Bitcoin Forum

A lot of bad incidences happened in crypto community this year including:

1) FTX
2) Luna
3) Gemini Earn
4) Celcius
5) Voyager
6)BlockFi

All these incidences happened because of the greed of some people. It is important to control the entry of these kind of people as developers or people behind some new crypto projects. Otherwise people will have very less trust left on crypto in general and people will move to other alternatives. What do you think are the required steps to prevent these incidences from occurring in future ? Or are these unavoidable ?

It is avoidable when hodlers choose rightly to invest properly and not giving centralised system this chance to always scam them. The point to this is to not give scammers this opportunity, close the loop holes. For exchange you don't leave your coins with the exchange this is why the huge sum of estimated $10 billion was lost in FTZ scam. Another is to invest major in bitcoin because some investors want to buy cheap unit of coins , accumulation of satoshi is more secured.

Can I say that the greed is actually from both sides? Especially users, they have their own criteria to consider this kind of service legit.

It doesn't mean that it will be completely finished, leaving only a handful of people who always uphold the concept of non-custody.

If the first point could be deducted, not many people would fall.

In the case of centralised systems, taking your funds off the service is the best way to do it. Most of the systems that failed were centralised or backed by centralised funds.

For "decentralised" mechanisms like luna, high growth generally stems from high risk. The stablecoin was backed by the depth and the order book of luna. The mechanism was still safe for a few days after it was broken so vigilance would've stopped you from making a loss greater than ~5-30% as.i remember it.

I think I agree that one of the main reasons why most of these crypto companies are failing is because of greed. Another important cause of all these challenges is lack of risk management and financial management knowledge. Most of these exchanges use people's deposit to fund risky businesses without considering the financial implications. They are just young CEOs that lacks basic forms of financial intelligence. I also agree that there should be a kind of regulations that would help ensure that these centralized businesses operate based on stipulated standards or guidelines so that clients can be protected from loss of funds. There should be a sort of insurance structure that can facilitate the recovery of funds and prompt payments of depositors. But using decentralized exchanges and P2P transactions options still remains the best alternative.     

There were theories that FTX causes the collapse of 3AC, Luna, Blockfi, and all the rest and bought them all as well to make sure they look like a savior of crypto and gain the trust of celebrities and big investors.

Many of these stories come out Cofounder of 3AC Kyle Davies also confirms that FTX contributes to its collapse. And even Huobi CoFounder Wang confirms FTX contributes Luna's collapse. There were interviews like this one https://www.youtube.com/watch?v=zTuzyByADv0


CZ has the initiative for the recovery funds and proof of reserves.

In my opinion, if investing in Altcoins is very difficult to guarantee that you will survive the incident you experienced as you mentioned above, logically humans will make themselves happy and save themselves first before other people. Most likely the projects they run fail, they always save themselves first.
The way to anticipate this is not to invest in Altcoins.
I suggest you only invest in bitcoins for your safety. If you don't trust a DEX or CEX to store your Bitcoins, you can use a hardware wallet to make it even more secure.

Simply avoid or be very careful with projects that build on faulty/weak foundation that is contrary to the one Satoshi laid for the cryptocurrency space.
There will always be very corrupt people and rule breakers in any community. Don't support or join them.

---

There are curses/punishments reserved for those who create problems rather than solving problems. What they sow, which is problem, returns to them in many folds. Don't support their evil works else you will share in their curses

The main cause here is greed but the greed of everyone including investors. I believe everyone is aware that leaving money on a centralized exchange is very risky but they have chosen to ignore it and make a profit instead. I know that there are a lot of people who have lost money investing in these platforms but why are there still so many people unaffected? so don't just blame the developer but curb our greed. There have been a lot of previous lessons like Mt.Gox but most people will forget very quickly and keep diving into them looking for profit. So in my opinion there is no way to fix it.

That's true--however, when there's also a huge amount of ignorance on the part of the greedy "investors" (they're much more like speculators), the playing field is so uneven that no game ought to be played on it at all.  People who kept their funds on FTX were probably thinking it was as safe a a bank, and all of those celebrity endorsements and advertisements only lent credence to that belief.

And man, did they find out the hard way the meaning of NYK,NYC....hopefully.  I also think it's unfortunate that this whole disaster probably soured a lot of people on crypto altogether, in addition to attracting all sorts of attention from big daddy government.  Everything right now is suck to the power of suck.

None of this would have been as bad as it is had it not been for all of those speculators, too.  That's the crazy part; crypto has seen exchange meltdowns many times, but now that bitcoin, altcoins, DeFi, and everything else has gone mainstream there's a lot more money being funneled into shitty scams like FTX.

FTX, Luna and Celsius areindeed controlled by corrupt CEO but the rest on the list is just a victim of poor financial management for being affiliated to the corrupt people that I mention. There’s always like this kind of people in the world of finance because greed makes people do unimaginable things just to get richer using other people money.

Even on physical company has a corruption inside. They just being busted quickly because they have an official audit unlike crypto company that operating on stealth mode from regulators. I believe this corruption will never stop in crypto because being decentralized and anonymous always give temptation to people to do greedy things.

The speculators are people that lead on those investors and as humans they fell to the greed.
I personally would love celebrities that advertise these scam exchanges or rather ponzi schemes being punished but who will do that the same government that has been tipped off by these exchanges. The only thing is too keep warning people off them, sadly that's all we can do for now.

We cannot stop people like that to form part of this market as they are not only on the CEO, owner or developer side, they are also part of the traders and investors we have in this market, in fact we can even say that they cater specifically to those people, after all it is not like they can convince the bitcoin maximalists to invest in any other coin or to sell their bitcoin, and while tragic it is not possible for anyone to stop this kind of thing from happening again.

I would like to mention the FTX platform, which did not fall only because of the greed of its owners, because they could have remedied the matter to some extent, had corruption not had other, more serious aspects. In my opinion, the Binance platform dealt it the final blow by offering savings from FTT for sale at a value of more than $500 million, despite the fact that an offer was made by the FTX platform to buy that amount at a value of $22 per token, which is the current price at the time, in order to avoid the collapse of the price, but it refused. And put it up for sale to increase the state of panic and the price of the token to only $2. This led to a complete collapse of the currency, followed by a complete collapse of the platform. Binance's greed is a manifestation of corruption that is far more dangerous than temporal greed.

alternative to crypto? do you mean CBDC or something else? I think that CEX ending as a scam will not reduce people's interest in crypto.


To prevent this from happening again in the future - people should be able to trust DEXs more and keep their assets only in personal wallets instead of CEXs.

You will find manipulative, opportunistic and down right dirty people in all walks of life. These are the sort of people who will try to take advantage of the naive or uneducated, in order to take a short cut to wealth. The only way to protect yourself is by making the odd mistake, ideally on a small scale, then learning from them - but understanding that it is definitely not easy to become rich for 99.99% of people. To some degree it is an unavoidable dilemma, as there is a small group that for whatever reason will not learn and end up falling for the same things in slightly different formats again and again. The best defense is forever questioning why and learning more.

IMO they are generally unavoidable and the only thing you can do is protect yourself by doing proper research about crypto projects before joining them and also not to keep your coins on exchanges.

It is difficult to truly know the nature of someone even developers. People change and no matter what you think of someone, there is a possibility that they can change. Some of these developers paint a good image of themselves at the beginning and when they start becoming greedy, many people will really not know.

What other alternatives?

Define greed. Who is not greedy? The miner trying to earn some profit? The trader trying to earn some profit? The developer trying to earn some profit? The investors trying to earn some profit? Govern officials trying to earn some profit? Small investors jumping in without understanding the basics of even bitcoin and driven by baseless propaganda? Was that not greed from people who don't understand anything and just ask in social media what to invest on? Now that it did not make them a millionaire someone else is greedy? They were being used as scapegoat to destroy whatever good is left in crypto. A fool and his money is soon parted. Not only that a fool is a liability on everybody else in the society including those who tried to give him good advise and only got insult or harm in return. These fools would have lost their money anywhere they would have invested why blame crypto market or bitcoin alone?   

Hint: it is not greed that brought the system down it is something else but I would not like to point it out as that makes me unpopular and someone who can't see it himself will never understand that. I can only give hints with the hope if they get it themselves they will bot abuse me and will be helpful to them and me as well. There is no point discussing with people that are brainwashed in a certain way that is so visible by their use of words like greed, profiteering, etc. This is economic forum talk in terms of economics. If you are talking about economic greed then your post does not make any sense as it is contradictory as you cannot ban or legislate away economic greed without removing people's right to property and that is why I am saying this has a may be unconscious or unintended narrow political tunnel vision. You lined up the events right. But what was the fundamental economical problem with all of these platforms? Do you have the courage to admit that? You know it if you understand bitcoin. Think clearly without political and religious bias. Biases are your enemy as a decision maker. You should be free from all biases as much as possible to be a good decision maker. Think only in terms of economics, maths and stats. You will get the stone cold right answer. I will not provide the answer. You must work to free your mind of irrational biases. The last hint is it is not bitcoin's fault but bitcoin is being blamed because all of these salesy, marketing folks knew it is only bitcoin that can shore up their shit coins. Ultimately why "people" bought these? Somebody held a gun at their head to buy any of these shit coins? If not why are they behaving like crybabies? Finally what is the harm if "People" lose trust in crypto in general and move to other alternatives? People were not interested in bitcoin say 7 years back. Did that stop us from making money in bitcoin and crypto? It is advantageous if people do not buy good technology and we get the opportunity to buy it cheap for longer period in time. The later people will return to bitcoin or crypto the better it is for early responsible investors. This is basic Warren Buffet advice and he is right here. Your "People" has no opinion of their own. A few carefully placed articles and few advertisements with big tit beautiful hosts will again bring them back to crypto or whatever. How else they invested in these shit coins? They will anyway lose their money on whatever else they invest without understanding the basics be it financial markets, real estate, business, whatever unless they are lucky enough to win a lottery ticket and do not come back for more. What is your charge against the entrepreneurs? Their ideas were flawed? They themselves also lost money. Why did not "people" understand that? Many of us did and avoided all of these shit coins as media were touting them. There are many more left that will meet the same end. Until then someone may make money in those coins but that is just winning lottery. I am not going to touch them. Some may not have started as shit but adopted shitty ideas for any touchy feely cause that can motivate "people". The fish that took the bait has no responsibility for its demise? If you believe in a cause then go volunteer for that cause do not go through 5 pass throughs. Your time is the costliest donation to a cause. Everything else is advertisement or tax dodging or something even worse.

I would just add ---- It is the intention of big old money that "people" lose trust in crypto in general and move to other alternatives. Bitcoin and crypto is the only asset where intelligent retail is ahead of Big Old money. They will use all arrows in their quiver to nail retail. Examples, regulation, using dumb retail to go against intelligent retail, media, advertisements, touchy feely ideas that will make people emotional. Just study Warren Buffet's statement about crypto in last year or so. I gave him credit where he is right. But ultimately he is not a nice man. You have to differentiate image building and subtle advertisements from reality. Many big banks and financial institutions doing the same. Why is sec denying convertibility of some bitcoin ETF? Who are they protecting? Small investors or their rich old connected buddies? Think. Make a habit of thinking.

You can't but stop thing like this in a business. Most people lose their money in crypto because of greediness

The fact that crypto is for everyone, it means that anyone can be their own developer. We can't control people like them to get in or out from the market.

What we must do is to equip ourselves with basic knowledge and understanding about the possible red flags that one can be seen as a CEO or owner of any project.

We don't know when a project will turn the other way because of the poor management and attitude of its CEO.

The incident that happened to FTX, Luna, Gemini Earnings, Celsius , Wanderer, and Block Fi was an event that was unexpected by everyone even though it turned out to be a disaster or disaster for all of them. But it was totally unexpected by many people because FTX is an old exchange trusted by many people and it's not a new exchange at all. And one of the ways to avoid having something happen to them all is not to believe it when new programs, platforms and exchanges offer more services and make no sense at all.

Human mind with greed is nothing different from the reality. This greed could happen out of different reasons. Here what I see with these people as the reason to be greedy is to keep themselves on the top. The network authorities plan for something and things didn't take place as planned. This is where everything gets collapsed and we experience hard days out of the market.

In my opinion it's unavoiable, unless you don't invest your money in any platforms. I say that because we never know the true character of the person on the other side of the screen. They will highlight their personal qualities, but we don't know their defects and what they do on the backgrounds.

There are some points we can observe in order to not be fooled by scammers, but it's not a guarantee, though. Only God knows what is going on the hearts and minds of each man. We don't have this trait.

What I can say is to avoid manipulators, that is: people who don't accept criticisms and answer them without going directly to the point, rather they attack the criticizer on another matters that have nothing to do with the main discussion. We can also label them as egocentrics or narcissistics.

And avoid people who are sudden phenomenons praised, endorsed and promoted by the media and groups of power. Also avoid people who want to look too good, altruistic and benevolent in an artificial way.

These are the worst and easiest to recognize, but there are many others.

People typically look to God or governments to do all the hard work to protect them. It is a strange scenario where the human brain is the most powerful thing people possess. Yet most pride themselves in not learning and developing their minds, which is one of their strongest assets. People expect leaders and the rich to protect them. But most leaders and the wealthy want people to remain unknowledgeable and limited as it makes it easier to persuade workers to accept pay cuts and also easier to boost profits.

The area where the biggest gains can be made is by average and ordinary people making more of an effort to learn, develop their minds and knowledge. That is the only thing that can ever have the potential to abolish things like poverty and corruption. The only reason corruption can exist is due to a lack of education and lack of knowledge empowering it.

This is not greed. These are quite targeted actions, of a criminal nature, or, in an easy version, fraud on a fairly large scale. But whatever one may say - the appropriation of other people's funds is theft!
Having uncontrolled access to resource management, in a market that is not very well regulated by law, people have a desire to get "everything now", and potentially avoid punishment, given the specifics of the "product".

Greed often causes damage to thinking, so people tend to do things without compromising reality, certain authorities will only complicate things when a network is not planned properly. Therefore, certain greed will not be able to solve the corrupt problems that occur in the crypto space, in fact it will be difficult to identify how to avoid this problem, because these thoughts are based on greed that is started by each individual human being.

In my opinion there is no easy solution for this. Ultimately though, there definitely needs to be some sort of oversight entity that will govern and more regulation and oversight at an early stage.

I think this is similar to the way stock markets are regulated in the US or other countries where there needs to be clear definitions/standards according to what is allowed and what is not when creating crypto tokens, selling tokens for fundraising, or using tokens for voting/ governance.

This will prevent people from profiting from someone else's misfortune. otherwise it would collapse on its own—as was happening right now.

All these are happening because people is changing what crypto supposed to be, how Satoshi left it for them, coins transactions supposed to be trustless in a way you do not have to depend on any centralized service, but see all what you named, they are centralized services, nothing like noncustodial wallet or decentralized exchange like Bisq mentioned. If you trust someone, the person can disappoint you, which was what FTX started.

In crypto we must not trust any third party, in crypto we need to verify!

I don't know the reason why you say them corrupt, they're not corrupt but greedy since they're leaving their coins on the centralized exchange in order to save few dollar and stake their coins on lending platform to get tiny amount interest.

But the thing is they're risking all of their coins on the exchange, does it's worth to earn 5% per year but the risk is 100% of your initial capital? really not worth it.

You have greed and I have greed too, we all have greed so as long as greed persists it will not be possible to prevent scams. Cryptohave always been considered a risky and scam market, we should protect ourselves against that if we can't protect ourselves it's best to leave the market, don't expect the government or a hero to protect us.

Honestly, I'm fine with the market, I have nothing to lose from the recent crashes because I know that no one can be trusted in this market, I just believe in myself and I'm always ready to accept if something goes wrong with me.

Because human behavior has the same instinct of being greedy, those people who know how to play the crypto market become corrupt in this field, and those who are greedy usually becomes a victim. If all those new crypto enthusiasts know how to keep their crypto safe and do not use custodial exchange or wallet upon storing their crypto, --there is no corruption that happen.
We hope that people learned now what happened on FTX, this could be a mistake that we should not forget and should be learned.

Everyone is here for profits besides the fact that we also here for the privacy. However, due to some upgraded and extensions in the crypto space over the period of time (introduction of centralised exchangers, NFT crap, Meme crap) and much more we got diverted. Then peeps started seeing huge amount of money along the way and mostly developers and project owners literally started to blow off the bubble with that intentions only.

Now, peeps themselves are trading to earn profits. However, when the limit of earning reaches beyond millions of dollars in short period of time then greed takes over.

Guess what the role is played by either project owners or peeps as whale investors. So these things were supposed to happen someday or other.

Point of correction. People will less trust in CEX, and centralized financial services and move to alternatives using DeFi, DEX, and non-custodial wallets which is what this forum always advises.
If you do some online surfing you'll see that the number of hardware wallet users has increased lately which shows that people are already moving to the alternatives.

What I believe require to prevent future malpractice in the CEX, and centralized financial services is regulation and it is against the liberation introduced by Crypto.

Soon Coinbase, Binance (the most corrupt), Tether.

I agree with you that custodian wallets should not be used to store our crypto assets, but if you say people should stop using custodial exchanges, I think we won't be able to do it. Although, centralized exchanges are risky, there is no denying that they are an extremely important part of the market. They make it convenient for us to provide services that are easy to use and very suitable for many people, especially newbies. Defi and DEX currently have a lot of limitations and their use is also difficult, that's why people are still not excited about DEX.
My point is to still use CEX but never put your full trust in them, never leave money on it, trade only when necessary and withdraw everything when done.

In fact, it is difficult to prevent such incidents from happening in the future, because greed exists as a basic instinct of many people and therefore they will constantly try to get big money in any way and it is difficult to stop them, the best way to stay safe is to avoid these central projects and increase knowledge and awareness towards these Type of projects, these things come by increasing knowledge and experience and conducting deep research before investing in any project.
In any case, I am happy that the Crypto market is cleaning itself of these weak and false projects that will collapse little by little, and only the strong and worthwhile projects will remain in the market.

There are many cases where exchanges have been subjected to hacks, fake trades and exit scams. Good business ethics will prove that the product works well and is profitable.

One thing you can do is use more than one exchange, so your risk is spread out. The downside is that if one of them does Binance, you lose all your crypto. Also, beware of fake exchanges that are only there to steal your private keys and passwords.

when he said "PEOPLE" i really thought he'd named someone from the forum and have proof. but let me give one which i think we might all agree.

Gary Gensler. this man behaved like he knew crypto and even taught blockchain in MIT where the Bitcoin community thought he could be the right man to be on SEC, it turns out he's a bad actor.

This is due to the greed of the project teams, their lack of experience, and their haste in making the wrong decision. Unfortunately, the investors are the victims of this greed and ignorance. I see that these incidents that have occurred and will happen will be unavoidable, but we, as investors, have to learn from experiences and incidents in order to reduce losses in the future, so we must not put all our wealth in one currency, no matter how strong it is in the market, as it may vanish in days, and we do not keep our wealth in a central exchange platform, as there are many safe alternatives. With time, we can gain enough experience that enables us not to make such mistakes and not become victims of such incidents.

FTX was founded in 2019, so it's hardly an old exchange even by bitcoin standards, barely 3 years old and only getting world recognition in the bull run in 2021, when probably all the troubles also started.


Of some?
No, of everyone involved, because what could have been other than greed that made you deposit your tokens on a barely regulated entity with no guarantee other than their word for a 5-15%  APY? Common, honesty time, there are hundreds even now on this forum who despite all the crashes, despite the bolded announcement on top of the page will still deposit their tokens for returns, because an x10 in a few years is not enough, they want another 2x, and they want it now!
This would have not happened if everyone would have played by the first rule, be your own bank, do not trust a wanna-be bank with your coins, worse than actual banks, and for what?
SBF could have been the scammer of all cammers, if none would have trusted him with money he couldn't have scammed anybody!


Or, or, let me voice this outrageous idea...
We could do without every single of those companies that need to be supervised by some entity.

See, simple, it's me and the merchant, the money is in my wallet it goes to the merchant when I buy something, it goes to my friend's wallet when I want to give him money, no ftx, no celsius, no, voyager, no #safu!

After various occurrences this year in cryptocurrency luna crashing and FTX to some extent, people's eyes were opened even with the security of your asset on an exchange, looking at the top of bitcointalk news you will see that it was a clear warning about not keeping your money in an online account is very risky but despite the warnings, people will not change but the issue of FTX served as a lesson to everyone who keeps their money on an exchange because your assets are in their custody.

Now the issue is currently hot which it did really make out some results on making the community would really be put up on extreme fear,anxiety and hesitance.This is why it is really that hard on pumping out the

market.We cant really deny that people are observing now which there might be even more similar scenarios or events and some are really just waiting for the right opportunity to buy on possible bottom.

The way you could really make yourself avoid with these scams and frauds is that you should really be that confident for whatever things that you do have in mind.
Corrupt and other things in related is not something new on this market.So better prepare yourself anytime.

I am not sure what means corrupt in this case. But if this is about what happened to some projects that you mentioned, this may not relate tot he corrupt. But this is more to the scams and fraud. But, whatever the term, those incidents really disappointed us. They were big projects with massive community and progress, but in fact, they could be crashed very easily. We may not expect that this will happen. But in fact, the competition in the business especially the crypto business is very hard. Each can make another to be crashed very easily. And the one with weakness can be crashed also very easily. That is why form this I am learning that we ca never trust anyone here. Just invest for our own investment to take or earn profits, not as loyal to certain altcoins or exchanges.

Truly a bad year for crypto but is more of a learning year for crypto. It would have been strange if bitcoin had a smooth run. Well, how do you prevent this incidences from occurring in the future? As a client, one way I would say is, avoid projects that are heavily levered. They are the first to go down in the even of any uncertainty. I remembered O'leary making this statement on a CNBC interview a couple of months ago and it turns out he was right.

I also feel the loss from Luna and FTX, I'm worried that FTX conditions can occur in other exchanges so as to make the market more drop, it is time for all information to be open, the concept of decentralization that makes us able to know the condition of the project and excahnges should make crypto a hope in the future .

Most times, I have to just agree that this developers if not all but some of them really meant well for their users but got drown along the line and they also wish they would do something about it just in the case of FTX who also tried to partner with binance but later got rejected.

On the other hand, I also have to blame the users as well because of the rate of greed of minimizing input and maximizing output which later on swallowed them.

This incidence and the similar ones can actually be prevented if the rate of greed is actually minimized from the end of the users and also try not to store money in exchanges no matter how reputable the exchange might seem.
Don't be surprised that some people still have a whole lot of money still stored in binance believing it is safe and can also be trusted.

When there is an opportunity to be rich faster, of course people will do that, but in my opinion the biggest mistake of FTX Exchanges is too manipulated, when the business is going well then the next thing is to provide the best and honest service so that the business will continue to grow.

And actually cases like FTX have often occurred, we as investors must be vigilant and do not store too large assets in Exchanges because cases like this can be repeated at any time.

It is never okay to generalize. There are good exchangers still, you just have to find the best one. Also, given that the issue is still recent, for sure exchangers would take extra caution with their action 'coz they might be tangled with FTX's case instead. Try to calm down, although what happened is unfortunate, it would be worse if you',d be worried that much. If it is really draining on your end, try to pull out your investments for now. Being worried is just fine, but everything that is too much would be bad for sure.

Not exactly the same as with FTX but the thing which is somehow close with what happened is rugpull of projects wherein developers chose to make use of the money and totally disregarded their users. But that's not often I think when it comes on exchangers.

I don't think there's going to be a tool that can control that person logging into the dev team. I mean it would be very difficult to control people like that who have a greedy disposition. because those people came in early with clever faces and minds and it didn't show that those people were greedy people. so actually it happened because between the CEO of that company and the development team.


very hard to avoid. because something that looks big and looks good almost fools people will stay there.
I mean a big company or project that looks good for the future will end up scamming some of the people in that big community.
and one of the best ways to avoid it all is not to store your money in an online account (as the reminder above)

I feel like it’s not about security but the type of person the owner is. If there is an exchange out there which users put their funds in, and the exchange ends up using the user funds to buy a whole company to make bigger profit, that exchange will eventually crash, there is no way back.

What FTX imagined was they would make enough profit from the companies they bought with user funds to pay the users back, and it would allow them to grow bigger because users would keep on investing and it would be sort of like semi-ponzi because the deposits will cover the withdrawals, they had of course some saved aside as well. But we all know market crashed so they did terribly for sure.

I am pleased that these fake companies are falling down  because it will assist to increase openness in the crypto industry, weeding out the bad actors, which is what cryptocurrency is all about. Just look at the CEOs of the companies that failed this year, they were all running or had previously worked in one or more TRADFIs, they thought the dirty games they were all playing could be done in the crypto space, but I'm glad they were exposed, there is no tolerance for corruption in this space.

Centralization has always been a problem for cryptocurrencies, but if Merkle trees or proofs of reserves can demonstrate some transparency from these companies, I welcome the idea and don't care about their privacy because they gave it up when they made the decision to become centralized, which means they work for the public rather than for private interests. All of them should provide proofs of reserves, though I wouldn't use them if I did, but for the confidence of those who do.

If the owners have a bad intention right from the start then a collapse can still happen in a different way but if the owners are trusted then a good security is necessary so that hackers cannot penetrate easily and steal the company's funds. Using the users' funds to improve the company doesn't really sound evil because if it becomes a success, I think the owner will also give a bonus as a way of saying thanks.

What is only not right is if they use the money without the permission of their costumers. It's important to talk about this matter to their costumer first if they have a plan like this and for those who won't agree are free to pull out their money.

The concept is very rude. Corruption in general can be summed up in a few points, but it cannot be distinguished in the field of crypto, the doors are open for development. This would raise an ethical dilemma if it were taken up on an academic level.
On the other hand, whoever carries out a suspicious act or supervises the development of mechanisms with the aim of carrying out a suspicious operation must be subject to legal accountability.

There's always people taking advantage of other people. This is like a rule everywhere you go. The fact that you're exposed to crypto doesn't make it any better or worse, it's just that this is your small world and you see the events unfold here, but if you were investing in the real estate market or trying to start a company you'd probably see the same thing happening there.

I always view the world as a journey through a minefield and if you do well you should be able to avoid most of them, but some people will inevitably blow themselves up. In crypto not holding coins in your own hardware or software wallet is like going through the field in a straight line, without looking, hoping there's no mines there.

When talking about exchanges, I think the solution is transparency and openness on the part of the Exchange itself. maybe for example like what many exchanges are doing now that are starting to adopt PoR (Proof of Reserve). But still, everything will come back to how honest and trustworthy the people holding power and managing the exchange are. because if the person managing it is a person who has been dishonest from the start then he will still find a loophole no matter what the system is to satisfy his greed.

but anyway I think we shouldn't trust an exchange too much even though the exchange has shown good openness and transparency. and as suggested by experienced people here, namely not to store assets on the Exchange.

Cryptocurrencies potential is very large and easy to become a billionaire makes anyone tempted to become a scammer, now cryptocurrencies often appear on many TV business news in Bloomberg, CNN, CNBC or others and most are news about fraud and bad cases like what happened with FTX .

Corruption in the easiest way and looks genius right now is cryptocurrencies, many developers are known to add stock without audit so as to make the price of drop, if real life then corruption is to reduce or take but in cryptocurrencies is to add stock and then sell slowly so that the developer gets Big profits while trying to convince investors to continue to buy.

You are right because many people join crypto without finding out much information, so this is being targeted by people who want to scam others. And suppose they don't know that the developer is adding more stock without an audit. In that case, they will be at a loss because they don't have more info to consider whether to stay invested in that project or move on to another. Price manipulation is also common in the market, and this usually happens with small coins that are not well known and are expected to be difficult to raise. But apparently, a group of people started pumping up the price as if something interesting was going on with the project. And this makes people who don't have the info tempted to follow it even though they could get the loss.

I've read a discussion on forums that nowadays the easiest thing to multiply money is with cryptocurrencies projects, if you have $100k capital it will be easy to increase to $1 million or more in a short time, the trick is to create a Polygon or BSC based project and pay Promotional fees or less are some of the social media influencers.

The advantage of cryptocurrencies is that information is open and can be seen by the public at any time, when the project is detected manipulation it will be easy to refute, what happens with the FTX that has manipulated data and freeze assets is a very silly action, this is an important lesson that never save Assets in Exchanges, if we don't know when we will withdraw then immediately withdraw because we don't know what will happen.

yes you are right. that's why we shouldn't trust any exchange. because the reality that we see now is so bitter. I'm also not sure that this is a corrupt matter. but what is clear is that they are the owners of the exchanges that are now falling, they are the ones who are misusing user funds. they violate the trust of the users who entrust their assets to the exchange. And the good thing is that now people have realized that we don't trust anyone but ourselves in this industry.

These are avoidable, they only chose to risk their money on those project because that is a high risk high reward move. Cryptocurrency is all about trial and error, you cannot trust your money even on those "good" project because anything can happen in just the blink of an eye if they really want to run away with their investors money.

That's why it is important to know that it's not always about winning in crypto, it's about risking what you can afford to lose in exchange of experience to make you grow more or instant profits.

What you're saying might only happen to altcoins that aren't popular enough and I don't think it's happening to Bitcoin because Bitcoin never adds stock. But I want you to give an example of corruption in cryptocurrencies like you said, because the developers of any cryptocurrency never tell anyone when they want to add their stock which will then sell it on the market and cause a drop in the price of their own cryptocurrency.

The number of scam cases in cryptocurrencies makes us worried because it makes investor confidence decrease, especially the global economic recession, so we must always be vigilant because many people divert investments and are used for scam projects, I believe FTX is the beginning of exchanges that manipulate and I sure will appear the same case as FTX.

Yes, one of the advantages of cryptocurrency transactions is the public ledger [blockchain]but this is not applicable to every cryptocurrency per se. However, the FTX manipulation activities were not detected through the blockchain, and for the record, it was detected when Alameda's latest CEO make a tweet about incorrect fund/holding.

This is exactly what crypto scammers are doing in the NFT and deflationary token aka meme coin market. This is the reason why people were always advised to put their investment priority on BTC which is the only safe haven in the crypto market.

We all know that scammers have entered the world of blockchain technology to fool people and to survive this crisis through the ways they know regardless of its illegalities. That's why we need to be observant and skeptical. As they become smarter and wiser, we have to be smarter to determine if they're worth our trust or not. Researching always works so we shouldn't easily trust projects without doing research.

Isn't it that it's corrupt people in general? Many people are so blinded by greed that they are desperate to get more and more and are unsatisfied with what they already have. We will have that risk if we stay in centralized exchanges and support projects with sketchy or too-good-to-be-true backgrounds.

We can never prevent those incidents because it will be knowing whether or not they have planned it. It's hard because that will be within their control, not ours.

It's best to protect what we have and continue having plans for ourselves. It's what you can control.

Unfortunately, there is a "need" for a centralized system surround the decentralized world. Well, simply because just look how to turn your fiat into crypto and crypto into fiat and you will see the easy part. Maybe the trading world could go into DEX and maybe that will help the decentralization, with FTX then we could start that but what about Luna? That wasn't centralized and yet still ended up like that, because some people found how much money was needed to take out all the cash.

So, there is no way to avoid any loss, there will be some loss, we just need to make sure we are spread around thinly enough that one big deal wouldn't take away all our money.

There had been less trust even before. Those who can take the courageous risk and be patient are the ones left in the crypto field.
But investors who are just jumping from one hype to another are the ones who should be careful on this kind of corrupted projects as how you said it.

How to stop them? You cannot. If you will have the knowledge initially about their scam attempts, then you could warn people but stopping them by yourself or just one group cannot be done. The market will be the judge if they are to become dust.

This is a risky market and it's true that there's even lesser trust before because everyone thinks that bitcoin is an internet money scam and whatsoever they can think of it negatively. Now, that it's gotten big and more wide reach to investors worldwide, there's still the thinking about it for being bad and with all of these companies that are having their exit, it's hard to see that they'll be gone forever because eventually, there will be a new one.

Market is young, as said when someone takes an exit new player makes his entry. In a trust based market we can't complaint anyone to be wrong or right. We've taken to move on a high risk investment, and so should be our thoughts.

We can't be judgemental on specific person to be corrupt, each and everyone is responsible for the transition of a common man to a corrupt man. This happens when we expect things to happen good always without understanding what is happening around us.

I think there's really no new player at all. They're just changing their styles and approach to the market because they've already been here. They know the know-how and stuff so they're stepping on this market quite easily for them and since they've been here before.
While the newbies they are targeting, they've got no idea how they're being done and caught by these people because they've been doing that for so long. We may not be judgmental but when you observe what they've been doing, it's so hard to catch them but when you've seen the similar of what they've done in the past, you'll figure it out.

Greedy and wild people will not disappear, because greed is a part of every individual's lifestyle. The easy thing to do is to avoid falling victim to this scandal.

So no matter what bad things are happening this year 2022 in this industry, all we can do is double the caution and be smart with every coin or token we choose to buy to hold it long term or short term so as not to get stuck our possessions in any of the exchange platform whether it is centralized or decentralized, just simple as that.

The scam project certainly cannot be stopped, all we can do is take action immediately if there are suspicious things, for example if within a few days the price continues to decline and the existence of suspicious transactions such as a very large volume of transactions then we better sell it immediately, the possibility of developers Having the biggest stock is the seller.

Greedy people don't really like stable incomes, they prefer to be put their risk like this. At certain moments of hype, I think greedy people get together and just race to grab each other.

We are also greedy people, so we cannot say that we should find a way to stop those greedy people. Greed is a part of being human, where there are people there is greed.

If OP can't stand the cruelty these altcoin projects bring, you still have the option to avoid all of this, invest in bitcoin and use a non-custodial wallet, you will avoid all these scams. In case you can't do it, you should prepare for the risks that you may encounter, don't ask the greedy to leave the market while we are also greedy.

Natural reaction of people towards they see and they always think what they saw on some people is true that's why many fall from the promises created by those scam platforms and they used the emotions of people to deceive them. This is why its important to develop to enhance our common sense on everything since this can help us to think more clear and find good answers towards things we want to do but we don't know where to start from.

What you say will be easier to find out if what we have is a new altcoin where there is not much transaction volume in the market. Whereas in altcoins that are already popular or in the example of Bitcoin for example, I think it will be a little difficult to know because old altcoins that are popular are always very large in volume in the market. Likewise, the volume in Bitcoin is always very large in all markets. It will be difficult to know who is actually selling in large quantities, because accusing without more accurate evidence is a mistake.

If money is involved, we can't guarantee individual who are into the project won't be corrupt. Even though, these project might have its own goal in dominating in their fields but mishandling of the project might end up in the wrong path. We can say that each of everyone of us have its own greed, but its up to us how to control to be a bigger greed. Not only in crypto who have corrupt individual; in our jobs, government, in our community, etc.
 

It is very difficult for the developers of these projects to prevent criminals from misusing their platforms. Scammers and criminals will target all platforms, if there are money involved.

This weekend someone told me about a weather App that had a built in "Chat" service... that were infiltrated by a drug syndicate and they were using coded messages to buy and sell drugs in that chat.

I think the developers can only wait for it to happen and then "block" those users when it is reported to them or the moderators.  :(

There's no doubt about it that we have corruption everywhere and that in cryptocurrency has to do with our level of exposure in identifying those kinds of cryptos that could lead to scam especially when dealing with centralized ones which have not been in existence over years but are seeking to boom their project by traffic hype on investors, they manipulate things to suite others in other to decieve them into investing, by now i think the recent events on scams will make people realizes more need to avoid some coins and also research properly with what they invest into before getting scammed the second time.

If the scammers are anonymous and haven't been caught out on the past then they can always return with another new identity once their old scam business have been busted out and not only newbies are affected here but even the people who have been here before or the people who already have experience may still get caught out by their scams if they change their approach because there is also pro crypto players who likes to venture new and risky stuffs thinking that no bad things will happen to them because they already have an experience in this field but they shouldn't be over confident and underestimate the ability of the scammers.

In a society, it is hard to do without corruption. This has gone to find itself in the crypto world do.. Investors just need numerous research when finding a real project.

Corruption that looks smooth but very promising and big profit is to create a cryptocurrencies project, even the last 5 years trend shows the level of financial crime from Cryptocurrencies continues to increase, it is natural that many exchanges plan to make regulations so as to make investors more confident in cryptocurrencies.

Opportunities for corruption can occur at any time, especially cryptocurrencies, the level of competition is very tight and makes developers sometimes impatient to compete in the market so that the best thing is with corruption, FTX will definitely think that the business they do will be safe and unknown to anyone, unfortunately when a test occurs Small then they just regained consciousness and difficult to refute the facts.

That's what they usually do, they end up scamming people and then get a new name and scam people again. It is clear that if someone realizes they could steal money from others and actually make a profit from it and nothing happens to them, they will keep doing that for a long time.

I hope that we wouldn't see more scammers but as long as there are gullible people who fall for others, we are not going to really get less scammers. Hopefully one day we will see a lot less scammers but it will not be that easy and it will be a ton of issues at the same time. It's not something that can be stopped, and I am guessing that it's going to be a trouble forever.

The emphasis should be that people should stop giving centralized exchange the reason to gamble with their money in the first place. if there are fewer funds in cex, there won't be enough to mess around with.
Store your funds in your personal wallet. These people became corrupt because of investors' indifferent attitudes toward risk management.
Imagine somebody putting their life savings in crypto and in one centralized exchange. How smart is that  ???

Scammers are probably going to keep being a problem for the foreseeable future, and this is because the legal system currently in place makes very difficult to catch them, if an investor is in country A, the scammer is in country B, the project is registered in country C and the money is sent to a bitcoin address then it is a complete nightmare to try to catch the scammer due to the cooperation that will be needed to get to him, and that is if there is an investigation at all because even if the scam reaches millions of dollars most users will lose just a few hundreds dollars, which makes way more expensive for the police to prosecute the crime than the amount of money stolen.

No one is not greedy when it comes to dealing with large sums of money. After all, they are given the opportunity to control it in a centralized container and we still entrust the assets in it without ever thinking that every single incident will demand that other events be repeated. In the crypto world, you cannot trust anyone to secure assets other than yourself. Because of that greed is in each of us and will never disappear.

This phenomenon has occurred many times and we should have been aware of the risk since it entered a centralized container.

Pay attention to the list of coins above, that the list of altcoins is managed by the team and we will experience the worst risk when they are greedy to sell the token allocation from the team wallet. The list of scam coins above is only part of the hundreds of scam coins that scammers create every day, the solution to avoid this problem is that don't invest in altcoins because the main factor for losses experienced from altcoin investments. So if you are involved investing in altcoins you have to be very careful to choose altcoin investments, I only believe in investing in ETH and BNB for the top altcoins.

Let's face it, before the drop from 65k Bitcoin looked like the ultimate get rich quick scheme - everyone saw it storming up day after day, month after month, for several years. It was hard to go wrong and these schemes draw in all sorts of shysters and conmen. They had all the evidence they needed, in the form of a graph that trended up for a long time, to convince people that it made a great investment and they were able to skim off a commission in various stages. Obviously it's only when the bubble bursts that we see a vast swathes of people who really had no clue what they were buying and simply got swept up in the hype, unfortunately the greed that drove them in the first place means they will likely find it hard to cut their losses and run on the way down too.

The problem with this is that we know that sometimes what we think is good will surely be misused by some parties and of course this becomes more of a concern so that we continue to be careful because things like this, although not all of them, but will definitely be repeated in future times. is coming so we have to be prepared from the start and not really believe in anything in crypto.

When we do talk about money then everything could really be changed up in a snap no matter how reputable or known a person or company/platform is which it is really just right that you should be mindful about that risk management.Corruption and frauds or any some sort which is connected to this could really happen on this space and this is why its really that right that you should really know on what you
should gonna do.Make yourself prepared and always consider on taking up investment on which you are really that prepared for whatever things that might happen along the way.
Expect the unexpected yet this had been always the case specially on dealing with this crypto space where everything could possibly happen.

I think that the very nature of cryptocurrencies (they exist on the internet) make it a valuable target for scammers due to its immense price in the market. Even if famous exchanges have their security running, they are always a target of scams and malware from hackers.

Now that there are various data about the reputation of exchanges being hacked, the only way to protect yourself is to be proactive. Take all the necessary steps in order to safeguard your cryptocurrencies in your local wallet in an exchange. For example, instead of keeping your BTCs inside an exchange, transfer them into an external storage/wallet for extra layer of security.

This is just a very small list, and I do mean VERY SMALL list of names for those whom are corrupt in this space.  I've been around bitcoin since the 2014 days and I've seen it all.  Worst part is, it doesn't seem like people are really learning the lessons they should be from all of this stuff.  FTX is a prime example of people not learning from the Mt Goxx debacle.

When will people wake up?  I think this is why more governance is an okay thing (as long as it's not taken too far).

Corruption has become a culture and human greed which is certainly very detrimental, a variety of corruption has occurred and makes many people cry because of loss of money, and the trend of corruption in cryptocurrencies, especially Exchanges is a very dangerous thing, the owner will move assets and then complicate the withdrawal process or try to find mistakes or try to find mistakes or try The user was blocked, and we had to be vigilant because I felt the loss of money in several top exchanges.

The most widespread case of scam, of course, is the case of FTX that makes many users lose money, I think this is an important lesson that in our lives we must be very selective and do not really believe in many projects, now maybe we still have a lot of good exchanges but me sure cases like FTX will be repeated again.

The statement was different one,this applies to all the field.Not only the crypto currency ,they also involve in all the business.I hope you don’t forgot the thing,the price of all the coin is not a stable one.Even the price of bitcoin also not same all the time.People will good interest in the trading will do the trading at all the price.Only this things affect the involvement of new people to the forum and investment.By this the market liquidity will be reduced in the crypto currency trading.

Many things are done by fraudsters to get money quickly, ICO or IDO trends are still massive and many projects that have the potential to become scams, it can be said that the FTX case is common in Exchanges, previously there have been many exchanges that have become scams for many reasons such as attacks hackers, hacked and so on.

Cases like what happened to FTX will only happen again if exchange owners can be very greedy and want to run away with other people's money. But I don't think that all crypto exchange owners are greedy because among so many exchanges there must be some good exchanges that are managed by good people in them even though it can't be predicted easily because greed is an intention that comes from someone's heart.

Especially in this case we know the risk of being in Crypto is clearly higher than others so indeed caution is a good point because we still don't know about everyone's character even looking at the FTX case which was fine in the first place in terms of their reputation being destroyed in a matter of days so we really can't know just from the outside.
I think this is a very good lesson because with this we are aware that we cannot fully believe in something because it can and does happen again and again, especially for the Crypto world.

Humanity is corrupt from the core, that's the trouble we have. The ones with power wants you to live a certain way, changing and ranging from very low to very high depending on what works for them, but they want to live a different life. Politician who says they are against X could end up doing X thing themselves in secret, and this is everywhere.

Business person that goes out and says "women in workforce is very important to us and should be to everyone" and then not promote a woman and pick a lesser candidate because they are man. That is why corruption will of course be in crypto as well, it's people who use it, and we are corrupt in our core.

Corruption is inherent in humanity and can't be totally eliminated as there are certain persons amongst the elite class that benefits from it. We may try to control it but definitely can't end it, same can be said of in the cryptocurrency industry, all you need to do is to minimize your level of greed and be calculative in the kind of risk you venture into based on maybe the kind of profit and benefits that accrues to it.

What may be running smoothly from the initial might then be corrupted by a certain few that might got involved in the process and thereby through their act bring an end to it and I think this is the fate of some of these coins.

We can't blame only the thieves and scammers. Some of them can't help it. It's funny that there's so many mentally ill people who are narcissistic sociopaths and compulsive liars in crypto. The late John McAfee was one of them and lately Do Kwon and SBF.
There's a recent interview with SBF on Youtube, you can check it out if you're able to listen to that guy for 20 min, I sure had some difficulties. He's constantly lying, trying to make himself look like he's the victim, like it was all Alameda, like Alameda was a separate entity that did things on its own... He denied having backdoor access to the exchange that allowed him to move funds when all his co-workers said that he had that and the funds were obviously moved by him because he was buying properties left and right. Fucker wanted to act like a poor guy, driving a Toyota, but in the meantime he was buying himself a yacht with stolen money.

True, and there's no way on getting rid of it specially into those people who are sitting in the top of the chain or power ranking then pretty sure that they would
really be taking up advantage into their positions just to make or do other benefits and able to snip out some funds or money which is something very typical in todays reality.
We cant really just be surprised on what are the probabilities and as long there are money get involved, no matter what industries we are talking into
whether on crypto or even simply with politics or other industries then there's always corruption attached to it.

A good investor makes provision for the worst occurrence, Before making an investment there should be a reserve incase it doesn't work out or  incase the project fails . Using all one has to invest in crypto including Bitcoin is a big sign of greed. There should be a plan B incase things get sore. Scammers will never be eradicated from the crypto space. It should be a reminder that where ever success is found opportunist will want to reap from where the never sowed.

I will never blame scammers for taking what is not theirs i will blame the greedy for hoping to get so much from going all in to a project that has no consensus, no structure, no reasonable purpose. I believe the crypto space is forever evolving new opportunities are coming in daily so why risk it all in something that is not certain. keeping the risk affordable will even make an investor more prepared for bigger offers.

A good investor can easily conclude that the crypto field is one of the most dangerous areas for investment, and therefore the profit rate is large. And one of the manifestations of this danger is not only the sharp fluctuation of prices, but also the presence of corrupt people who are ready to deceive you or persuade you to hand them your private keys or sell you false products that are useless, such as those who sell investment advice in private Telegram channels.
Special care must be taken while investing. There is no guarantee of the integrity of individuals in this sector, which takes place most of its activities virtually on the Internet.

In fact, they should be aware that this is where a lot of scams are happening, so they should consider what type of investment and coin they want in this case.
The big profit we get is a bonus from us being here, but of course we can't just look at the sweetness because we have to pay attention to the worst possibilities that will happen and of course one of them is fraud like this so we have to always be vigilant so we don't get caught up in something like this.

Corruption and scam is currently very sad and makes many panic, many large projects have collapsed because of the greed of the developer so as to make the market drop, the Luna and FTX case makes the market continue to drop and we are certainly worried if there is the same case again so that it makes the market continue to continue dim and slowly die.

actually after the FTX bankruptcy we have seen in the near future several other exchanges that have filed for bankruptcy. However, it seems that this has not had much effect and now it seems that crypto players are getting used to such fud news and I think the fear indicator is starting to decrease. and the market is slowly recovering. But I didn't know there would be Fud especially in front there which would make the market go down again.

These crypto projects were the "right fit" so they say when they were at the height of their productivity, now it's dirt cheap and people are calling it a shitcoin despite signs and analyses back then stating these projects are the next big thing in crypto. The thing is there's no real "right fit" project at all, only projects that deliver what they promise and go beyond what they are ought to provide. Analyses could only get you so far, and is always to be taken with a grain of salt no matter how reputable a project is. Doing your own research is still king, because you can't trust anyone more than you can trust yourself and your gut feeling as well as a research and study of market parameters that you yourself have observed.

More problems arise due to human greed and lapses in financial management. Centralized exchanges are very risky. We should not trust any exchanges lightly. We should trust DEX more and store assets in personal wallets.
In the encryption industry, we must have more experience and ability to choose, and we must always remain vigilant and redouble our caution so as not to fall into more difficulties.

You are right, it's funny when investors lose money, and they find ways to blame the developers without ever admitting that they are greedy. If they are not greedy, no one can cheat them. If you want high profits, you must accept high risks, if you want to be safe without risk, invest in gold, and don't invest in cryptocurrencies. The market is a battlefield, there are winners and there are losers, so make sure you are ready to invest.

Cryptocurrencies are indeed the easiest project to develop money, I've heard the story of someone who had a capital of $ 1 million then made a meme token project on the BSC network, long story short in 6 months he was able to get a profit of more than $ 15 million, after the project died he made many more projects.

No doubt, there are lot of people's that are always thinking about how to scam with the people's.
There are lot of hackers that have already hacked biggest exchanges of the world such as bitfinex, kucoin, binance, and ftx exchange. Hackers steal millions worth of dollars from exchange. and sell these dollars in market and dump the whole market. So, this is the most ridiculous activity of the crypto market. 

There are bad eggs in every sector, no place is free of these type of people. But they seem to be more in crypto because of its decentralized no regulatory system nature. Hence it is upto the investors to do their very best to limit such situations.
If you look at all the events that occur, they all have one thing in common - which is having lots of investors money under their care. Money always come with temptation and a reckless team with so much money under their control will get carried away.

According to reports from many sources at this time cryptocurrencies is the second place used for scams, this is what makes many countries worry and make strict regulations, in my country all exchanges must be officially registered so that the site is not registered, it will be banned, p. which is natural because the scam case report from Cryptocurrencies is increasingly massive.

That's sad to see these happen to the market especially if you consider most of these dramas made people not trust the market like fore and had a bad effect on the market but regardless of that, I see one common thing between all these cases, people lost money in every single drama and that's because of lack of knowledge, for example, people were holding money of ftx and they lost money there because they were trusting that platform and holding their money there also in all the cases the owner paid much less compared to the users they were using these platforms.

Developers are the reason why something goes down, but it is investors to blame for putting their money into something like that. We could separate the two and say that it is both true. Yes, it is the devs of the projects that make mistakes that drop the price, so the investors are not wrong to blame developers for the price drop, that part is true.

However, they do not realize that it is them to blame for putting their money into a project that has a developer which failed eventually, find better developers to trust. So, both the investor and the developer is there to blame in these situations and I believe it will stay that way for a long time.

Actually rather than express disbelief I prefer to remain cautious on this matter.
We know that FTX is one of the surprising things this year and indeed we have to realize that something like this can definitely happen especially for Crypto so we really have to be more careful so we don't fall into abyss like this.
In Crypto there are lots of Scams and we realize that we cannot deny that because indeed what is said is also a lot of evidence but on the other hand we also have to look at the bright side because in Crypto I learned a lot and of course not trusting other people too much is the basic thing what to believe.

Your country is really fast on implementing this one. Regarding the exchanges that are in your country, are they local? How about those famous or global exchanges? How do they apply for registration so that they won't be banned in your country? If this were happening in all countries, those global exchanges would really have difficulty getting some registrations in specific countries. Only those wallets have been registered in our country because it is really required by the bank and the government which it can boost the confidence of the people to put money in their website.

One of the most agreed-upon rules in the field of investment is that the higher the investment risk, the greater the profit. This is one of the most important rules that make users unable to distinguish between the risk ratio in investment, which can be followed up with study and analysis, and which does not assume the presence of other people in the equation, and between people who trust people more than they trust their investment choices, or that this investment is inherently dangerous. .
The presence of people with high degrees of corruption increases the danger of the field and, unfortunately, makes people alienate from it quickly.

Cryptocurrency become easy way how to make many people loss not only with altcoin drastically drop but also many owner from exchange market until with altcoin project greedy and less responsibility with their exchange become scam. Still not have regulation around the world and some exchange market building at country with Bitcoin as illegal transaction make them easy when closed working yet with their exchange market without get punishment from the country are registered with their exchange or altcoin project.

In my country local exchange market have pretty strict rules before building with exchange market until when registering with new altcoin listing,  must obtain permission from the competent authority when try listing with new coin and have clearly background about new coin listing in our local exchange market.

Sometimes people start with good intentions or don't cheat, they have very good plans to benefit others, but over time they get complacent and tempted by the amount of customer money they manage, and most of them are like that as real developers.
Of course the word "Be careful" will be a dilemma for people who lack knowledge about the world of DEX and CEX.

I am one of the people who was disappointed by the incident you are referring to, but after I re-read myself, it turns out that I, as an investor, made a mistake by joining them to entrust my money.
But on the other hand, I feel grateful that this happened, because with this I know the importance of DEX as a good storage tool and Bitcoin is the only one I have to buy.

When someone researches the people behind all of those crypto apps, they will see those companies are as crooked as the big banks trying to influence politics with their money. Sam is a typical example. News sources say he gave many millions to US Democrats and a few thousand secretly to US Republicans, but because he believed in climate change it was as almost swept under the carpet.

The collapse of two big exchanges (FTX and LUNA) have exposed that how big risk we take when we put our hard-earned money in centralized exchanges where management is stealing investors' money by corrupt practices. These incidents have vindicated that decentralized exchanges are much safer because your funds are in your custody. I think in future we see huge interest in Ethereum based DEFI projects which are considered secure, and investors also get good returns.

Cryptocurrencies make rich people instant, if we have a capital of $ 1 million then easily become $ 50 million in a year, the easiest thing is to make a project and recruit 3 people to be alert in Discord or Telegram and Pump slowly, when it becomes trending in Coinmarketcap it will automatically automatically Many buyers hope for big profits, then pump and while selling slowly.

yep, in the end, everyone started to learn and understand what made them who they are now including me, and I'm waiting for the next few days for the flow of funds in the centralized exchange market to expand to decentralized exchange. Ethereum? I'm sceptical about them.

I don't know why SBF did that maybe to protect himself because he had committed massive corruption at FTX, but his stupidity in that action brought a tsunami that made the market worse off to this day, whether this was intentional to destroy the market or because of his stupidity in managing finances.

Corrupt people exist in all walks of life. These people commit fraud by exploiting the weaknesses of novices. For example, someone who is after making easy money will surely become a prey to these people. These two groups attract each other like magnets. Therefore, such problems will never end. In addition, persistently using centralized systems will always cause us to encounter such problems. These problems are inherent in life. I think the important thing is to protect ourselves and continue to tell the truth to the people around us.

I have carefully read what transpired between you guys, and I believe that more regulation is the solution to many of the corrupt practices in the crypto space. Many countries are complacent in this, I mean the government official, as they are not up and doing with their responsibilities. Take the US for example, no company would deal with the Yankees without dully registering with the appropriate body in the US. This is why the FTX issue did not affect the US citizen. I believe such is to be replicated if any company wants to operate in any country.

This will enhance accountability and give the country extra money on tax, which is their right so long as the company is gaining from their citizens.

True. As crypto investors, we can not do anything , if corrupt practices are going on in any project behind the scene  because it the job of relevant authorities to monitor it & take necessary actions to stop it then and there , but what we can do is to be more vigilant and keep getting updates about the project we have invested in & take exit if some red flags are seen to avoid total loss of our capital.

I think that corruption and fraud that most countries don't pay much attention to are cryptocurrencies, like what happened with FTX when it was found out that it was bankrupt and then filed for bankruptcy to court so that he was released from prison and maybe only confiscated the assets he reported which maybe didn't amount to 25%.

This will have both advantages and disadvantages, with the intervention and strict management of regulations, scams will not happen. But with the management of the authorities, altcoins do not have a chance to be hyped and therefore do not bring significant returns to investors.
I like to take risks and take risks to get high returns, so I don't like regulation, regulation will make the volatility of cryptocurrencies disappear, that's the appeal of cryptocurrencies compared to other markets.

That's right, things like that never end. If we control our greed, then no one can corrupt and cheat us and we should not blame them when we have greed like them. Just like you and me, if we weren't greedy, we wouldn't be in this market. The financial market is a market where there are winners and losers. If you can't stand it, then leave the market. When you lose, don't expect anyone's help because when you win, we don't share that reward with anyone.

it gets worse when the people from high places participates on the corruption. they are greedier because they know they are protected like above the law.

in FTX fiasco alone there are tons of them who are collaborating even when they are exposed on tv. kevin oleary for example is abut to turn the tables. he was paid $15M to be the spokesperson for FTX and will probably blame CZ for the fall of FTX. SBF wasn't even investigated while Caroline Ellison freely walks around. no action taken.

Regarding this matter, greed always makes people always be evil and there have been many cases of this. On the other hand, actually things like this are very difficult to control, but of course they can still be avoided and caution is something that really needs to be done so that aside from us avoiding people like that, we can also pet what is good and what is better. which is not for us.
We don't have to be bad people to make us live well, but the problem is with the condition that many people are corrupt so that more people follow, even though it's clearly a mistake.

It is worth noting that these people in their earlier appearances wouldn't be mistaken for a scammer. They are very eloquent, smart-spoken, and they really sound like they know what they are doing, so it just goes to show how hard it would be to discern which people or entities are trustworthy or not especially in an industry like this where people thrives from the trust of others in one way or another. The flak that cryptocurrency is receiving right now is completely warranted and deserving, but that doesn't mean we couldn't bounce back and better the industry for the years to come. It's just a bad day, not a bad life,  as they say. Less focusing on things you cannot control, and more focus on the things that you could.

It is the wrong perception that anyone can be rich instantly in crypto.
Having $ 1 million doesn't mean you automatically multiply it to be $50 million only in a year. If you don't have sufficient knowledge and experience in investment, instead you can lose the money. Having enough knowledge and experience, it takes time and effort. You can expect to master everything in a short time, it sometimes requires a long time (several years). So, don't misunderstand that it is easy to be rich in crypto investment!!

You are right that it is not possible to double or triple your invested capital overnight but sometimes there is lucky jump in life, like people who bought Bitcoin in 2018 at an average price of 5-6K dollars and held it patiently, their money was multiplied by almost ten times in bull market of 2021 but it took almost three years, which I think changed fortune of those who invested at the right time and took exit when Bitcoin made its ATH.

As far as corrupt people in crypto are concerned, they are in every sector of business, in every  country and in every society, we need to identify them and never get trapped in their scam projects.

Corruption is a human nature that is impatient to wait and process, when corruption of course they hope is not known, cryptocurrencies provide easier space for corruption, various techniques have occurred in cryptocurrencies so that we have to always be aware of corruption, even initially look very good and promising.

This is not so surprising for us, because in the future it is also possible that the same thing will happen again in other exchanges. Therefore trusting the exchange is better for short term trading only.

We prefer to call them persons!!!
Trust in crypto will never correlate to the fraud they commit, if people understand that exchanges are not safe places to store assets.

My question?
What other alternative do you mean by storing assets in a personal wallet, because there are almost no other alternatives in the crypto space that people can use to store assets, other than in private exchanges or wallets. Or do you have any other better alternatives we can try.

Very simple in my opinion!!!!
Start storing assets in your personal wallet, use the exchange only when you make transactions, so the security against fraud will be much less, thus when fraud cases occur involving exchanges, we do not own assets on their exchange.

The solution you give is both simple and extremely effective; why don't people do the same as you and go looking for more trouble? We don't have to do anything, we don't have to determine who should enter the market and who shouldn't enter the market. The only thing we need to do is stay away from those toxic things, everything will be fine.
Currently, there is no other option for traders, but as long as they withdraw all their funds at the end of the business day, they are safe, don't trust exchanges and use them only when needed.

It's really sad because scam and corruption cases in cryptocurrencies are getting massive, top exchanges that have a high reputation like FTX are also scams, they freeze consumer assets for more than $3 billion, from now on we have to be careful with crypto, it's better to invest in top coins and use dex exchanges.

The FTX case teaches us many things, which become the basis when someone starts to seriously place assets in a safe place, from the past I only used the exchange when transacting, the rest was stored in my personal wallet. I did this long before the FTX case developed in the media, because I have an understanding that Exchange is like a halfway house and not ours, only we can protect assets, in the right way and have a certain level of security.

Even though there are many exchanges nowadays that have a good reputation and can be trusted, but for me keeping assets is much safer in my personal wallet, because we never know what will happen to the exchange in the future.

Or simply store coins on hardware wallets as suggested by members here.

There is nothing more we can do with people who are greedy for money and savage with it. If there is a way to get money, there are always these kinds of people, to be honest. The right thing that we need to do as communities in this industry is to be more cautious and avoid these kinds of scandals that have come out here in cryptocurrency.

Let these events be a lesson to most of us, especially in the last FTX scandal, but at least sbf is already in jail as far as we know, and all the victims of sbf will be given proper justice.