[verticaldoug]

If you want another case let's examine DeFi. The ability of DeFi to pay high yields is a huge drag and not sustainable. This kind of risk is not new.

I had a friend in Prime Brokerage business in the mid-90's, and he thought he was a genius taking the extra customers cash balances and buying Indonesian Rupiah paper which paid high yields and was stable.

It traded around 2000 IDR/$ for a long time paying higher rates. Then one day in 1997, it all started to go wrong until spring of 1998 when IDR went to 16,000 / $. And my friend went poof.

I knew another person who was doing practically the same thing in Egyptian Pound. It was very stable because the gov managed it, and paid a higher yield. So my friend would borrow yen, borrow euro, borrow dollar and buy EGP. It traded 6/dollar from 2003-2014, then one day it started leaking and it finally collapsed to 16/$.

Therefore, even if crypto is some very cool technology, it doesn't change the rules of finance. That's the issue. There is nothing new in finance and everything is just a replay of a previous scam, con or economic principle.

SBF understands that crypto is probably rip with fraud, but he doesn't care. His plan is just to try to arb the stupidity, and try to make as much money as he can. He has no other aim except maybe if he holds true to donating his money to charitable causes.

Speculation and scams have been around for as long as people have been trading even predated money..... Why do you think horse traders are universally hated. I don't think human behavior has changed in at least 10,000 years.