An ex-colleague of mine worked for OneCoin (another crypto scam originating from Bulgaria) when their offices got raided a few years ago. Now he’s an engineering manager at Nexo.
I honestly think a lot of the employees of these companies don’t know about the underlying fraud. The cryptocurrency world is full of rationalizations and illogical beliefs that make a lot of these businesses sound legitimate to the underinformed.
That said, I’ve had nothing but bad experiences with cryptocurrency obsessed hires and peers in the workplace. This got especially bad in 2022 when people’s portfolios were up and they all believed they were on the verge of retiring wealthy. There’s something about buying into the crypto dream that makes people think they’ve found a cheat code to financial freedom while the rest of us are stupidly working our jobs.
I’ve watched the same exact pattern play out with coworkers who bought into MLM schemes or self-help guru courses. These fantasies about breaking free from the world through “secret” financial instruments will always be attractive to some subset of people.
Human psychology allows for these traps and while people eventually realize what are traps new ones emerge and the cycle continues. Too bad this whole phenomena takes away any benefit crypto could have brought
Shady. Willing to be paid in strange currencies deposited in overseas banks. Likely to have tax troubles one day. Knows how to buy a plane ticket using cash. Strong opinions on Krugerrand valuation. Owns a motorcycle without an odometer. Bought a house with a series of 9,999$ travelers checks. More likely to install a Kim Dotcom-type panic room than run for public office.
> Willing to be paid in strange currencies deposited in overseas banks.
I'd need a more concrete definition for 'strange currencies', but discriminatory behaviour shouldn't be applied to anyone that has an account overseas, especially in the age of global banking & cross-border payments.
> Likely to have tax troubles one day.
On the one hand, this will definitely happen: Internationally-acquired income often subsequently leads to poor tax handling, especially if the individual involved is unfamiliar with the intricacies of filing taxes for such sources of income.
However, it is also a consequence of overlapping jurisdictions & law enforcement, with unified, clear & unambiguous definitions being the exception rather than the norm.
> Knows how to buy a plane ticket using cash.
Why is using cash a problematic behaviour now? Just because I still use cash doesn't mean that I should be classified as 'shady'.
> Strong opinions on Krugerrand valuation.
Tried to search this & only found references to the gold coin with the same name. As similarly stated beforehand, why is being a goldbug now 'shady'?
> Owns a motorcycle without an odometer.
...I can see why: An odometer, coupled with the motorcycle's purchase histories, is a good way of finding out the roads that a person used to travel on with some reliability.
> Bought a house with a series of 9,999$ travelers checks.
Same as the plane ticket: The large denomination will raise eyebrows, but it shouldn't be used as a marker for discrimination.
> More likely to install a Kim Dotcom-type panic room than run for public office.
...This is similar to the odometer-less motorcycle: The individual wanting to install a panic room is likely someone that's thinking about worst case scenarios, & planning with that in mind.
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All of the listed "shady" traits stem from a core: Paranoia, specifically paranoia of a malicious State. More generally, it's the fear that the State will use the information it gathered about a person for unwarranted surveillance & eventually prosecution over the slightest infractions.
In earnest: Why is paranoia suddenly a "shady" thing?
A bike without an odometer is "true mileage unknown" (TMU) which makes selling/insuring/valuing it somewhat difficult. On a custom chopper that is normal. Many choppers don't even have speedometers. But on a normal bike missing such instruments is seen as a red flag that the bike is stolen and/or made from stolen parts.
odometer value is easily modified, even with digital ones. Even then, it is often not accurate at all, especially on motorcycles, due to the fact that it is usually driven by a cable attached to the front wheel (just disconnect the cable and number never goes up).
Maybe in the 1980s. On a modern bike it is integrated into the transmission, usually on the drive sprocket. And then the signal is used in slightly different ways, with the odometer being accurate and the speedometer generally reading a few % higher than the actual speed. Some bikes may also use it for electronic engine/emission controls too.
The same reason your cell phone fell out of your pocket in the driveway before the trip. So that it never happened.
I think this is easier with bikes because there's more repair culture and more off-roading. Off-road bikes generally have all non-essentials stripped and left in a box, blinkers, odometer, fancy fenders...
A famous short seller, I think it was Chanos but I can't remember, once said in an interview that they follow where the management of past frauds go as a signal to determine future frauds.
Just like every ponzi scheme, the trick is to get out in time. I wonder how many people worked for Madoff but left before it all fell apart. How many of them are now working in other financial jobs? or Lehman bros.
Fun fact, one of the biggest benificiaries of madoff's scheme is believed to be madoff's victim/investor Jeffry Picower.
Picower may have figured out it was a Ponzi and agreed to "invest" in the scheme when Madoff became desperate for liquidity. But there was plausible deniability as he was just a guy who bought in at times and sold off at others.
So maybe the actual trick is people like Picower, who identify these schemes and then leverage the scheme to their advantage while all along looking like another victim and never once speaking about their suspicions or getting involved in the mechanics. Which brings me to think perhaps the Picowers in SBF's scheme were some of his investors who figured out it was a scheme but believed they could cash out before it toppled.
Scheme no, but it was a company that fell apart quickly. Employees would be better served to get out and secure a new job the day before a crash rather than the day after.
That said, I’ve had nothing but bad experiences with cryptocurrency obsessed hires and peers in the workplace. This got especially bad in 2022 when people’s portfolios were up and they all believed they were on the verge of retiring wealthy. There’s something about buying into the crypto dream that makes people think they’ve found a cheat code to financial freedom while the rest of us are stupidly working our jobs.
I’ve watched the same exact pattern play out with coworkers who bought into MLM schemes or self-help guru courses. These fantasies about breaking free from the world through “secret” financial instruments will always be attractive to some subset of people.