Quote from: gurbar_nakub on Today at 12:10:22 PM

Quote from: adaseb on November 16, 2022, 08:44:04 PM

Looks like SBF is at it again and basically trying to lure investors into investing into FTX. He is looking to raise +$6B or so. I think he is trying to sell some FTX bonds which are paying 10% per year for 3 years and then converted into common stock.

Now I realise that Bitfinex did something similar when they got hacked back in 2015. They raised I think $1B very quickly. And their valuation is much lower back then than FTX today. However they got hacked... SBF committed fraud.

They seem to generate $10-20B in volume daily and $1B in revenue per year. Seems like a profitable company however.... will anyone actually invest billions after what he did? Will people actually still trade on FTX after all this mess?

I give this 10% chance of succeeding....

I give it 0%. It's basically an official Ponzi scheme and it involves using payment collected from new investors (FTX bonds) to pay off the earlier investors.

I agree that FTX has failed and there will be no chance of returning. However, it should be noted that FTX is not a ponzi scheme, as there is no proof or indication that FTX operates as a ponzi scheme. It was a centralized exchange and their downfall was due to their misuse of funds causing instability in their business or maybe this is a battle between rivals, unfortunately FTX lost. But I'm sure it's not a ponzi scheme.