Re:Cryptocurrency loan platform implodes in $130M hack
by gitfan86 on Friday October 29, 2021 @12:00PM
(#29040083)
So the way to fix this is to do what banks and stock exchanges do. Operate under a regulatory framework that has defined legal precedence to avoid someone take advantage of an unintended loophole. But at that point you are defeating the whole point of crypto being decentralized and permissionless.
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Re:Cryptocurrency loan platform implodes in $130M hack
by sokoloff on Friday October 29, 2021 @12:07PM
(#29040172)
Isn't the entire $GME thing an example where someone took advantage of a situation where counterparties got way out over their skis and buyers of $GME profited well in excess of any reasonable estimation of Gamestop's promise of business results via what amounts to an unintended loophole?
Re:Cryptocurrency loan platform implodes in $130M hack
by vkou on Friday October 29, 2021 @01:38PM
(#29041321)
There is no bounded 'reasonable' estimation or expectations of how much money you can gain/lose by trading options. They are a force multiplier that can explode very spectacularly, in many different ways, and everyone involved in finance understands that.
If you want your gains/losses to be reasonably bound, you have to limit yourself to buying and selling stocks directly. Unfortunately, there's not enough money in that to make a living day-trading.
Re:Cryptocurrency loan platform implodes in $130M hack
by gitfan86 on Saturday October 30, 2021 @08:40AM
(#29048318)
No one ever entered into any agreement where they were expected to buy stocks at reasonable prices.
It is like when Kim Kardashian gets paid 50M for a 30 second add on Instagram. I may think that is unreasonable, but I don't have any contract with anyone implying that she be paid a standard actor's wage.
Re:Cryptocurrency loan platform implodes in $130M hack
by jquery on Friday October 29, 2021 @05:08PM
(#29043578)
The bug that allowed that to happen has essentially been patched. (Risk analysis that didn’t take into account Robinhood giving immediate margin to any rando that signs up). Robinhood very nearly melted down, Lehman Brothers style.