Saturday, November 26, 2022
Every International Financial Centre (IFC) Should Repeal Every Forced Legalisation Motivated By Any EU/OECD Imitative
Tuesday, November 15, 2022
CEO of Alameda explained how they lost it all
FTX Ventures was a large money sink. These various illiquid assets were also money sinks. I think one of the investments was like 1bb on a crypto mining company that went bankrupt? Alameda had also bought out Binance’s stake in FTX for ~1-2bb.
FTX was buying luxury apartments in The Bahamas, building an office in The Bahamas and then currently in the middie of building a newer, costlier office that would be in the shape of an F. Stadium naming rights, advertisements, endorsements also aren't cheap.
It's important to note that at this point in time, none of the user funds had been touched and this had all come from mainly from Alameda loaning FTX money and being given FTT as collateral. Alameda was able to loan so much money to FTX partly because they just had a lot of money, but also because they had many loans themsevies from lenders such as Genesis.
Getting loans at that time was generally pretty easy. There is where the hole in the balance sheet came from Around 6 months ago.
LUNA crashed to 0, sending reverberations across the crypto world as they wiped out ~800bb in market value. Alameda didn't actually lose much money directly from Luna crashing, in fact they were probably net short at the time of the crash.
However, the Luna crash caused many firms to become liquidated, the most notable one being 3 Arrows Capital(3AC). 3AC had taken out a ton of loans (see point above about loans being easy to get), and 3AC defaulting caused a lot of these loaners to go bankrupt.
This event created what is known as the “credit crunch”. In the credit crunch, many loaners suddenly recalled all of their loans just to see who was still liquid.
Alameda lost a lot from giving out loans to firms who defaulted. Alameda was now also on the hook for money they didn't have, since they had given a lot of the loan money to FTX or had lost it loaning to now bankrupt counterparties.
SBF had two choices at this point, let Alameda get liquidated or send user money from FTX to ensure Alameda’s survival.
As you read online, SBF chose the latter. From this point onwards, it was just a ticking time bomb before the truth was found out and both FTX and Alameda liquidated.
No one at FTX or Alameda knew how much was spent and that FTX user funds had been used to save Alameda. All the credit crunch did was expedite how quickly FTX/Alameda's frivolous spending would be found out. Caroline painted Alameda and FTX getting liquidated as a likely event rather than a tail event (which would've been helpful to know before they hired me...).
It was also revealed at this time that Binance had stepped away from their deal to acquire FTX, citing that the hole in the balance sheet was too big to fill.
Monday, November 7, 2022
Polarization Matters Less Than Bridges
How do information, ideas and behaviours spread? Simple and complex contagions
A simplified way of presenting the extent to which polarization becomes a problem is then on two axes: number of poles and number of bridges.
Bridges are also important for governance even when there is pluralism of positions so that this does not turn into factionalism. Bridges that ensure greater density of relations between interest groups at the economic level, identity groups at the social level and ideological families at the political level. Bridges and fabrics.
Tuesday, October 18, 2022
Correcting course to accelerate poverty reduction
On End Poverty Day we must respond to current challenges in ways that do not further impoverish the poor today and focus on creating opportunities that they can enjoy tomorrow.
In any crisis, it is the poor that are hit hardest.
Thursday, September 22, 2022
You can keep your crumbling cookies, 5Billion Sales!
By Dennis Dames
They are now saying that they are conducting a manual verification from their back office on every locked-out affiliate, and will contact us accordingly when that exercise is completed. I doubt that that will ever happen.
The 5Billion Sales criminal organization has already directed all of our affiliate tagged URLs to their main page. That was the plan all along - in my humble opinion. It's a typical strategy of crooked MLM operators; to use innocent folks to build their elaborate Online scam establishment, and reap a whole lot of undeserved traffic.
To add insult to injury, they have included an "ACCEPT COOKIES" BUTTON to their website! DON'T ACCEPT 5BILLION SALES POISONOUS COOKIES.
5BILLION SALES OWE A GREAT LOT OF AFFILIATES COMMISSIONS - WHICH WAS DUE ON AUGUST 25, 2022! WE HAVE SOLD YOU OUR BROWSING DATA AND REFERRED OTHERS TO YOUR NO GOOD PROGRAM, AND WE WANT TO GET PAID, 5BILLION SALES!
Monday, September 5, 2022
Authorities in Asia are increasingly sensitive to the rising risks posed by crypto as adoption continues to spread
Crypto regulation, and regulatory frameworks are underway in several countries including India, Vietnam and Thailand
To be fully effective, crypto regulation should be closely coordinated across jurisdictions
The extent of integration of crypto into the financial system in Asia
Crypto is More in Step With Asia’s Equities, Highlighting Need for Regulation
Crypto trading volume, and co-movement with equity markets, has surged in the region.