Here's what industry experts are saying about FTX’s spectacular collapse and what could happen next. Round up by danielgkuhn featuring matt_homer, KMSmithDC, and molly0xFFF.
are not part of this deal. So U.S. retail customers should not at least, at this stage, be caught up in the deal that is being negotiated.
In contrast to conduct regulators, who care primarily about how you conduct yourself in the marketplace , prudential regulators are concerned with the financial health of your company . Sam's last tweet before the acquisition deal announcement was him saying"A competitor [Binance] is trying to go after us with false rumors. FTX is fine. Assets are fine." It's all very reminiscent of Do Kwon's tweets as Terra was collapsing all around him."So, is thisI'm curious what will happen to Alameda, which as far as I can tell is not included in the Binance deal.
Even if exchanges redacted private customer information and displayed account balances publicly or, better yet, used secure computing techniques to conceal their clients’ data but proved the sum of the balances, the skeptic could rightfully say an exchange may not be including all information. This scenario reflects the adage of “garbage-in, garbage-out.”Cases like this further emphasize the need for self custody and infrastructure that is built to support decentralization.
Firstly, never use a token you created as collateral, as FTX, Celsius Network and [Terra] all did. If you create a token, you have to have the cash available behind it for withdrawals. Tether is continually being asked about the assets backing [its stablecoin]. Relatively recently, USDT had 17% of its token redeemed – the cash has to be there instantly.
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