FTX

Stomach_Swimming

So, Bitmart decided to go the way of FTX. Is Bitmart USA closing down, too?

Romanizer

Yes, it deflected from the 200DMA, just like it did in May of this year at $82.5k. the last days we went through the 200DMA on high volume and left it behind us. Combined with the fact that bears were not able to slice through 200WMA and showed seller exhaustion, the situation is pretty clear, together with on-chain data signaling beginning bullish momentum. There are indicators that are much more reliable than day counts. And of course, you would need an FTX-like event.

Romanizer

And power law would need to break together with 200WMA. Last cycle we had a cascade of systemic failures and liquidations with the FTX crash as a finale. Still, power law held. This cycle, we are far from any kind of comparable failure. $57k was already much lower than anyone could hope for. It was a gift for a generational market entry.

hippofire

We also had FTX

DaVirus

0. Lost it all in a boating accident/FTX collapse/Trezor wrench attack/ColdCard hack.

Sacredwisp

You were in the majority a week ago. Everyone and their mother saying one more leg down in October. Long term holders undereater is comparable to other bears. Sellers are exhausted. We hit bullish divergence already. We had 3 legs down like the last bear market. We had another leg down a few months ago, and it barely swept the low. To me, it felt a lot like FTX. We had price capitulation in Feb and time capitulation all year. We didn't hit any of the top indicators and had a distribution rather than blowoff top, but we hit about half the bottom ones. It's possible the low isn't in, but I find it hard to believe at this point. In a bear, we take the escalator up, elevator down. In a bull, the opposite. We'll, we just had our elevator up.

LargeSnorlax

Buttcoin is a LARP sub nowadays. Before it was a place where 60 year old men could sit back on their blood money duvets and complain about the nonexistent digimal tokens and how they had any value at all, but since 2021 it's become inundated with failed crypto traders who lost their shirt during the FTX collapse and have made it their life mission to screech about how crypto is a scam because they suck at it. Go ahead, look at all the accounts there. All fresh, all cleaned. Most have cleaned out their history, but if you know how to check, the internet doesn't forget. They're all over the place on all sorts of altcoin forums, saying to the moon and other such nonsense - Until the prices *weren't* going to the moon. Now it's a scam, a scheme, a pyramid, any other words they can throw at it. The same dudebros who were cheering for SHIB to be $1 are the same denizens of /r/buttcoin now, forever cursed to be posting about how the thing they completely failed at is a scam, because *reasons* that totally have nothing to do with that.

Xennenial

I bought through the bottom of the COVID crash, the bottom of the FTX crash and the bottom during the last 7 months. I took profits during the bull runs that proceeded the first two aforementioned crashes. I'll take profits during the next bull run. All the people who talk shit about crypto are the ones that are too incompetent to make money in this space.

Left_Entrepreneur918

I remember after FTX btc rallied to 25k, the moon boys came back and boom we went below 20k again. Bears can have rallies

NerdyKid1101

It's been so crazy this cycle haha the only other time we've stayed under the 200 week MA is when FTX collapsed so we very well could stay under it for a while but regardless, It's a good sign we've hit bottom.

quintavious_danilo

Not that I know of. They big players are all set up pretty good after that FTX disaster. Some smaller exchanges recently closed shop but that wasn’t even moving the price at all.

Left_Entrepreneur918

I bought .5 the day after FTX crash when it hit 15,500. I thought blood in the streets. I had an inheritance left over.

ubermensch1001

What's crazy to think is that post FTX around late November-December of 2022 we were at around 16k and about 14-15 months later already setting a new all time high. Don't underestimate how fast this can recover and how quickly we can get back above 100k and even setting a new all time high.

fan_of_hakiksexydays

We still went down more than 70% in early October before the FTX/Luna crash. FTX imploded in November, and crashed the market even more down to around 78%.

devCheckingIn

There is the argument that the last cycle's low occurred in October only because FTX went kaboom, and there's no guarantee we'll get a similar-sized black swan event this time around.

Specialist_Ant116

Welcome to the party, boss! Withdrawals have been frozen since the announcement on July 26. We are mobilizing globally to freeze their assets and get out money back. You have just entered a mini-FTX! Connect with the rest of us on telegram or X I guess.. Start filing reports to your national cybercrime department

Django_McFly

A lot of people feel like *if any of them had an issue, then all of them must have the issue* and no amount of like reputable operation or regulatory approval can change it. If FTX was stealing customer funds, then literally every exchange on the planet must be stealing customer funds. If 2026 Nissan Altima's have a brake system recall, then every car must have a brake system recall.

boldstrategies

The fortune cookies at this one Chinese restaurant I go to had their fortunes sponsored by FTX. This was a year or two ago.

tenor_tymir

You were lucky so far. Not a very long time ago, FTX, Vovager, BlockFI, Mt.Gox and Bybit either closed shop or had hacks into the billions. You were lucky you didn’t choose any of them because you definitely could have.

TerminatedPotato

FTT (the FTX crypto) has gotten as low as $.20 per coin but still hasn't hit zero. People don't seem to realize how stupid it is to say "Bitcoin goes to zero". Tbf though it's the same logic that makes me wonder why Saylor said "It's going up forever, Laura." It will break a million. Probably 10 million per coin in my lifetime. The one thing it can't do is go up forever.

MarioWilson122

Nah, millions of others are far worse for the reasons I described, since people actually got completely scammed, remember BCC, FTX, etc. Also, the ghoul, which I guess is Elon, was not a part of DOGE in the '13 or '17 bull run, and it still did very well, so we can't just ignore that. Enjoy just making up stuff since you dislike it so much.

betterthanluck

Seriously, only Pros like me use Voyager. Experts use FTX or Mt Gox

Illustrious-Boss9356

Is the value not taken from one group to another when Mt Gox or FTX collapse? When sophisticated phishing schemes work? When Coldcard seed gen is compromised? Or when quantum breaks ECDSA? Or when the network needs to increase coinbase subsidy to keep the network secure? Or when mining is only viable with purpose built ASICs which has centralized mining to a few groups of the "fiat incumbent" crowd? Cmon now.

gwizonedam

I live in Miami. I used to see so much FTX crap in my local goodwills. It’s tapered off quite a bit, but it felt like it was a donation free-for-all for a few months there a few years back.

hrad95

I thought I was a hero for buying during the FTX crash lol

fan_of_hakiksexydays

I remember last cycle when so many people thought $36K was the bottom (also nearly 50% like now). We bounced back, and it looked like we were recovering and the bear market was over. In a very similar way to when we dropped to $60K this year. Then just like when we dropped again to $58K recently, back then there was a drop to $29K, then a bounce back. Then we dropped to $20K, it looked like that was definitely the bottom. But then we had the FTX/Luna fiasco. When you think the bottom is in, there's always another bottom lol.

ZascandileandoAndo

Next time instead of "SBF" just say FTX ffs, not everyone needs to know all your shitty acronyms

Consistent-Ad-8802

But we didn't have a an FTX type of event this time and the same amount of time as every other cycle hasn't passed?

Consistent-Ad-8802

But we didn't have a an FTX type of event this time and the same amount of time as every other cycle hasn't passed?

piggleii

1. They learned from FTX not to do stupid shit with other people's money. 2. They've pivoted to allowing perps trading on "real word assets".

ellis1884uk

Im actually the opposite, dodged Gox, dodged Quadrigacx, dodged FTX & Genesis (was accredited investor) and now Coldcard (never liked NVK)

DifficultSquash1517

I just did a quick search it seems that people that lost $50,000 or less got $119% of their FTX money back and those that lost $50,000 or more got 98% back Seems to depositive things never make it to the headlines the old "if it bleeds it leads" mentality in reporting Even the Nernoe Madoff , 83% of all the money was returned to victims

Ok-Sympathy9768

Anecdotally, my personal experience, i got into bitcoin late, I lump summed in at around 3k years ago ( I didn’t stack “sats”, I stacked bitcoins); saw that go to 69k and saw it crash back down( my exit strategy in 2021 for half my stack was the 75k price point; which never happened ). I lump summed in again after FTX shit show because I was still up overall and had strong conviction ( scarcity, decentralized, financial independence from 3rd party, and the promise of mass adoption; BTC was a sacred cow). I road it up to 120k+ this cycle and thought it was going to the moon to at least 150k; which was my new exit strategy price point for half my stack. I was wrong and it didn’t moon but crashed again, lesson learned. I sold off almost all my BTC investments, all in tranches starting in the 95k range; I made life changing money because of BTC and left life changing money on the table. Now, I will only hold a few bitcoins worth exposure, and only in ETFs, in a tax advantaged account just in case it does moon (I own zero actual bitcoins or sats). This is why I believe it’s a 4 year cycle; at best.. if bitcoin was going to moon like it supposed too, it would have not crashed back down this time If you want to invest in BTC as if there is zero evidence of a “4 year cycle”/DCA, that is your choice. I will gladly take the other side of that trade.

Puzzleheaded-Dot-762

I'm sure people told him to buy a hardware wallet after the FTX fiasco. If he starts buying ETF, I'm selling my IBITs. 

Fearless-Sherbert-40

Broskie, I had FTX and a Coldcard, but spent my gains on drugs before I could get rich. Now I’m in debt to rehabs with health insurance bills and a criminal record from all the scandalous shit I did so I am unemployable. There’s always a silver lining my dude. I’m only investing in Pokemon cards and meme coins from here on out. I know if I make any kind of significant money, it’s going up my nose. Stay broke my friend, money is evil.

ElderMight

There was a person who posted on the cryptocurrency sub back in 2023 that they lost $50k+ on Celsius. Then they invested $25k on FTX which they also lost. They finally bought a ledger after that but got spooked by the ledger recovery feature and moved their coins in a panic to Atomic wallet, which got hacked and stole $100M from users. At least you're not this person.

Jenn2895

I hear your concerns w/ Eth & also managed a Btc average last cycle of $20k. Did the bulk of buying after FTX crash & Xmas 2022. Sold it all when I 5x’d. Which is great in the markets in general, but not so much for crypto. To be honest I’m not too excited about Btc or Eth this cycle. Simply due to their high market caps. They are definitely safer bets now. Which is great risk wise, not so much return wise. But I think box will pull off at least a 3x. Probably higher for Eth b/c of RWA, Ai agents, global finance moving on chain, & supply squeeze since 1/3rd is already locked up in staking. Decided to go heavier into $Link now. Market cap is lower, $7B. They also have a lot of partnerships, patents & basically positioned themselves to be critical infrastructure for Web3, Defi, Global Finance, etc. Think Chainlink will easily 10x this cycle. Possibly much higher, but 10x easy. Been trying to find some small caps w/ strong fundamentals & utility. So if you got any leads I’ll def take a look. Last cycle I threw some $ on SwftC just b/c they had a micro cap, $5M, were already available on a major exchange & had utility. It’s so much easier to get over a quick 10x when the market cap is so low. I avoid memes though. I have 1 & it’s literally just for the meme b/c I like paying or gifting people “magic internet money” 🤣.

Ok-Pea4148

People in early 2008 also thought banks were now mature and could not collapse like they had done in the past ... Whoever thinks we will not have another MtGox or FTX is mistaken. Just because an exchange is big and "mature" does not mean it cannot collapse. Even Coinbase, Kraken or Binance can collapse. The question is not whether it will happen but when. And when it does happen, Coldcard will look tiny in comparison

Tasty_Action5073

Mtgox, FTX, and all the others send their regards. The risks of exchange outweigh the risks of self custody.

ubermensch1001

Bro, the liquidations from the crypto lending space, FTX, etc. from way back in 2022 was substantially larger overall than what's been going on recently and when the market cap was much lower.

Quick-Mention7916

If FTX and Luna didn’t kill crypto, honestly nothing will. Just relax. Same shit happens every cycle lol.

_Commando_

Tell that to MtGox, FTX, and all the others in between.

JohnnycompUtah

I genuinely don't even understand hating Bitcoin so much to frequent a subreddit about it. It's an asset that that no one is forcing you to buy. I remember when BTC crashed after the FTX collapse, all of my most big-brained friends were laughing about how it was going to zero. True geniuses.

Timely-Fig2030

Okay, then i recommend you to checkout the Internet Computer Protocol. (ICP) Everyone says it's dead, but when you look at the tech you will be sucked into the rabbit hole. This thing went from 2021 centralized pump and dump (FTX perps and seed investor dump) to a decentralized world computer, that has become truly decentralized through the NNS. Seed investors have dumped long ago and everyone is underwater. Most fail to see the potential because of it. I can see it though. There is only 1 world computer. BTC led to ETH. ETH will lead to ICP.

Individual-Scar-5726

Release price was manipulated by FTX perpetual futures

derbyfan1

I thought the same when I held on Celcius. And then on FTX. What could possibly have gone wrong???

ChickenCari53

The fear of messed up self-custody is real for beginners, but trusting third parties just trades technical risk for counterparty risk. Ask FTX users how much those regulatory filings helped them

Deep_Condition3696

In every hack or steal, there's a win. 1. Coldcard won in FTX Exchange Collapse 2. Binance , an Exchange, won in Coldcard Collapse

DyehuthyTV

But that doesn’t solve the 'risk of losing your Bitcoins' An ETF is managed by a third-party entity (*asset management companies*) if they go bankrupt or their ETF no longer has the custody of that Bitcoin (*e.g are hacked*) or they do bad things with it (e.g FTX) investors in these instruments may also lose all their Bitcoins. S,o there is no method or way to custody Bitcoin at zero risk.

Left_Entrepreneur918

Damn really, I thought in 2022 the day after FTX, this shit is done. BTC was at 15,500 and well under the last market high of 20k. I remember I had half of my inheritance left and thought. You’ve lost money on everything so just do the opposite. I became a whole coiner that night. But if you are talking Alts, yeah technically it’s been a bear since 2021 lol.

Odra_dek

Only, last time previous ATH didn't act as support, price went significantly below after FTX crash

PutAdministrative809

A $2T market cap doesn’t magically make an investment environment serious or safe lol. Madoff had \~$65B in purported client assets. Enron was one of the largest companies in America. FTX was valued at $32B. History is full of enormous valuations attached to fraud, speculation and fundamentally broken systems. And “$2T market cap” doesn’t mean $2T of cash was invested in Bitcoin. It’s supply × the current marginal price. Size proves people are willing to assign something a high price; it doesn’t prove the market surrounding it isn’t manipulated, corrupt or irrational. BTC having a legitimate use case is an argument. “It’s worth $2T, therefore the investment environment must be serious” isn’t. And everyone keeps acting like “regulatory clarity” automatically fixes this. It could easily do the opposite. If the rules are written around institutional custody, compliance and access, the biggest players get a cleaner playing field while retail gets boxed into whatever’s left. Crypto doesn’t magically become a fair market because BlackRock and Wall Street get clearer rules for participating in it. If anything, institutions are the ones with the capital, lawyers, infrastructure and political influence to benefit most from whatever framework gets built. Retail getting fucked while institutions get preferential access would hardly be a new chapter in financial history.

ccts817

Listen, i've been using Bitmart for years, without issue. Even recent withdrawal in mid July 2026. I wonder what happened to them...sounds like another FTX lol

TheAudacityofHopium

I've been a BTC enthusiast for a couple of years now. I've honestly never seen anything as devastating as the Coldcard hack. I'm angry and sorry for all of the people who trusted Coinkite and lost everything. However, even now, as bad as it has been recently, I'd say that self custody is still the answer. Your chances (historically) of losing everything to an exchange because you decided not to self custody are still extremely high. We've seen too many big companies fail....Mt. Gox, Celsius, FTX, etc. The way I see it: if you self custody, your chances of making it are still much higher than if you let an exchange hodl your coin for you. It's rough, but you have to try your best, because an exchange at the end of the day is still worse by a long shot. Again, I'm really sad about the hack, but that's part of what big governments like North Korea and China want you to do: stop self custodying and give it to companies from which the bitcoin can ultimately be seized.

ClearSnakewood

Bitcoin lending is how corps steal your coin. BlockFi, Celsius, FTX already showcased how that works. Keep your coin in self custody, away from these paper games, and sell when you really have to. And NO, this time it’s NOT different.

fan_of_hakiksexydays

lol I don't know about $20k. If cycles continue on the same course, $40K sure. Maybe $30K if exchanges and crypto banks run into major problems and if ETFs start to panic. $20K, maybe if MSTR shits the bed and we get a Luna/FTX level event.

1dabaholic

MSTR failing will be the mt gox, FTX, bitconnect, etc of this cycle

kardanokid

200W MA - Cheap BTC Cold Card Hack was the FTX of this cycle, BTC still didn't dump BIP 110 was outcast by miners.

HKBFG

and FTX was a stock brokerage?

ecrane2018

FTX traded tokenized stocks, but people are just weary of any centralized exchanges because of what happened in the past with an exchange people trusted.

PoopKing5

FTX customers also got their money back. Sure, it sucks that they didn’t experience their crypto appreciation, but getting your money back is better than the zero you’d get with losing keys for cold storage. FTX folded bc of their prop trading, not because their custody platform failed. CB/Kraken doesn’t have a similar risk profile in any way as an exchange/custodian

harvested

You literally just said: "more lost in self custody even with those." and I can't ask for your source? Fucking clown sub. - Mt Gox (2011–2014): ~850,000 BTC - Bitfinex (2016): 119,756 BTC - FTX (2022): ~80,000–100,000 BTC-equivalent shortfall - Bitcoinica (2012, three incidents): ~102,000 BTC - Linode breach (2012, hit Bitcoinica/Slush/others): ~43,554 BTC - QuadrigaCX (2019): ~26,500 BTC - Bitfloor (2012): 24,000 BTC - Bitstamp (2015): ~19,000 BTC - Cryptsy (2015): ~13,000 BTC - Picostocks (2013): ~13,100 BTC across two hacks - Bitcoin7 (2011): ~11,000 BTC (reported) - Zaif (2018): ~5,966 BTC (plus other coins) - Binance (2019): 7,000 BTC - Mintpal (2014): ~3,700 BTC - Poloniex (2014): ~97 BTC - Flexcoin (2014): ~896 BTC

harvested

Look up mt gox, FTX, Celsius, and many more

tiktaktok_65

FTX was never a good one. It was just popular.

Todo_es

Exactly, it is incredible how many people have misinterpreted what happened. Individual centralized companies (Coldcard, Bitpay, FTX, MtGox, Celsius, etc.) will always have failures. Bitcoin is secure. Cybersecurity expert Roman Yampolskiy to Rogan: "If someone could hack Bitcoin, there's a trillion dollars sitting there. The fact that no one has claimed it tells me it's secure". https://youtu.be/j2i9D24KQ5k?t=7895

eXch-Affiliates

FTX was never considered reliable by anyone vaguely familiar with crypto. I don't know anyone who used them.

MakCapital

FTX had no time to even build trust before it collapsed and everyone ran to pick it apart instead of forming a real recovery plan. Kraken has been fighting for users and this industry from the start. Fought hard on privacy and self custody too. One of the few good actors.

No-Masterpiece2246

I'll never know if FTX was a scam? What are you smoking? Or just AI bot

TotalRepost

Except it wasn’t. I think you’re talking out your ass. Did you know Sam was about 1/3 of the trading liquidity at Bittrex before he found FTX? Liquidity is king for an exchange. It’s why Binance is still around. If wintermute wanted to start an exchange it would be a top 5 the first day. But you probably don’t even know who wintermute is so I’ll let you google that

TCr0wn

No bro. FTX came out of no where making bigger than life promises. Your full of shit or just ignorant tbh

ftball21

No it wasn’t. FTX came out of nowhere and had clearly unsustainable earning rates (5% on all assets if I remember correctly). Coinbase, binance and kraken are the only centralized platforms in crypto I trust 🤷🏽‍♂️

Drspaceman1717

FTX was the most popular and well known…

Drspaceman1717

But this is also exactly what they said about Celsius and FTX. Just be patient while your investment becomes insolvents.

Actual-Indian

Staying out of jail longer than FTX

Awkward_Potential_

I'd buy more then. Thats how I played FTX. I bought the crash then I bought the crash again. Eventually it stops crashing. 

seaningtime

He's going to be remembered as a major catalyst for a giant crash at some point, like FTX and Celcius.

MushrooGuy

CRO has always seemed like a modern day XRP/FTX. Another controlled pump and dump on the holders spread out over a long time

nachtraum

Actually, if you have bad news like millions of $100 got hacked, and MSTR selling thousands of Bitcoin, and Bitcoin price is neutral, this is often a good bullish sign. For example at the end of 2022, Bitcoin just dropped from 22K to 15K in the FTX aftermath. Then there were a bunch of further bad news coming out but price didn't care. It signaled the bottom of the cycle. Not saying it is assured we are the bottom, but feels good.

pop-1988

Multisig is a waste of time and a risk against future wallet recovery Strong passphrase means different things to different people - that's why passphrase wallets are being drained Corporations are worse at wallet management than ordinary Bitcoin users You're probably too new to remember FTX. That's why Mtgox and FTX will continue to repeat

kpooo7

I have had my BTC investment in Grayscale GBTC at Fidelity since 2021, always hearing no keys not your Bitcoin. After the FTX shit show and now this hack, sucks for people. I still have my investment and I only have to worry about the market!

No_Investigator3369

why were they shilled so heavily for so long?. it just feels very FTX like. I feel like we were one step away from having Matt Damon show off his cold card

Days_End

Nah honestly I think it makes zero impact. FTX tanked cryptos public view long before and nothing will made it recover. Trump is just one of a nearly weekly set of crypto scams. Honestly his is more "legitimate" them most his is just a way to funnel money to him from supporters and I think most of them know that. Other crypto rug pulls are just straight up scams.

SousLaFranceDeMacron

Lmao so FTX is unsafe, bitmex is unsafe, Celsius is unsafe, Mt. gox is unsafe, Ledger got its database exposed and dozen of people have been abducted as a result, coldcard is unsafe, and binance will lock your account for no reason. What a wonderful experience, what a great asset.

goofytigre

Maybe, maybe not. There are examples that support keeping it on exchange (Cold Card fiasco) or keeping it in cold storage (FTX, Celcius).

No-Kaleidoscope-7106

Why is this not a possible reality to you? I saw ICOs, bitconnect, then Celsius, 3AC, FTX and now this, but this is different. This isn't just negligence or a mistake. Give it some time, more wallets will get wiped and it won't just be weak entropy.

bigballer29

It’s like a minefield figuring what is actually safe. First it was exchanges deemed unsafe with FTX and now the cold wallets have gotten the same scrutiny.

freitoso

Well I’m with you but for years I thought by having a ledger it was not that hard to go self custody and it was necessary, specially in a post FTX environment. But I had NO IDEA wallet seed generation could be fucked up in this way and now I’m super nervous. Thinking about keeping my ledger and going multi sig with other platforms just to be safe, that snippet from the paranoid guide about dice rolling offline seems like a good idea.

JEI2E

Make up your goddamn mind about what you want to shill for, lol. First you lot are all pro exchanges, now you're mentioning the EXACT reason why exchanges should never be trusted (Mt. Gox, FTX, etc.) Pick a struggle, buddy. What is it that you want to shill? The ETFs perhaps? How long before something goes horribly wrong there? You should only trust yourself. That's the true lesson everyone should've learned after this Coldcard BS. Even if you were part of the 'lucky ones' (read: 99.9%) that didn't use an impacted Coldcard device, you should still make sure you roll your own seed + have a strong passphrase. Doing those two things, is the safest anyone will be against hacks and other possible attacks. Never EVER trust exchanges or anyone holding Bitcoin for you. Never. I don't know how many more times people need to be taught this lesson. A lot, apparently.

Legitimate_Form5449

u forgot FTX Trading ltd. Founded: May 2019 - Filed for Chapter 11 Bankruptcy in November 2022

coffeelover9457

Spot Bitcoin ETFs were approved in the US in January 2024. As of this post, BTC market cap is \~1.2T, and some estimate losses due to the CC hack at \~100M. I think these numbers demonstrate that your belief that "ETFs are the only rational option at this point" is already shared by fellow investors. I'm guessing that people who have an investment-only interest in Bitcoin used products like CC because the ETFs weren't yet available. This incident will now light a fire under such hodlers to sell and buy ETFs (I think exchange inflows since the incident hint at this). I can imagine someone in 2023, post-FTX collapse, believing (from an investor point of view) "self custody is the only rational option at this point, prove me wrong", then the ETFs arrived.

BallisticTherapy

Bitcoin itself is secure. The method that people choose to interact with it, however, may not be so secure. if you downloaded and installed bitcoin core and generated a wallet address that way then that wallet is not getting cracked. If you use some third party hardware that has some critical flaw in the code that makes it generate wallet addresses using weak entropy as was the case with ColdCard where people are now scrambling to guess the weak seed phrases that are limited to a much smaller pool of possibilities, then you are in trouble. If your bitcoin exposure was on a centralized exchange and something happens with the exchange and you get rug pulled like what happened with Quadriga, FTX, and many others then your issue was the counterparty risk.

Ok-While-1160

Passing clarity allows massive amounts of institutional inflow into crypto, aside from ETP and pension flows. The analysis below doesn’t even account for the potential that tokenization will bring for real world asset and securities markets generally. For starters, putting asset custody, segregation, risk metrics, capital requirements, etc on exchange platforms eliminates a large percentage of the perceived risk around the industry which was garnered from the FTX/Celsius gambit years ago. Moreover, most banks currently will not use digital assets for defined banking activities in part because the law is ambiguous or doesn’t allow it, and capital metrics and accounting make doing so more or less impossible. Additionally large market makers, brokers, dealers, etc. will start to process trading in crypto assets in a similar way that they do now for other assets. This will rely in part on value generation from real world use. But we’re already seeing stablecoins, BTC and ETH be used for collateral and margining positions by CFTC regulated intermediaries. Remember crypto is 24/7 unlike tradfi. If traditional whales can make money between 5pm-9am using crypto, you bet they’ll play around. Lastly, Bitcoin has historically served as the primary gateway and liquidity anchor for the crypto market. Expanding legitimate use cases and institutional participation across the ecosystem could create additional demand across digital assets generally. A rising tide does not lift every boat equally, but greater adoption of the asset class as a whole is likely positive for the strongest networks. If regulatory clarity increases demand from institutions while available liquid supply remains relatively constrained, even incremental institutional allocation can have an outsized impact on price. This is the same basic dynamic that contributed to strong market reactions around the approval of spot Bitcoin ETPs: a new pool of demand entered a market with limited readily available supply. Obviously the caveat is that regulation alone does not guarantee price appreciation. It creates the conditions for broader participation; actual price impact depends on whether institutions allocate capital, how much they allocate, and broader macro conditions. But Clarity at least creates the market environment to drive allocation.

unknowngloomth

Dude. There's no such thing as reputable in the financial world. Mostly in crypto. FTX is a proof of it.

ubermensch1001

Bro, that's not how that works lol. I don't know what their company assets/holdings are worth, but they potentially still have things that in a bankruptcy could be distributed to creditors. This would be very different than say FTX or Celsius, where they still had large amounts of assets and crypto on hand, so it most likely would be small. There's also a possibility someone gets actual jail time if they were aware of these issues and did nothing. Again, I'm just speculating here.

ubermensch1001

I'm curious to see if this goes into full blown litigation like Celsius and FTX from 2022.

CoupleofDoms

FTX and MT. Gox were about a million times worse and Bitcoin is up exponentially since then. Bitcoin doesn’t need you, you will need Bitcoin.

ContentBlackberry0

FTX hacker never found and coins still there. Good luck

iloverunning11

Don’t know, perhaps because you’re not an absolute c&nt, I don’t think he will be charged with this though as it is fairly difficult to go after individuals in similar cases, this is not FTX, they were not holding customers’ funds, only selling devices with ToS line ‘coinkite is not responsible for any loss of customers’ funds due to hacks etc.’ So hard to say what will follow. I am rooting for the victims!

Puzzleheaded-Dot-762

They've bullied everyone who got scammed over the years. I feel more sympathy for FTX users than them. 

BigDik6355

I wouldn't be so sure to make that bet to be honest. FTX, Celsius, MtGox, QuadrigaCX, Cryptopia, BTC-e... the list of exchanges that went under is long.