Re:What Happened at Alameda Research
by eternalban on Tuesday November 15, 2022 @08:55AM
(#33609189)
Unless there is some sort of event horizon in financial systems, it is wrong to use the word "lost" as if it is impossible to find out who got these kingly sums. Billions of dollars were "blown" and the question we should be asking, very forcefully, is who got that money.
[ Parent
| on HN ]
It's crypto! Once it's transferred off the exchange, it's in a pseudonymous wallet.
Just to confuse matters, it appears that both the exchange was hacked and an insider was draining funds just before it shut down. But before that, there was a lot of "money" that went out the door in legitimate trading losses.
Re:What Happened at Alameda Research
by eternalban on Tuesday November 15, 2022 @09:58AM
(#33609877)
(I thought these [addresses] could be watched.)
> there was a lot of "money" that went out the door in legitimate trading losses.
Let's not give them easy pass on this. I could be wrong so correct me on this:
Easy setup is to have a bunch of people setup 'shitcoins' and shell companies, scam people to put actual money into the scheme to pump the price, and then pay inflated prices for your fellow scam artists' shitcoins, so they clean out, but the chumps who bought your coin are holding the bag.
It could be that no one "got that money." If a stock is trading at $2X and the value of all of the shares is $1 billion, no one gets the money if the stock opens the next day at $X. That's the problem with thinking of stock prices as real money. (And, indeed, real cash can also lose value through inflation.)