Bitcoin is still early

[HikingDO]

you didn’t answer

Not quite sure what your question was? And what was your answer?

[jacoavlu]

From Reuters:

Bankman-Fried showed several spreadsheets to the heads of the company's regulatory and legal teams that revealed FTX had moved around $10 billion in client funds from FTX to Alameda, the two people said. The spreadsheets displayed how much money FTX loaned to Alameda and what it was used for, they said.

The documents showed that between $1 billion and $2 billion of these funds were not accounted for among Alameda's assets, the sources said. The spreadsheets did not indicate where this money was moved, and the sources said they don't know what became of it.

In a subsequent examination, FTX legal and finance teams also learned that Bankman-Fried implemented what the two people described as a "backdoor" in FTX's book-keeping system, which was built using bespoke software.

They said the "backdoor" allowed Bankman-Fried to execute commands that could alter the company's financial records without alerting other people, including external auditors. This set-up meant that the movement of the $10 billion in funds to Alameda did not trigger internal compliance or accounting red flags at FTX, they said.

https://www.reuters.com/markets/curr...es-2022-11-12/

and there are rumors of handshake deals with Gensler, SBF was lobbying in DC trying to get a regulatory monopoly, pushing the DCCPA, there are several connections between top level folks at FTX and Alameda and gov, and of course there are the $40M in political donations in 2020. He sat on stage with Bill Clinton and Tony Blair. He was a media darling, this sloppy looking autist with his crazy hair that showed up to congress with his shoes untied. The news stories are all very comically cringe now

if he doesn’t end up in jail that will tell you a lot

[jacoavlu]

Not quite sure what your question was? And what was your answer?

You said the thread title didn’t age well. I asked if that was because the price went up and back down.

[jacoavlu]

And what was your answer?

I’m happy to engage in honest discussion but you have to express your thoughts

[CM]

and there are rumors of handshake deals with Gensler, SBF was lobbying in DC trying to get a regulatory monopoly, pushing the DCCPA, there are several connections between top level folks at FTX and Alameda and gov, and of course there are the $40M in political donations

And there you have it: No jail for SBF.

[Tim]

lol right there in your link

On March 15, 2020, the Federal Reserve Board announced that reserve requirements ratios would be set to 0%, effective March 26, 2020. Prior to the change effective March 26, 2020, the reserve requirement ratios on net transactions accounts differed based on the amount of net transactions accounts at the institution.

You don't know banking. Add in the non-performing loans and the requirements for capital, and it is straight out of owners equity and the different ratios. That is the lever the FED is using. Pandemic prompted the FED to declare all in. They did it.
That rate is significant to banks. Earn more money or raise more equity.
That rate is simply a reflection of the reaction to the pandemic.

https://www.federalreserve.gov/monetarypolicy/0693lead.pdf

Historically, it is not in line with deposit requirements.
"Right there", I reject your conclusion that a conscious policy decision was made at the time. I think the Fed acted like responsible adults and now need to figure out how to get back to a soft landing. That change is probably more important to the whole banking system than the overnight rate that gathers headlines.

[jacoavlu]

You don't know banking. Add in the non-performing loans and the requirements for capital, and it is straight out of owners equity and the different ratios. That is the lever the FED is using. Pandemic prompted the FED to declare all in. They did it.
That rate is significant to banks. Earn more money or raise more equity.
That rate is simply a reflection of the reaction to the pandemic.

https://www.federalreserve.gov/monetarypolicy/0693lead.pdf

Historically, it is not in line with deposit requirements.
"Right there", I reject your conclusion that a conscious policy decision was made at the time. I think the Fed acted like responsible adults and now need to figure out how to get back to a soft landing. That change is probably more important to the whole banking system than the overnight rate that gathers headlines.

you brought up reserve requirement, simply pointing out the number is zero

go try withdraw 50k or even 10k of your money without calling ahead

anyway. Banks are going to have little interest in custody services for bitcoin because there isn’t money in it at retail scale. The asset can’t be rehypothecated and there is no bailout in the case of loss. Can’t be printed. Can’t be clawed back.

at institutional level it must be worth it. Fidelity offers institution custody and trading

[Tim]

you brought up reserve requirement, simply pointing out the number is zero

go try withdraw 50k or even 10k of your money without calling ahead

anyway. Banks are going to have little interest in custody services for bitcoin because there isn’t money in it at retail scale. The asset can’t be rehypothecated and there is no bailout in the case of loss. Can’t be printed. Can’t be clawed back.

at institutional level it must be worth it. Fidelity offers institution custody and trading

The ONLY calling ahead I have ever had to do was for foreign currency. That was because they don't stock currencies in branch offices. I can walk into the facility that handles it or get it from the branch I designate. Furthermore, walking around with $50k cash would in my opinion be foolish. Especially in the undeveloped countries for all those nebulous people you seem intent on helping. That is a good way to get your self in trouble.
When does anyone need $50k cash for any reason?
I do plan on picking up $35k cash in the bank from a third party IN THE bank in Eagle Pass, Tx and walking 10 feet to the teller window and making a deposit in PNC Bank.

"little interest in custody services for bitcoin because there isn’t money in it at retail scale." With little interest, third world people will get a fair deal? Fidelity actually has private investments and moon shots. They will sell just about anything. That doesn't mean you should buy it.

[jacoavlu]

The ONLY calling ahead I have ever had to do was for foreign currency. That was because they don't stock currencies in branch offices. I can walk into the facility that handles it or get it from the branch I designate. Furthermore, walking around with $50k cash would in my opinion be foolish. Especially in the undeveloped countries for all those nebulous people you seem intent on helping. That is a good way to get your self in trouble.
When does anyone need $50k cash for any reason?
I do plan on picking up $35k cash in the bank from a third party IN THE bank in Eagle Pass, Tx and walking 10 feet to the teller window and making a deposit in PNC Bank.

"little interest in custody services for bitcoin because there isn’t money in it at retail scale." With little interest, third world people will get a fair deal? Fidelity actually has private investments and moon shots. They will sell just about anything. That doesn't mean you should buy it.

if you used bitcoin you wouldn’t have to meet a stranger at the bank, deal with cash,
you could receive the asset and verify with zero third party trust that you are paid.

With bitcoin you don’t need a bank. It’s a bearer asset like cash.

trusted third parties are security holes. Plenty of examples of this recently. I’m glad you’re taking precaution to protect yourself in your transaction

[burritos]

Woah, can an individual really lose 16B in week is this just hysteria media?

https://www.cnn.com/2022/11/11/business/sbf-wealth/index.html

Not a crypto expert, but is this due to leverage?

[jacoavlu]

Woah, can an individual really lose 16B in week is this just hysteria media?

https://www.cnn.com/2022/11/11/business/sbf-wealth/index.html

Not a crypto expert, but is this due to leverage?

scroll up

[StarTrekDoc]

This whole bitcoin thing still boggles my mind. without a safe banking system that guarantees deposits in some form of structure; it's essentially mattress stuffing and doing direct transfers.

What I haven't gotten my head around is how this can be transacted without said banking system?

To me from the person seeing all these exchanges collapse over the years and reports of stolen wallets/hacked accounts, etc; it's not an area of having safe, transactional deals to be had in a routine basis.

It's like holding gold bullion directly. Great, I can buy it; but how do I do transactions with it safely like I do with venmo?

[jacoavlu]

This whole bitcoin thing still boggles my mind. without a safe banking system that guarantees deposits in some form of structure; it's essentially mattress stuffing and doing direct transfers.

What I haven't gotten my head around is how this can be transacted without said banking system?

To me from the person seeing all these exchanges collapse over the years and reports of stolen wallets/hacked accounts, etc; it's not an area of having safe, transactional deals to be had in a routine basis.

It's like holding gold bullion directly. Great, I can buy it; but how do I do transactions with it safely like I do with venmo?

it’s perfectly safe. The network keeps functioning normally. Hold your keys and don’t give them to anyone else and you always have control of your coins.

it’s kind of like holding gold bullion except it’s digital and you can back it up. You can eliminate any single point of failure. And you don’t need permission from any third party to transact it.

Think about that for a bit.

[bovie]

and there are rumors of handshake deals with Gensler, SBF was lobbying in DC trying to get a regulatory monopoly, pushing the DCCPA, there are several connections between top level folks at FTX and Alameda and gov, and of course there are the $40M in political donations in 2020. He sat on stage with Bill Clinton and Tony Blair. He was a media darling, this sloppy looking autist with his crazy hair that showed up to congress with his shoes untied. The news stories are all very comically cringe now

if he doesn’t end up in jail that will tell you a lot

The real question is whether the guy in cell block D takes Bitcoin for cigs.

[jacoavlu]

The real question is whether the guy in cell block D takes Bitcoin for cigs.

honestly curious to see what happens. Plenty of scammers out there. Mashinsky of Celsius, Do Kwon of Luna, Zhu Su and Kyle Davies of 3AC, none of them in custody.

Meanwhile SEC levying fines agains Kim Kardashian for securities violations for taking compensation and posting on instagram promoting some shitcoin or NFT project or whatever.

more and more I don’t think we are a serious country. It’s low hanging fruit only.