Hacker News Reader

Comment by codehalo | Hacker News Reader

>It was no secret that SBF hated traditional finance.

That is quite odd. FTX was the very definition of traditional finance (with or without whatever regulations you may think is required). Maybe he was bullshitting you too?

Crypto is now infested with Wall Streeters and VCs trying to convert it into some grotesque form of the old system they are familiar with and failing catastrophically. In a few years decentralized DEXs will all but replace the centralized exchanges.

View on HN

This is the great thing about this whole event.

It's a grotesque level of criminal fraud, but unlike when that happens in traditional finance, there will be no bailout. These fraudsters will get wiped out and there is no one to appeal to who can save them.

These fraudsters and others will get wiped out. That's the bummer about this whole event.

You may feel that the others were too greedy and naive, and therefore deserve what they get. Perhaps. But they're still getting wiped out, and they didn't participate in the fraud. (Unless you consider all of crypto to be a fraud...)

Sometimes, the best way to train children to avoid putting their hand in the fire is not to be overbearing and make certain they never get burned, but to let them make that mistake and get burned a little so they viscerally understand the consequences of doing such a dangerous thing. If you never let them get a little burned, then they might get terribly burned when you're not around to pull them out.

Losing tons of money is not the end of the world, even if it can feel like it. It might just mean you have to swallow your pride and go work at Walmart or McDonalds for a while to build yourself back up. Millions of people live that life every day.

Stay humble. Stack sats.

There are a lot of people who already work at McDonalds or Walmart that watched FTX's super bowl commercial and knew about the "whole crypto thing" that, too, are wiped out.

I'm enjoying this shit as much as anybody but unsophisticated people are certainly feeling this right now.

>Unless you consider all of crypto to be a fraud

This seems to become clearer every day.

Canadian taxpayers will, one way or another, bail out the teacher's pension fund that invested in FTX

https://decrypt.co/114235/ontario-teachers-95m-ftx-pension-f...

It’s a pension fund with a lot of VC deals, and a rather profitable one at that. It can easily eat $95 million in losses.

Oh, don’t be a daft. First, they gambled a fraction of a percent of their portfolio into FTX. Second, the OTPF is one of the best-managed, most-successful funds: they will never be in a position to require bailing out. Your claim is, to be precise, horseshit.

Reply on news.ycombinator.com