People affected aren’t just FTT investors but anyone who used the FTX platform. This is I believe $16B? And, to make matters worse, this money was meant to be held 1:1 but looks like it was loaned out to SBFs trading firm (using FTT) in order to trade. They appear to have minted more FTT in order to make up lost funds (possibly in Q2 when other firms went down). This thread explains a pretty plausible version of events:
sure, I was mostly just disagreeing with “90% loss of a major coin”—but I suppose you can read that sentence more charitably. But focusing on the inherent value of FTT as the avenue of affecting customers I think is misguided.
People affected aren’t just FTT investors but anyone who used the FTX platform. This is I believe $16B? And, to make matters worse, this money was meant to be held 1:1 but looks like it was loaned out to SBFs trading firm (using FTT) in order to trade. They appear to have minted more FTT in order to make up lost funds (possibly in Q2 when other firms went down). This thread explains a pretty plausible version of events:
https://twitter.com/LucasNuzzi/status/1590122590206824448?t=ZMpzX12eJCqMhXxJgrdLiA
sure, I was mostly just disagreeing with “90% loss of a major coin”—but I suppose you can read that sentence more charitably. But focusing on the inherent value of FTT as the avenue of affecting customers I think is misguided.