Topic: All Assets are seized for FTX... Its over! (Read 400 times)

And this is the problem with bankruptcies like this one, investors which are suffering massive losses are not going to blame FTX specifically for their losses, instead they are going to think on this market as a whole as a scam, and for the investors that think like that they are never coming back no matter how big the next bull run could be or how fast the adoption grows, we have lost them and all of this is happening because of an individual that clearly never cared about this market at all.

I miss that Blockfolio turned FTX app too. I used it as a price tracking app for cryptos I watched. I quickly deleted mine during the wake of the FTX debacle as it wasn't opening and I read somewhere that any attempt to update it would be opening malware as a phisher had been introduced in the app that stole funds. For me, it's better I played safe than being sorry.

It could never be worse than mt.gox, the initial "hack" for mt.gox was 400k bitcoins, can you imagine how big that is? Sure, wasn't as big at that time, but that money is still out there, I am sure some people must be tracking it, or maybe it’s not moving at all, but at the end of the day it’s not burned, it's "there", which means that we are talking about at least 5-6 billion dollars all stolen in a single move right there.

And at top prices, this was at a 20+ billion dollar deal, and yet because the price was low those days, it looked like a few dozen million dollars at most. I believe nothing in history of bitcoin world will be bigger than mt.gox ever.

It's worse than Mt Gox, because FTX happened at a time when money is fleeing risky assets to the USD.
There is a lot less money circulating than last year because of Fed rate hikes. Not so easy to borrow anymore.
So people that were sitting on the fence wondering if to cash out into USD, suddenly FTX headlines gave them a reason to do so.

FTX has officially registered bankruptcy in court, this certainly makes a big impact that will make the market difficult to recover, especially FUDS on social media that there will be cases like FTX which certainly makes investors panic and choose to leave cryptocurrencies.

FTX has disappointed everyone and mind you, this is worst than the time of Mt.Gox when crypto was still fighting for more adoptions. I believe they caused the panic and started the distortion thinking that they will get away with it. This is particularly as their headquarters is in Nassau in Bahamas where they believe regulation is much weaker than in the US, EU and others. But the country has proven itself now.

If not for this shady plan, Binance would have bought it and everything would be silenced. But who would buy a problematic asset? All of their plans have backfired. More investigations should shock us more over time.

I think people are already convinced that Blockfi is insolvent so it probably reflected in the markets already. The question is — do they have some coins left outside of FTX to liquidate?

And now the rumours are about Blockfi


Source: https://twitter.com/Cointelegraph/status/1592584274133536769

I think there will be more companies to fall due do FTX. CZ already said 4 or 5 companies can be insolvent.
If Blockfi falls, I think the prices will reflects again

Would they sell confiscated assets? I think not. I do not know about this 'Securities Commission' of the Bahamas but normally when this happens in other countries by the authorities they do not allow selling the assets after them being confiscated. Who would the money go to? Would it help with offering a compensation to the people that lost money on FTX?

I hope they start selling off assets soon. I want to use the Blockfolio app again that FTX purchased and changed the name of. Now it’s not working and I assume it’s because it was an FTX asset and has been confiscated. Would be great if Binance or any company with money stepped in and bought the app as it was the best portfolio tracking app available for crypto.

Binance also has a bnb and they could use it as well as collateral if they like too but what if they did it already and we only didn't noticed it because there are no issues that happened yet with bnb and binance. People accepted ftt as a collateral because they knew that ftx is a top crypto exchange. They don't know the collapse coming.

With those noise ftx made recently, I think everyone are already aware of what happened with them and they are now pulling out their funds in this exchange but the problem is that ftx won't let them withdraw. Only those who monitor the market properly are lucky because they be able to withdraw their money before the tension builds up.

Binance is different because they aren’t a market maker in the shadows like FTX was. FTX basically created FTT which was used as collateral with many different Defi and exchanges. No idea why people accepted FTT as collateral when it’s a token they created.

Binance I am pretty sure it’s just an exchange itself. There are market makers which do business with them and that is all. FTX went hand in hand with Alameda Research.

Either way. Withdraw just in case. You never know.

Make me think about Binance as well, as I have said previously in one thread, I have like 100 USDT so I withdraw it immediately because I'm thinking that same scenario. If FTX that has billions worth and the backing of a company behind, lots of known investors, it fall very hard causing a dip in the price. And most probably BNB or Binance is not an exception to this. And who knows, proof of reserves might be late in implementing in suddenly there will be a big bank run or shall we shall crypto run - investors suddenly withdrawing causing panic, and then it had ripple effect. And so just like that, Binance might be the next, just saying.

BNB doesn’t seem all that different than FTT if you ask me. It’s likely even more dangerous due to its size. I sold all my BNB when Binance stopped charging trading fees as it seemed to me to be useless once that happened. I’m sure Binance has plenty of money but don’t think that what happened to Luna and FTT can’t happen to BNB. If I’m an American, I’m avoiding Binance.us like the plague. If FTX.us doesn’t display that these companies will do crazy risky things internationally and then lump their US entities in when things go bad, I don’t know what would…

Yes you should delete the FTX app on your phone because there are reports of some malware version being pushed onto the Google play/App store. You should also avoid visiting ftx.com since it can install some malware.

You think it can't get worse and it just does. Even before it shut down. There was weird stuff going on the exchange like BNB being pumped to like $1000 while the spot price was $300. I think they were just trying to liquidate as many traders as possible to bring down their liabilities.

Even the portfolio tracker iOS app is no longer working. That’s a shame. I always thought it was the best portfolio tracker available and thought it was odd when it was purchased by FTX seemingly out of nowhere. I hope it is able to be revived or someone else builds a good portfolio tracker app. I’ll be sad to no longer have instant access to market data and valuations on my entire holdings list.

I think they had no choice. People would see the letters "FTX" and then they would google it and make an account and deposit money. They would be promoting a scam pretty much. I am also surprised how quickly they removed the letters.

Alot of scammy stuff going on. The FTX ERC20 tokens are getting moved around. In the middle of the night, on a Saturday. Most likely this isn't the liquidator assigned for the bankruptcy.

It looks like even the Miami Heat quickly distanced themselves from FTX. Today they scrapped their deal for arena naming rights with FTX and have already removed the giant FTX letters from on top of their stadium. New negotiations for naming rights with other partners has already begun. Amazing how fast they did that. Makes me think FTX probably didn’t pay up front…

I was surprised with FTX, things like this are complicated and difficult to solve and of course make the market more difficult, investors panicked and made a big impact, I believe FTX will be difficult to rise even though today it is up more than 30%.

Any insolvency or exchange hack might not be that much of a big deal compared to FTX — unless it's probably either Binance or Coinbase. Seriously though, if something happens to Binance, this industry might be done for a decade.

We've been saying get your money out of other people's hands for a long time, but it seems people get lazy when it comes to exchanging their money. They assume because it's a massive company, that they won't get burnt, even though history has proven otherwise. I've literally learned in business that companies can practically do whatever they want. The amount of times a company has fallen through, and we haven't been paid is actually devastating, especially to smaller companies. It's the same here, some people will be punished for the wrong doing's they've done, and if any ill play has been found, but ultimately Ftx should've stopped trading years ago. They would've seen this coming, and they still accepted money, and allowed users to deposit, and store money on their exchange.

Technically, users storing money on their exchange has a wallet isn't their money, and warnings should've been given. Obviously, you can argue that it's their money as they own the private keys, but I won't get into that right now. I never understand why these companies don't have people with a little bit of morals, that would warn customers before they burn everything down to the ground, and basically the customers get hurt the most, not the people behind the exchange. The people behind the exchange either go to prison for wrongdoing's or they line their pockets over the years, and they'll probably go on some other business venture after this.

It's a pretty sick world we live in if you think about it, as rarely there's repercussions for everyone involved, and usually just public big players.

It is strange that a platform that is described as "strong" and will have a share in the market, turns into a "paper platform" where it collapsed like a biscuit.
I have not used the platform yet, but if it collapses so easily, it means that many activities associated with it will collapse and many platforms will collapse with any audit or liquidity crisis.

They will recover those loses in no time from BNB (if they didn't already) and they've got rid of a (malicious!) big competitor, which, if left unharmed for 1 more year (maybe 2) could have been taking over the role of "biggest crypto exchange".
It looks like a good (great!) business from second one. I think that those FTT were especially kept for this long as ... "insurance", i.e. for ... what has happened these days.

I don't think there will be another Mt. Gox, in comparison as it is the only exchanges that time.

However, FTX is very different, it was really a collapse because the people behind failed to do their job, Mt. Gox it was a hacked. But it totally it really affected the market and bring the price of Bitcoin. And that is the sad part of it, not our fault but we are very much affected by it.

And with this news, another black eye after the Terra Luna. Just the question is who is going to be next?

I think people need to realize how interconnected a lot of these companies are with certain investment schemes.  There's a good chance we haven't seen the last player to fall as a result of this mess.  A lot of companies are coming out to say that they have no exposure to FTX, but a lot of them have partners with exposure to Alameda, or that will have funds caught up with partners who were using FTX, etc...  This is definitely one of those GET YOUR COINS OFF OF EXCHANGES moments.  The widespread damage might take weeks to fully be known and as Sam himself said, a lot of these exchanges may be insolvent already...

Chances are the MtGox situation is actually a pretty positive development. This means that the SEC takes digital asset trading seriously and they are making strides to try and keep things under control.

With all that is happening in the crypto space today, everyone should consider every possibility so as not to harm many investors or their users and it makes sense to look for other opportunities as long as you stay diligent and aware.

I'm pretty sure they're fine. The moment they started selling, FTT was still significantly higher from here, and add to the fact that Binance invested in FTX(and FTT, with a discount in 2019) very early on. I'd say Binance still made a good amount of money; or worst case scenario they're breakeven.

Does this mean binance have screwed themselves over by another investment considering they were planning to keep selling ftt and I doubt they dumped all their coins on the market by this time.

It looks like FTX has gone the same as Mt gox but slightly different. I thought Mt gox was a group of people interested in crypto that built an exchange, and ftx was people interested in trading products and derivatives associated with crypto.

I'm still confused as to the full extent of what went on here (though I've seen rumours of attempts to borrow funds to pump coins and prop up other schemes - or directly lend to them). There was news on Tuesday of a lot of resignations, I wonder if there was an initial whistle-blower that caused the collapse or if it was just a hunch.

This is the end for FTX. At this point it seems there is no more way to try prevent its ultimate demise. Justin Sun's questionable plan won't probably work either. That's in fact just a side show of somebody who's more like a clown whose goal is to entertain and temporarily redirect everybody's attention. The SEC and the government is now already investigating FTX. Assets are either frozen or to be seized. Even FTX US which declared its independence and normal operation is now about to end as well.

https://twitter.com/GuardianNassau/status/1590838202369478657

The securities commission of the Bahamas where FTX is stationed as ordered all assets to be frozen. FTX Japan was close-only mode last hour. FTX US said trading with halt in a few days.

I am pretty sure the Justin Sun loop-hole to burn tokens won't even work. IF anything it might of made things worse because if there is a liquidation, we might get 25% back. But if you bought those tokens at a 80% loss and then get 25% of that back you are basically getting 5% back in the end.

Basically MtGox 2.0.....