Well, you know it. A guy ‘lost’ some B$ in his crypto exchange, and the problem it isn’t if he stolen these money or is only stupid. I’m not an economist and I know only what I read around, like most of you.
The problem is that many people lost their money, investment funds lost their money, maybe families lost their money. It isn’t possible to know who and how much people bought FTX crypto, and how much companies invested in the Sam Bankman-Fried’s crypto exchange. If you don’t know anything about this, you can read here; Wikipedia is ever a good point to start for.
SBF, as he is named, founded his company in 2019 at Bahamas, and there’s an hedge fund named Alameda headquartered in Hong Kong. Together Binance, the greatest crypto exchange, and CoinBase, they manage some 70% of all crypto exchange market. It’s a strange world, I know, but aren’t Monopoly money. Are real ones. Today, SBF is under arrest, but until two months ago banks and government thought that he was a genius and a good boy.
The lost is only another more one since 2008, Lehman Brothers, do you remember? The FTX crash is the same than LB one, but in crypto currency and new economy crashes just like the old one, like Dutch poppies.
And what is happening to Twitter, but also Facebook, should push in your mind a question: what about everytime these platforms, or Google, or Booking.com, or Amazon, Uber, change their algorythm? You don’t own it, so you cannot manage it, cannot control it. You’re at the unknown rules of these Big Tech. How much do you depend to algorithm you don’t own?
I’m a technology lover, I’ve been working in technology since 1984 and I saw so many evolution, from fax and Packet Network to cloud and Internet of Things. But just for that I say you that you need a deep knowledge of digital technology, or speaking about technology with people you trust, before to try a digital strategy.
Who invested their money in crypto exchanges, or other esoterics things, thought that it was a good business: they were conviced that it was with graphics, power point presentations, vision of future. Wonderful, don’t? But they lost their money, sad story.