Exchanges being insolvent due to whatever reason isn't anything new — that's one of the reasons why the quote "not your keys, not your coins" has been repeatedly said thousands of times already.
But to answer your topic question, ponzi schemes are ponzi schemes and exchanges are exchanges. What made FTX a ponzi scheme in this case is because of how the CEO(and company) handled their user's funds.
Topic: What is now the difference with Ponzi platforms with cryptocurrency exchanges - page 4. (Read 637 times)
November 15, 2022, 11:07:28 AM
November 15, 2022, 10:45:50 AM
I believe you're refer to Uniswap, Pancakeswap etc that's not a DEX, but they're just a swap platform. A real DEX doesn't hold your coins, similar like Bisq and it's really high security since the exchange never got hacked and the developer purpose is not to make money.
Yep, Uniswap et al. however, it doesn't mean Bisq never got hacked tho:https://www.google.com/search?q=bisq+hack
I remember playing with Bisq years ago
I think the reason the last hacked news was in 2020 is that there are not many activities/money on the platform. It never got popular. Wait until it becomes as big as FTX et al., and we'll see the same shenanigans.Since actions like this persists, then cryptocurrency exchanges should be regulated. They should be a certain amount, just like banks, on reserve before an exchange gets established, so if they go bankrupt the funds can be used to settle affected customers.
There's no such protection like that AFAIK. The only protected fund is your bank savings hence the term "risk-free" assets. 
November 15, 2022, 10:02:35 AM
Since actions like this persists, then cryptocurrency exchanges should be regulated. They should be a certain amount, just like banks, on reserve before an exchange gets established, so if they go bankrupt the funds can be used to settle affected customers. The differences between a Ponzi site and exchange is the eligibility to swap currencies on exchanges and Ponzi sites don't come out plain to tell customers that their money is gone, they disappear.
November 15, 2022, 08:43:15 AM
Where now is the trust? This is blackmail to crypto industry. There was ICO scam and others happened to cryptocurrency.
It's not blackmail but apparently a straight-up scam--and it very much reminds me of the Mt. Gox disaster, where there was essentially one individual in charge of a lot of people's money, and that individual was inept at finance at best. This guy SBF looks like a complete tool to me, and it's amazing that he was treated so well in the media prior to this given that he made a statement to the effect that he's in the Ponzi business. I mean, Jesus.FTX's extensive advertising probably pulled in a shitload of money from people who otherwise would never have invested in crypto and who were too ignorant to know not to keep their crypto on a platform like FTX. That's why this thing is much worse than Mt. Gox, which affected investors who were into bitcoin in the early days. This brand of shenanigans attracts the attention of regulators like nothing else, and I can't imagine the outcome is going to be good for any of us.
November 15, 2022, 08:32:16 AM
Ponzi Platforms would always be a downside but cryptocurrency exchanges won't. Not because one exchanger have failed, means every exchangers would be the same. It is always wrong to generalize. Exchangers will be needed for years as long as cryptocurrencies are not yet widely accepted as a mode of payment; you just have to choose one trusted exchanger to ease your worries.
Everything is online. Expect that there are risk because you don't physically hold your assets. Worrying would just waste your time. If you're anxious then pull your money out, that's how simple it is. But to those who are here in this industry for years, you just need to secure important details from other people, never also access untrusted websites. If the platform itself is the problem, how'd you know? It is hard to tell especially if platforms have good reputation.
To put your savings in your own wallet and secure it with well-known means of protection, including not to share your private keys and passwords with anyone. Any damage that occurs to it will be your responsibility alone, and we cannot blame anyone.
As for decentralized platforms, they may be more secure than centralized platforms, but this does not mean that they are the best way. I remember the CryptoBridge platform when it was launched it was a decentralized platform and then suddenly they started asking for identity documents from users before the platform stopped and users' money was lost. There are many other examples that confirm that it cannot be trusted one hundred percent.
You need to have good knowledge in order to be able to protect your investments from fraudsters. But for this you need to spend a lot of time to thoroughly understand all aspects, it is difficult and therefore most people study these important issues superficially. In the end, it's about your money, and so it should be one of the main things you need to worry about.As for decentralized platforms, they may be more secure than centralized platforms, but this does not mean that they are the best way. I remember the CryptoBridge platform when it was launched it was a decentralized platform and then suddenly they started asking for identity documents from users before the platform stopped and users' money was lost. There are many other examples that confirm that it cannot be trusted one hundred percent.
November 15, 2022, 07:33:25 AM
Ponzi is where you deposit 1 and get 2 in short time, few tokens also offer staking that similar like ponzi where the return is to good to be true. Centralized exchanges isn't a ponzi if you only use the exchange feature and you wouldn't lose your coins since in staking you need to leave your coins on the exchange.
Btw DEX is also not secure, remember there's this rug pull thing...
I believe you're refer to Uniswap, Pancakeswap etc that's not a DEX, but they're just a swap platform. A real DEX doesn't hold your coins, similar like Bisq and it's really high security since the exchange never got hacked and the developer purpose is not to make money. 
November 15, 2022, 07:30:31 AM
To put your savings in your own wallet and secure it with well-known means of protection, including not to share your private keys and passwords with anyone. Any damage that occurs to it will be your responsibility alone, and we cannot blame anyone.
As for decentralized platforms, they may be more secure than centralized platforms, but this does not mean that they are the best way. I remember the CryptoBridge platform when it was launched it was a decentralized platform and then suddenly they started asking for identity documents from users before the platform stopped and users' money was lost. There are many other examples that confirm that it cannot be trusted one hundred percent.
You need to have good knowledge in order to be able to protect your investments from fraudsters. But for this you need to spend a lot of time to thoroughly understand all aspects, it is difficult and therefore most people study these important issues superficially. In the end, it's about your money, and so it should be one of the main things you need to worry about. As for decentralized platforms, they may be more secure than centralized platforms, but this does not mean that they are the best way. I remember the CryptoBridge platform when it was launched it was a decentralized platform and then suddenly they started asking for identity documents from users before the platform stopped and users' money was lost. There are many other examples that confirm that it cannot be trusted one hundred percent.
November 15, 2022, 07:10:55 AM
You can't trust exchanges since they're not regulated, at least not as regulated as banks, where they have many safeguard systems in place to ensure the fund's security. Many people don't understand that putting money on crypto exchanges won't get any protection, bailouts, or whatever. When it's lost, it's lost... People can't ask for their money back. At the moment, just use wallets that only you have access to the keys. This situation will be improved with better regulations, but not in the near future IMO, so it's best to get used to the "not your keys, not your coins" thing.
Btw DEX is also not secure, remember there's this rug pull thing...
Btw DEX is also not secure, remember there's this rug pull thing...
November 15, 2022, 06:35:44 AM
~snip~
Don't say you have to put your coins in your personal wallet or Dex. There you have someone you trust and breaking the trust. This is not good for cryptocurrency or what do you think about the trust broken?
Don't say you have to put your coins in your personal wallet or Dex. There you have someone you trust and breaking the trust. This is not good for cryptocurrency or what do you think about the trust broken?
I never trusted those people, so I can't say that they let me down in anything or that the trust was broken. Bitcoin was conceived as a decentralized system and everyone should use it that way, everything else is wrong and risky, which has been proven many times throughout the short history from 2009 to today.
As a result of everything, it is easy to conclude that most people did not understand the essence of the existence of Bitcoin, but they understood that various shitcoins can be very profitable, especially when they are in a direct relationship with some people who position themselves as so-called crypto leaders whom people unreservedly trust.
This whole industry is full of illusions of meaningfulness in false promises, which unfortunately many grasp as the last straw of salvation, but unfortunately they do not know that the foundations of this illusion are built on very shaky foundations, and that they are doomed to a complete collapse sooner or later.
Unfortunately for all honorable and honest people who are in the world of cryptocurrencies, such events definitely send a very ugly and negative image to the public, who are wondering how all this is possible and why it is not regulated.
November 14, 2022, 01:14:09 PM
Don't say you have to put your coins in your personal wallet or Dex. There you have someone you trust and breaking the trust. This is not good for cryptocurrency or what do you think about the trust broken?
I will go with "IT IS WHAT IT IS".
Exchanges was not the real "idea" behind satoshi's vision. It is actually exactly opposite what he thought and launched the blockchain. It's like Satoshi created apples for us but some thinker later created their own oranges and covered with the Apple skins.
These days what you see is that skin is peeling off and reality is getting exposed. Imagine if there was only bitcoin and the only way to trade it was via sending them from one wallet to other wallet with trust factor being the mutual understanding. I think it would have been the best case scenario.
May be the price would have been little but loss wouldnt have been in billions.
November 14, 2022, 11:03:02 AM
Don't say you have to put your coins in your personal wallet or Dex. There you have someone you trust and breaking the trust. This is not good for cryptocurrency or what do you think about the trust broken?
To put your savings in your own wallet and secure it with well-known means of protection, including not to share your private keys and passwords with anyone. Any damage that occurs to it will be your responsibility alone, and we cannot blame anyone.As for decentralized platforms, they may be more secure than centralized platforms, but this does not mean that they are the best way. I remember the CryptoBridge platform when it was launched it was a decentralized platform and then suddenly they started asking for identity documents from users before the platform stopped and users' money was lost. There are many other examples that confirm that it cannot be trusted one hundred percent.
November 14, 2022, 09:24:53 AM
I am not surprise that some media now started to report crypto exchange as Ponzi and comparing it that way. This is because of the FTX crash making customers fund disappearing to $1 billion. The exact amount is still not clear because different people are giving different amount to what is lose and Sam Bankman-Fried saying he will write his own story about the issue but the point is he "secretly" transferred money to a trading company Alameda Research. This is IMO a black weekend for people in cryptocurrency because just when people start to look for investment in cryptocurrency now we have FTX top officials secretly embezzling customer money to secretly invest in trading to make personal gain.
Where now is the trust? This is blackmail to crypto industry. There was ICO scam and others happened to cryptocurrency.
We try to running off from Ponzi and we begin to have exchange crash not because of hack but someone trusted with customer money is taking it away secretly. . This is not good to hear. It is sad to read about it and I know you are not happy about Sam Bankman-Fried action that is putting cryptocurrency investors into economic challenge in this hard knock inflation season.
Don't say you have to put your coins in your personal wallet or Dex. There you have someone you trust and breaking the trust. This is not good for cryptocurrency or what do you think about the trust broken?
Where now is the trust? This is blackmail to crypto industry. There was ICO scam and others happened to cryptocurrency.
We try to running off from Ponzi and we begin to have exchange crash not because of hack but someone trusted with customer money is taking it away secretly. . This is not good to hear. It is sad to read about it and I know you are not happy about Sam Bankman-Fried action that is putting cryptocurrency investors into economic challenge in this hard knock inflation season.
Don't say you have to put your coins in your personal wallet or Dex. There you have someone you trust and breaking the trust. This is not good for cryptocurrency or what do you think about the trust broken?
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