[artdigital]

To be fair, ftx as an exchange had none of that Degen culture. They didn’t even have an Earn product with high yield. You could loan out your crypto, but the rate fully depends on how many people want to actually borrow it.

The FTT token itself was only used on the exchange to get some benefits like lower fees or free withdrawals and didn’t give any yield at all when staked.

From a risk averse user perspective and someone working in tech, there really wasn’t anything shady going on to suck people in. So them collapsing hurts and is very sad news for the entire ecosystem

[piva00]

The shady thing in the whole cryptocurrency scheme is the lack of total transparency, aka: lack of regulations.

Without regulations there's absolutely no incentive for them to be transparent, there are tons of perverse incentives to hide and cook the books though.

[TimJRobinson]

DeFi products like Uniswap, Balancer, GMX are all 100% open source and transparent. They can't lock customer funds or collapse because the funds are held by code, not humans who can secretly gamble it away.

It's frustrating that centralized opaque companies keep failing and yet people keep trusting them or lumping DeFi into the same bucket when they are night and day different. Decentralized Finance is the point of Crypto.

[piva00]

DeFi, where buggy code is the law and there's no reversing transactions in case of it.

No, thanks...