1/7

A lot of crypto people delivering a bad take here saying this wasn't a hack.

It wasn't a hack where someone gained direct access to Coinbase's cold wallet but it was still a hack, because a piece of code Coinbase was running seems to have been the point of fault.
2/7

Notably the hackers had to have the email and password for the account, and an associated phone number to perform the exploit.

What people forget is many other crypto exchanges have had hacks where their database was dumped including KYC and 2FA information
3/7

So identifying that information is not nearly as hard as people might think, and sadly many users don't use unique passwords or rotate emails/user names between exchanges.
4/7

There are also tons of databases that match emails to phone numbers, including the massive Facebook leak where most people have all their email addressed tied to an account that has their mobile number as well.
5/7

By knowing this information hackers were able to seemingly by-pass multi-factor authentication without being in control of the authentication device.

If that is accurate, that's a pretty big deal and it is a hack.
6/7

Is it a bad one? No.

Is it some massive wallet drain? No.

Was that news title sensationalized? Yes.

But it is a pretty big security oversight from the company & likely impacted people who we'd see as having small balances but that were probably highly meaningful to them
7/7

Just because we want to preserve this industry, doesn't mean we should do the exact opposite of sensational journalism like this and wipe things under the rug.

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More from @adamscochran

30 Sep
1/11

If you don't follow US politics, let me just say that this debt ceiling stand-off is an utter shitshow right now.
2/11

Political games are being played all over the spectrum and there is a signifgant level of disarray and divide here.
3/11

Do I think the US government will default on its debt?

No.

That would be the most catastrophic thing to ever happen in modern finance and would impact the global economy for a century.

I think we'll avoid that.
Read 11 tweets
29 Sep
1/4

It really annoys me, how nearly every G7 central bank chief thinks that consumer price inflation is transitory and pricing will restore once supply chains resolve.

Really?

When is the last time a business *lowered* a price you were already paying?
2/4

If a business had customers at a higher price, they won't lower it even if their costs go down.

Our financial policy is made by people who don't even remember what it is like to operate in the real world any more.
3/4

Its political games and ivory tower policy that is playing with the livelihood of everyday people.

Their decisions impact our mortgages. They impact the cost to put food on your families tables or the ever rising cost of that first home.
Read 4 tweets
29 Sep
1/16

I'll take the opposite side in this debate, somewhat.

I think most DAO's today are nonsense larps not because of decentralization but because their participants don't have a clue about business, and the teams have no idea how to set up strong governance systems.
2/16

That said I believe DAO's are absolutely the future of this space and many projects are decentralized, but they've decentralized without the right systems in place to manage that and without the right knowledge.
3/16

Many large companies still think you can't work remotely nevermind in a decentralized fashion, but that simply isn't true.

I spent the last decade working for remote companies many of whom are some of the most effective operators in the space.
Read 19 tweets
27 Sep
1/22

I love DyDx as a product, it shows the huge value that onchain perps are going to have. But, I think its overvalued compare to the upside potential of others in the space.

China's push on CEXs was a huge gift to the space, that while up large, I think is just starting.
2/22

Unlike a lot of projects DyDx's token is strictly governance. There will be no fee capture, no use case, no buy backs.

All the trade fees actually go to equity holders, and unlike some other systems these aren't variables in the contract that the DAO can vote to change
3/22

The $20B FDV puts it on par with FTX, which if it can continue to grow its volume and maintain this level of liquidity depth, may actually be only minimally over priced.
Read 23 tweets
25 Sep
1/21

Feels like MKR, once a defi darling, has kind of had its days behind it.

We're seeing a pretty big shift that I think highlights really interesting lessons for defi projects.
2/21

$DAI won out by being novel, innovative and most importantly defining for the ecosystem. The $MKR team created the foundation tooling and standards for many of the practices we have in defi today.
3/21

But, as they've grown and further decentralized they've built great procedures for managing the existing DAO operations within a framework, but not for fostering innovation.

Which is a classic startup problem only amplified by unstructured systems.
Read 21 tweets
22 Sep
1/4

Just save your money like its 1965, just don't buy coffee away from home and you'll totally be able to buy a house and live the American dream.

"Save $5 a week and get 8% interest"

....
2/4

...crazy high interest for equities in normal years, and would result in $130k at retirement.

Given the 380% inflation in the last 40 years, that'd be worth around $34k in same year buying power.
3/4

So lets assume you live 20 years past retirement, basically you get the equivalent of an extra $1700.

Thank god you gave up that coffee and pulled up your bootstraps...
Read 4 tweets

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