The code snippet where they generated the FTX backstop fund's "current balance" displayed on the website by multiplying the exchange's daily trading volume by a random normal number is NUTS!
This was the supposed crypto wonder-platform!
This was the supposed crypto wonder-platform!
I know this will just get me labelled a conspiracy theorist but I refuse to believe his well-connected parents had nothing to do with the praise FTX received in the mainstream media.
Also known as a company.
> web2 company
Are web3 companies less fraudulent?
Completely untrue, of course. There's always a real-world link(because otherwise nobody would be profiting(people want stuff)/nothing would actually happen)
Crypto scams are always off chain (like FTX and many more) or have smart contracts that can be upgraded by anyone (but again, anyone can check that the contracts can be upgrade and by whom).
Their actions brought in more victims, and therefore investors ought to be wary of listening to them in future. They ought to be also punished by a hit to their reputation i.e. by being held partially responsible.
They were lazy because they relied on the reputation of who was pushing for FTX, now their reputations won't be so rock solid. That's some justice.
Just because they stand to lose millions doesn't excuse their responsibility and influence. Venture capitalists have no one to blame but themselves for the risky companies out there. They are effectively snake oil salesmen, just looking to siphon off relatively short-term profits under the guise of "changing the world".
I see what you're getting at, but this is a bit of a silly statement. The obvious downside of "throwing millions at people" is that you lose millions of dollars.
The startup culture that has fetishized making it big at all costs (move fast and break things) has lead to customer (and non-customer) deaths amongst several other massive failures. The investors should have some responsibility and accountability assigned. Right now, they have zero.
But since it was the "wonder kid of crypto" (read, very well connected person) it was a reason for praise
Yes please explain me how he really merited that
They won’t be though, because everyone would be afraid for future repercussions. That said, they’re on a list of VC firms I would hesitate to take calls from going forward.