➤ thank god for jerome powell
➤ retail customers getting fleeced
➤ shitcoins are king
🧵2/Ω
I'll say it again: shitcoins are king.
🧵3/Ω
$COIN is saying assets on platform are up 62% because more people moved their crypto onto Coinbase but... isn't the price of BTC and ETH also up like 70%?
🧵4/Ω
On the expense side $COIN's big layoffs in early January 2023 definitely showing up in the numbers bigtime.
🧵5/Ω
This program "Coinbase Borrow" is unsecured loans against crypto collateral (sort of) and will be discontinued as of May 10th (announcement was yesterday).
@HarrieScarlet pointed out most people thought this was a small # but $400 million in exposure is not small.
🧵6/Ω
$COIN provided vague "outlook". Remember this is an preliminary announcement and not an SEC filing so they can say kinda whatever they want, within reason.
tl;dr they are predicting big drop in revenue and higher costs.
god help them if the price of crypto falls again
🧵7/Ω
Also I couldn't help but be troubled by the fact that the federal reserve and the taxpayer bailed out such a piece of shit company, bc if Circle had lost $3.3bn in #SVB's collapse like it should have, $COIN would be totally rekt.
🧵8/Ω
Think about that anon the next time some crypto bro is trying to tell you about "operation chokepoint".
🧵1/Ω
It’s that time again. Gather round, children, for a thread about the closing arguments in the trial of Sam Bankman-Fried. #FTXTrial #FTXScam
Ω👇Ω
🧵2/Ω
The govt’s case revolves around a few things but fundamentally it’s about risks that were not disclosed to customers/investors.
According to the govt not only were these risks not disclosed SBF took steps to conceal them. Which is, you know, a crime
Text from my 📌 twt 👇
🧵3/Ω
It’s conceded by everyone including SBF himself that there were undisclosed risks so the question becomes one of intent. The govt’s argument is that the many steps taken to conceal the risks reveal ill intent. SBF's argument is basically "being irresponsible is not illegal"
🧵1/Ω
Thoughts from SBF’s 2nd day of cross examination:
Today went very, very badly for Mr. Bankman-Fried but it was still kind of a shame the jury didn’t get to witness the absolute train wreck of his first attempt especially this part:
🧵2/Ω
Things got off to a rough start when SBF tried to say that the million and one times he claimed that Alameda was just like any other FTX customer in every way he secretly was communicating that “every way” meant “one way”: Alameda didn’t front run FTX's customers.
🧵3/Ω
Cue AUSA bringing up approximately a bazillion tweets, emails, slack messages, etc. where SBF said Alameda was just like any other customer followed by the question “does it say ‘in terms of frontrunning customers’ here?”
1. I never imagined it would be so grimly satisfying to watch a man hang himself before my eyes. The only disappointing part was that today wasn’t in front of the jury.
🧵2/Ω
SBF’s “my view from the perspective of the data I had available to me at the time” and “I’ll try to answer the question I think yr asking”¹ schtick did not play well with the judge.
¹ he actually said this, after which the prosecutor said “you didn’t answer my question".
🧵3/Ω
His testimony today was about whether he would be able to use the “but my lawyer said it was OK” defense in front of the jury. Let me summarize how it went:
🧵1/Ω
Things I Learned From Caroline Ellison's Testimony That CoinDesk Has Declined to Mention, a Thread:
1. The billion dollars that SBF had to bribe Chinese officials to give back was held on Huobi and OKX.
🧵2/Ω
That bribe was for $150 million.
🧵3/Ω
Multiple people at FTX/Alameda had family ties to the Chinese government. One of those people thought the bribe was a bad idea and quit shortly thereafter. The other one was the guy who suggested the bribe.
🚨Ω🚨
Pumping my bags: another issue of #TheCryptocalypseChronicles is out on The Blogging Site That Shall Not Be Named concerning the actions of one #AxosFinancial AKA "#Binance's new US bank".
Link in bio because Elmo is pathetic and demonetizes links to That Other Site. $AX
🧵2/Ω
Perhaps unsurprisingly Axos Financial / $AX appears in the list of #FTX creditors.
🧵3/Ω
Also looks like the infamous #ReggieFowler, Crypto Capital Corp's main money launderer, invested $1.3 million with $AX according to court documents filed by #Tether / #Bitfinex begging for their money back.
Also $5 million to something related to Wacky Cathie's $ARKK? lol.
🧐 Just stumbled on this "FIAT INTEGRATION AND REVOLVING LOAN AGREEMENT DATED 10/16/2020" from #iFinex in the list of #FTX's assets from a few days ago.
🧵2/Ω
If you think through what that means... given that it appears in the FTX list of assets it appears that Tether had an open line of credit where they could borrow money from FTX?
1. What assets were they borrowing? 2. Why does a stablecoin issuer need to borrow anything?
🧵3/Ω
This might explain it... (h/t @ParrotCapital)