FTX collapse: Good or bad for crypto in the long run? - page 4.

russselcarri

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Quote from: Abiky on November 23, 2022, 04:43:25 PM

The collapse of a major crypto exchange, has once again taken the world by storm. There is a lot of FUD being spread by mainstream media, making people believe this is the final chapter for crypto/Blockchain tech. Now, US lawmakers are pushing towards stricter regulations with the excuse of helping protect investors' interests. Other countries could follow the US, greatly stifling the growth of the industry. I'm beginning to wonder whenever the collapse of FTX would be good or bad for crypto in the long run? This looks like another Mt. Gox situation, so it's likely things will be better in the long run after the dust settles. But I'm not so sure, especially when governments are now seeing crypto as a threat to the existence of Fiat (something they didn't think about when crypto was in its early years).

What are your thoughts? Your input will be greatly appreciated. Thank you very much.

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The FTX incident taught almost everyone in the crypto world a valuable lesson, including:
(1) Not your key Not your coin
(2) Large investment institutions make bad financial decisions
(3) DD due diligence does not mean everything
(4) Everyone should have a cold wallet
(5) Don’t trust celebrity sales pitches
(6) Don’t put all your eggs in one basket
(7) Finance is actually synonymous with "leverage". The so-called wealth/financial stability are all on paper
( Cool

No matter how big a black swan is, there is a chance for it to happen, and nothing is too big to fail.

The FTX incident can be said to be the biggest disaster in the encryption world in the past 13 years. It has given us a lot of inspiration, and the future is bright. The black swan will eventually turn into a white swan. In the short term, this domino will still have more chain reactions, but this is also a process of healing. It is estimated that he will fully recover next year.

hd49728

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Not your keys, not your coins!

Quote from: Rengga Jati on December 03, 2022, 04:53:16 PM

The collapse of FTX is a reminder for all of us that investing in crypto has risks.

Know about risk and invest if you can afford to lose your capital.

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Everything related to crypto is indeed risky. That's why we should have been able to consider various possibilities.

More risk if you store your coins, tokens on centralized exchanges. They own your keys and they only credit you a number in your account balance which means nothing, has no value if they get bankrupted or scam exit.

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However, on the other hand, there are still many positive sides to the crypto world because we can also benefit from it. This is one of the bad things and getting into FUD, but I'm sure that there are still a lot of things especially Bitcin that we can count on. We may feel disappointed and afraid, however, the crypto market will continue to grow. In the future there will definitely be more difficult things. But keep on believing in Bitcoin, we can get through it by learning from all cases in the crypto industry.

Tomorrow begins since today and the collapse of FTX is a good catalyst for cryptocurrency market. If they did not collapse in this bear market, they will become bigger in next bull run. And in next bear market, when they collapse, impacts would be bigger.

At least the collapse of FTX helps other exchanges to look at themselves and be more transparent with their capital management on behalf of their users. More regulations to prevent illegal use of customer capital that is good in general.

Abiky

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Quote from: o48o on December 03, 2022, 05:16:34 AM

Regulations aren't that black and white and it all depends what you see as "freedom".
"Freedom" to scam people isn't really something most people in this space wants.
"Freedom" as you don't have to pay taxes and that you can launder money freely isn't what most people want either.

I think he means "Freedom" in the sense that people will get more privacy when trading crypto or making a payment with it. Unfortunately, regulations have forced KYC across centralized exchanges and wallet providers, greatly putting people's privacy at risk. Regulations stand against everything crypto was meant to achieve in the first place (which was cutting off the middleman from the system). I know many crypto proponents see regulations as a way to "legitimize" the industry since it would help attract investors into it. But I believe they will ultimately do more harm than good, because they introduce single points of failure.

Right now, the industry is a lot more centralized than it was before fierce regulations from mainstream governments were introduced. And things are bound to get worse due to the recent collapse of a major crypto exchange. Who knows what would be of crypto 10-20 years in the future? Just my thoughts Grin

Yatsan

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Possible that it would be bad for a long run but not directly with cryptocurrencies but rather with exchangers and wallets I guess. Cryptos are volatile already which creates risk for investors but negligent owners of exchangers could be another factor why some people would be afraid to invest or engage with this activity. That is why we, as people of this industry who are aware of the do's and dont's, should spread the word and not to emphasize wrong doings in this industry. What happened is already done, best thing to do is to move forward with extra caution to avoid adding another instance which could leave a negative impression in this industry

Quote from: Rengga Jati on December 03, 2022, 04:53:16 PM

The collapse of FTX is a reminder for all of us that investing in crypto has risks. Everything related to crypto is indeed risky. That's why we should have been able to consider various possibilities. However, on the other hand, there are still many positive sides to the crypto world because we can also benefit from it. This is one of the bad things and getting into FUD, but I'm sure that there are still a lot of things especially Bitcin that we can count on. We may feel disappointed and afraid, however, the crypto market will continue to grow. In the future there will definitely be more difficult things. But keep on believing in Bitcoin, we can get through it by learning from all cases in the crypto industry.

FUD is just dangerous; it can drag people away or closer to sonething or perhaps in this industry. It can lead to optimism and pessimism but eitherway, too much is bad so we have to set limits on the news we are absorbing about this technology.

Rengga Jati

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The collapse of FTX is a reminder for all of us that investing in crypto has risks. Everything related to crypto is indeed risky. That's why we should have been able to consider various possibilities. However, on the other hand, there are still many positive sides to the crypto world because we can also benefit from it. This is one of the bad things and getting into FUD, but I'm sure that there are still a lot of things especially Bitcin that we can count on. We may feel disappointed and afraid, however, the crypto market will continue to grow. In the future there will definitely be more difficult things. But keep on believing in Bitcoin, we can get through it by learning from all cases in the crypto industry.

Oneandpure

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Beside with FTX have been collapse, today have bad news with HOO.COM exchange have deleted their website and accurately become another exchange market again, ever stuck with withdrawing cases last several months and today have confirmed the HOO.COM exchange website have been closed permanently.

I think FTX exchange will make the same with HOO.COM for closing their website permanently after several weeks ago get trouble withdrawing until right now problem not solve yet, just waiting the moment only for FTX exchange market closed permanently their website and user can't access anymore with their account.

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Quote from: MoonOfLife on November 28, 2022, 07:51:24 AM

If you don't care about freedom, regulation is definitely a good thing and I also somewhat support the regulatory framework for cryptocurrencies.

Regulations aren't that black and white and it all depends what you see as "freedom".
"Freedom" to scam people isn't really something most people in this space wants.
"Freedom" as you don't have to pay taxes and that you can launder money freely isn't what most people want either.

Quote from: MoonOfLife on November 28, 2022, 07:51:24 AM

But I am afraid they will manage us more than we think, what I fear the most is not the privacy they can stop the hype of the projects, which means we will no longer see projects that can be x100 or x1000. It would be a pity if it happened.

Oh, they will manage way more then people thought, but not for the same reasons people thought. It's funny, most of the new laws are public knowledge and you can follow where things are going just by following news. It's not all nefarious.

But regulations or privacy have zero to do with 1000x gains unless you are talking about pump & dump schemes.

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Quote from: blockman on November 29, 2022, 09:24:27 PM

Quote from: naira on November 28, 2022, 09:04:52 AM

For now, what FTX has made in the public eye has damaged the image of cryptocurrency itself. Like it or not, we need to go through a quite negative feedback process, including the impact of prices on the market. It was unavoidable or indeed it was an event that gave executives a compelling reason to adopt a much stricter policy. As you said, they take the excuse for the safety of their investors' assets. But beyond that, FTX has undermined the values of decentralization and this fatal consequence will only filter who stays and who will leave crypto for a certain period of time.

To those people that are not yet in crypto, FTX really has broken the image of crypto entirely. But to us, we all know that it's just FTX that messed up and the market is still going on stronger and better with all of these events.
As another part of history has been made, this should be the sign to everyone that in terms of trusting them, we shouldn't give our whole trust of handing them our money and keeping it to any of them.

Of course, FTX collapse adds hesitation and sending a bad impact on the crypto industry. It is not only FTX affected but all that are connected within this company and some of its subsidiaries are slowly falling and running out of liquidation. On the positive side, it's an eye-opener for regulators and us hopefully we will be protected from this kind of happenings.

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Quote from: Abiky on December 02, 2022, 07:50:10 PM

Quote from: blockman on November 29, 2022, 09:24:27 PM

To those people that are not yet in crypto, FTX really has broken the image of crypto entirely. But to us, we all know that it's just FTX that messed up and the market is still going on stronger and better with all of these events.
As another part of history has been made, this should be the sign to everyone that in terms of trusting them, we shouldn't give our whole trust of handing them our money and keeping it to any of them.

That's certainly true, mate. FTX's downfall would certainly give a bad impression to the general public. Many people will believe crypto is a scam or a fad after this. I'd say history has repeated itself as something similar happened a few years ago when Mt. Gox collapsed. We're going to have to wait quite some time before confidence is restored into crypto/Blockchain tech. Instead of whining, people should take this opportunity to buy more crypto at hugely discounted prices. Once the bull market resurges, you'll be able to cash out big profits in return.

Ultimately, the collapse of a major crypto exchange tells us to never trust third parties with our money. I hope this would mark the beginning of the rise of decentralized exchanges, as people take self-custody of their coins very seriously. Who knows if sometime in the future centralized exchanges are no longer relevant in the crypto/Blockchain space? Just my thoughts Grin

I have the opposite view, I see this collapse as a good thing for the market and those who want to participate in the market. The collapse of FTX will be the best example for those who want to participate in the market should know that this is not a get-rich-quick place, and if they want to make money, they must first have the knowledge to avoid encounters problems like FTX. And once they have entered the market, they need to know where to invest safely, and where to invest to avoid such unfortunate incidents. If all newbies just invest in bitcoin then surely they will never have a problem.

skywolf24

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It's a sign for users to go full DEFI.
and use a hardware wallet.
https://store.safepal.com/safepal-s1-hardware-wallet.html?ref=gcs14

Abiky

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Quote from: blockman on November 29, 2022, 09:24:27 PM

To those people that are not yet in crypto, FTX really has broken the image of crypto entirely. But to us, we all know that it's just FTX that messed up and the market is still going on stronger and better with all of these events.
As another part of history has been made, this should be the sign to everyone that in terms of trusting them, we shouldn't give our whole trust of handing them our money and keeping it to any of them.

That's certainly true, mate. FTX's downfall would certainly give a bad impression to the general public. Many people will believe crypto is a scam or a fad after this. I'd say history has repeated itself as something similar happened a few years ago when Mt. Gox collapsed. We're going to have to wait quite some time before confidence is restored into crypto/Blockchain tech. Instead of whining, people should take this opportunity to buy more crypto at hugely discounted prices. Once the bull market resurges, you'll be able to cash out big profits in return.

Ultimately, the collapse of a major crypto exchange tells us to never trust third parties with our money. I hope this would mark the beginning of the rise of decentralized exchanges, as people take self-custody of their coins very seriously. Who knows if sometime in the future centralized exchanges are no longer relevant in the crypto/Blockchain space? Just my thoughts Grin

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Quote from: Abiky on November 23, 2022, 04:43:25 PM

The collapse of a major crypto exchange, has once again taken the world by storm. There is a lot of FUD being spread by mainstream media, making people believe this is the final chapter for crypto/Blockchain tech. Now, US lawmakers are pushing towards stricter regulations with the excuse of helping protect investors' interests. Other countries could follow the US, greatly stifling the growth of the industry. I'm beginning to wonder whenever the collapse of FTX would be good or bad for crypto in the long run? This looks like another Mt. Gox situation, so it's likely things will be better in the long run after the dust settles. But I'm not so sure, especially when governments are now seeing crypto as a threat to the existence of Fiat (something they didn't think about when crypto was in its early years).

What are your thoughts? Your input will be greatly appreciated. Thank you very much.

It is a blessing in disguise and wake up call to investigate what was going wrong in crypto industry since long time. I am pretty sure now clean up operation will start which will remove many scam projects from the scene which will be good for overall health of the industry and once confidence of investors is restored by implementation of appropriate regulation, we will see inflow of new investment in crypto projects.

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Quote from: MoonOfLife on November 28, 2022, 07:51:24 AM

Quote from: Jaered on November 28, 2022, 03:21:33 AM

FTX and Luna collapse might be a blessing in disguise. Look at it this way. Crypto has been much maligned to being a den of thieves. Now if these 2 heavyweights fall, a lot of regulations would be imposed by crypto by the government. If these regulations work out, it would help sanitize the industry and make it more attractive for no-coiners

If you don't care about freedom, regulation is definitely a good thing and I also somewhat support the regulatory framework for cryptocurrencies. But I am afraid they will manage us more than we think, what I fear the most is not the privacy they can stop the hype of the projects, which means we will no longer see projects that can be x100 or x1000. It would be a pity if it happened.

The regulations coming from the governments are becoming more strict, but make no mistake they will never control this market completely, a great deal of projects are open source so developers can see how others are creating their own coins and draw inspiration from them.

So governments cannot stop someone from having a good idea and then releasing their creation to the world, just as satoshi did back then, and if the coin is any good it will grow in value, even if the governments are unhappy about this situation.

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Quote from: naira on November 28, 2022, 09:04:52 AM

For now, what FTX has made in the public eye has damaged the image of cryptocurrency itself. Like it or not, we need to go through a quite negative feedback process, including the impact of prices on the market. It was unavoidable or indeed it was an event that gave executives a compelling reason to adopt a much stricter policy. As you said, they take the excuse for the safety of their investors' assets. But beyond that, FTX has undermined the values of decentralization and this fatal consequence will only filter who stays and who will leave crypto for a certain period of time.

To those people that are not yet in crypto, FTX really has broken the image of crypto entirely. But to us, we all know that it's just FTX that messed up and the market is still going on stronger and better with all of these events.
As another part of history has been made, this should be the sign to everyone that in terms of trusting them, we shouldn't give our whole trust of handing them our money and keeping it to any of them.

Abiky

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Quote from: naira on November 28, 2022, 09:04:52 AM

For now, what FTX has made in the public eye has damaged the image of cryptocurrency itself. Like it or not, we need to go through a quite negative feedback process, including the impact of prices on the market. It was unavoidable or indeed it was an event that gave executives a compelling reason to adopt a much stricter policy. As you said, they take the excuse for the safety of their investors' assets. But beyond that, FTX has undermined the values of decentralization and this fatal consequence will only filter who stays and who will leave crypto for a certain period of time.

The damage has already been done and there's nothing we can do about it. History is repeating itself with another collapse of a big crypto exchange (remember Mt. Gox?). Only those with weak hands will sell thinking it's the end of crypto. But strong hands (aka Diamond hands), will buy and "hodl" no matter what. May this be a lesson for anyone who trusted centralized exchanges with their hard-earned money.

I think it's time for the majority of people to use decentralized exchanges for the good of crypto/Blockchain tech. If we continue to give power to centralized exchanges, we'd be making crypto no different than traditional banking. Unfortunately, people will continue to use CEXs because they prefer convenience above all else. It's likely we will see another big crypto exchange collapsing in the future (Binance?), leading us to another severe bear market. At least, we can say crypto won't be going anywhere. As long as it stays decentralized, there should be nothing to worry about. Just my opinion

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For now, what FTX has made in the public eye has damaged the image of cryptocurrency itself. Like it or not, we need to go through a quite negative feedback process, including the impact of prices on the market. It was unavoidable or indeed it was an event that gave executives a compelling reason to adopt a much stricter policy. As you said, they take the excuse for the safety of their investors' assets. But beyond that, FTX has undermined the values of decentralization and this fatal consequence will only filter who stays and who will leave crypto for a certain period of time.

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Quote from: Jaered on November 28, 2022, 03:21:33 AM

FTX and Luna collapse might be a blessing in disguise. Look at it this way. Crypto has been much maligned to being a den of thieves. Now if these 2 heavyweights fall, a lot of regulations would be imposed by crypto by the government. If these regulations work out, it would help sanitize the industry and make it more attractive for no-coiners

If you don't care about freedom, regulation is definitely a good thing and I also somewhat support the regulatory framework for cryptocurrencies. But I am afraid they will manage us more than we think, what I fear the most is not the privacy they can stop the hype of the projects, which means we will no longer see projects that can be x100 or x1000. It would be a pity if it happened.

Coyster

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Quote from: ?? on ??

I think this is a good thing, makes us open and will not store assets in Exchanges, sometimes bad things must happen so that we can take lessons, and I have moved assets from binance and cucoin because they are worried like FTX, maybe at this time people think that binance And cuoin is impossible to go bankrupt, but a month ago people will say it is impossible for FTX to go bankrupt.

I second everything you said, it is a bad thing for the many who have lost their life savings or any amount at all in one crypto exchange hack or the other, even if they didn't learn when others lost their money, it still doesn't make it a good thing, at least on their own behalf. But if we look at things in the bigger picture it is indeed a good thing, people would see what has happened and make amends to how they are hodling their funds, just like you have done the right thing by moving your funds away from exchanges, so have quite a lot of people done the same thing, in that regard it is a good thing, a bad experience for the victims, but good for the individuals that would or have already learnt from this experience.

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Quote from: Yamifoud on November 28, 2022, 06:52:43 AM

And the good impact is that,
- it will give a lesson for those who think about using exchanges as a storage platform and make themselves stay away from doing it.

It has been preached so many times but investing in profit there is profit attached to it so people can't help to store their coins in exchanges, where they can stake it earn from lending it, it's about trusting the platform and accepting the consequences it brings once the platform collapse, there are investors who made money in these exchanges and when there are profits involved, investors are in hurry to invest and store their coins in a centralized exchange, this is another big lesson of not your keys, not your coins but will the majority of investors will take this advice now.

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Quote from: Jaered on November 28, 2022, 03:21:33 AM

FTX and Luna collapse might be a blessing in disguise. Look at it this way. Crypto has been much maligned to being a den of thieves. Now if these 2 heavyweights fall, a lot of regulations would be imposed by crypto by the government. If these regulations work out, it would help sanitize the industry and make it more attractive for no-coiners

Actually this is not the main case for the cryptocurrency space as previously too many people lost money for several reasons. Perhaps what makes the difference is that both Luna and FTX already have big names among cryptocurrency users, so the tragedy of the fall of Luna and FTX has become big news lately.
There must always be good and bad sides in every event, and maybe it's true that this is a hidden blessing because with this big event, it is hoped that there will be big steps from all existing components so that the same incident does not happen again.

Topic: FTX collapse: Good or bad for crypto in the long run? - page 4. (Read 1105 times)