[ceejayoz]

> With DeFi (decentralized finance) you have transparency over what the smart contract does.

No, you don't. People find subtle bugs in open source code all the time, some of them disastrous. Unintentional bugs in smart contracts have lost tens of millions of dollars multiple times; imagine what you could accomplish with intentional holes.

Parity lost $280M alone. https://www.cnbc.com/2017/11/08/accidental-bug-may-have-froz...

[redox99]

Smart contracts for sure have their issues. But I would still choose a smart contract any time over these crypto companies which are completely opaque and unregulated, and basically "just trust me bro".

[ceejayoz]

That's a false dichotomy; "neither" is an option.

[ClumsyPilot]

Thats a major problem, but it's a different problem to the one OP is talking about - some shady guy taking or misusing your money on a whim

[ceejayoz]

What if said shady guy wrote a subtle bug into the contract intentionally?

[ClumsyPilot]

Has this ever happened or its just a hypothetical?