evaluating an investment. If I recall correctly, my ex-banker prof called it the "institutional risk" of whatever entity was handling your money. The risk associated with a bank account is entirely the institutional risk of the bank folding, which for small investors is usually mitigated by various national insurance schemes (e.g. the EU guarantees EU bank accounts up to 100k EUR). So the concept isn't new, but I'm not sure if real quants have actually managed to get a good estimate for crypto.
I guess this applies to managing your own crypto wallet too. Your level of irresponsible drinking is directly correlated with your "institutional risk"
Think of this extended crypto recession as more time to decide what color your Lambo is going to be.
In seriousness, I do miss the trading aspect of crypto. It was fun and kinda like playing a video game for me.
I spent Christmas Eve 2017 making BIG CRYPTO GAINS and ignoring my family. It was great.
yeah that shit was fun times 4 sure
Fintech crypto bulls need to read this article: https://arstechnica.com/tech-policy...eating-a-cryptocurrency-pegged-to-the-dollar/
This is playing out exactly like I said. The big boys might be interested in the tech, but they are going to fork the code and circumvent the public blockchains (coins). ETH would gain very little in value from JP Morgan using a fork of the tech.
"Quorum also jettisons the wasteful proof-of-work algorithm that secures the Ethereum network in favor of a simpler scheme that relies on majority voting among network nodes."
They basically took that from Nano. lol.
“... However, court-appointed auditor Ernst & Young was able to crack Cotten’s laptop. What they found, according to an EY report dated March 1, was that the accounts had been emptied in April 2018, eight months before his death...”
Shut up and take my money, cryptos.
Dark story there. Cryptos stable recently though and at more realistic values. Too many dark stories about cryptos. Still probably solid long term. Anyway, the story and time continuum rolls on. Cryptopia thankfully back online with presumably everything except ether.
Very interesting story where they seemed to have tracked Quadriga's owners back to Ponzi schemes from the early 2000s.
Doesn't this quote sound familiar, considering all the 'hacks' there are of cryptos?
"When an HYIP [Ponzi] scheme collapses—and they always collapse—the collapse is generally blamed on a hack, a theft or a bad investment—some type of external event that is plausibly at arm’s length from the operator. When that happens, the HYIP operator begins issuing “refunds”—in good faith, of course.
Some HYIP operators even go through the effort of setting up long-winded spreadsheets, and paying back dribs and drabs over months."
Binifex, one of the biggest crypto exchanges ‘loses’ almost $1 billion and tries to cover it up.
“Bitfinex, unable to find a bank that would work with it, entrusted more than $1 billion in co-mingled client and corporate deposits last year to a Panamanian firm, Crypto Capital Corp., according to the civil case brought by New York Attorney General Letitia James, a Democrat who took office in January. Bitfinex was allegedly using that firm as an intermediary to wire dollars to traders.
“Despite the sheer amount of money it handed over, Bitfinex never signed a contract or other agreement with Crypto Capital,” the attorney general wrote to the court. By mid- to late-2018, executives at Bitfinex and Tether suspected Crypto Capital had lost, stolen or absconded with the money, and they haven’t be able to find or recover roughly $850 million, she said. “None of that has been disclosed to investors.”
We already knew bitfinex and USDT was shady. Its no surprise.
Omg tether is about to become so CHEAP
India moves towards completely banning cryptos.
“Such schemes are neither transparent, nor do they fall within any regulated legal framework. Many of them are run as ponzi schemes, it said adding that these schemes were being used to “defraud gullible investors”.
India should worry more about street shitting
is there a BiglyCoin run on a TrumpChain? i've got a small life savings that needs to get in on this crypto moonbeam
$1 of USDT only has 74% of it backed, claims lawyers for USDT. It all comes to light. Probably another significant and fast drop in crypto prices coming soon.
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