I worked in bank liquidity and treasury for the better part of the last decade, and there is one very interesting risk factor from the SVB collapse that I do not think we have ever witnessed before in modern finance, a 🧵:
@javatime05@MacroCRG There are laws (in the US) - it is called registration with the CFTC/NFA. No cypto futures firms want to do this (and be regulated/supervised) as they won't be able to do this shady stuff. But the CFTC can't protect Americans with VPNs accessing non-US exchanges...
@umbrella_uni take a breath. If I'm a crypto investor that has $ on Binance, I'm still an investor - just not in Binance. That said, I am an unsecured creditor of Binance. You are taking the author's reference to investor too narrow. widen. Yes, I'm from tradfi and yes, I do get this.
🚨Alex from SwissBorg opening up on stage about other bad players in the DeFi space like Celsius and 3AC
Lessons:
1. If you do not know the source of the yield, you ARE the yield
2. Yielding is NOT trading
3. Be weary of high rates fixed over a long period of time
Just spoke with an LP in several crypto funds: he said when he asked funds why they did “lazy” DD on FTX, they responded basically “he was on the cover of Fortune Magazine. He was a big name.”
There’s going to be a lot of lawsuits. And a lot of funds will shutter.
New post (Alpha Innovations is looking for an experienced CTO with blockchain skills...) has been published on Alpha Innovations - https://t.co/eDuXovNRFo