ST Alpha - "FTX was supposed to make its money on spread. Theoretically it should be mostly immune to a “liquidity crunch.”" (Reading a Post)

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In response to "Not really? They run with zero capital so any ripple is going to cause potential death spirals. -- nm" by spamlet

FTX was supposed to make its money on spread. Theoretically it should be mostly immune to a “liquidity crunch.”

Posted by mafic Nov 10 '22, 07:10

Seems they were letting one of SBF’s other entities borrow FTX customer assets and taking their own tokens as collateral, which seems a bit circular, and shady as fuck, but hey, crypto.

Responses:

This is why I can’t be on st I wouldn’t be able to resis the crypto talk! -- nm - Dawson Nov 10, 07:14 1
- david would make you stroke out in five seconds -- nm - hollywood big shot Nov 10, 07:19

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FTX was supposed to make its money on spread. Theoretically it should be mostly immune to a “liquidity crunch.”

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