CTFC charges BitMEX / Cryptocurrency and Bitcoin update

another episode of box mining i think it's no secret here that i am just bloody tired like yeah it's it's been a rough few days uh yesterday so the biggest biggest whale news out there the biggest one the biggest elephant in the room right now is that the ctfc is charging bitmex so bitmex being the leverage derivative exchange platform offer haze platform with a lot of charges and these charges aren't just civil charges but they also arrested the cto of bitmex as well so this happened late on thursday and this actually has some ramifications for exchanges going forward because these charges being placed right now are not just for simple things like operating an exchange but it's very interesting they're charging them with money laundering and pretty much everything they can throw at them now this is a very interesting case because it's the first really of its kind something this big massively being charged and levied and this is something that's not unexpected bitmex for the past year or so has been extremely careful they pretty much banned all us ips and not just that but they required started requiring kyc they start banning people in hong kong like this is why one of the reasons why i don't use bitmex anymore but yeah so there was a lot of just running running running running running running and now finally yeah cdfc is catching up but this is also an interesting case because you know did they really do anything wrong relative to auto banks out there too because after all if you actually this is something that you know the irony of all that's being pointed out is this sort of legality issue where you know departments chase after new exchanges whatnot d5 puts a challenge to the traditional institution and the traditional institution gets away with pretty much money laundering pretty much everything that they say supporting terrorism check that's done like that's been done super heavily in the past i mean if you look up at any bank and then we're going to look at this as well in terms of violation tracker basically essentially like outright scamming their customers toxic security abuses there's a huge whole documentary on hsbc money laundering for the mexican cartel yeah supporting pretty much drug trafficking and everything and yeah what did they get they get these minor fines a little slap on the little slap on the wrist you know yeah just just just yes a little bit a little bit yeah we'll find you a little bit but a billion and trillions of dollars are making off illegal activities so this is something that's we're going to talk about the challenges too i think it's very important to bring that to light as well obviously in crypto like you know i don't support illegal activities in crypto all right that's that doesn't make any sense like look i don't want to support people you know selling drugs or whatnot on the internet this is like technology this is a reform yes it's going to be abused but let's not try to make it worse than it is right but at the same time what this technology means is it challenges traditional structures and the traditional infrastructures are already corrupt and this is why there's so much energy in crypto right now so anyways uh long long debate cut short that's pretty much it is also we're going to answer a few questions everyone's asking me about all these crazy coins and honestly this week has been pretty bad to be honest um i've been feeling in crypto what's been happening is that after the defy wave it's you know everyone knows it's kind of like ending soon uh defy projects were kind of dropping a little bit everyone's looking for the next new speculation so we have a huge push for nfts which i'm really glad for by the way but at the same time i'm also very skeptical about the long term kind of sustainability of this hype and not just with nfts too but also this week a lot of tokens that are designed specifically to have interesting interesting interesting tokenomics they are getting a lot of attention so we just had people ask about core or about orb or about all this stuff and i'm like oh man i really hope this is not the direction on which crypto is gonna go for the next few months because the problem is is that these projects don't really have feet or at least they haven't proven themselves to have feet at this current point so right now we've seen this huge trend towards ultra degenerate speculation people essentially oh my god it's it's like it's just crazy uh so we seem to have to divide this divide anyways um in the past few days where people who have been kind of looking at everything kind of closely you know they're either taking a break you know let let the wave ride out or they turn into ultra degenerates uh which is hilarious but at the same time um for me i'm always trying to look for some more value here at least on this channel it's it's a situation where if project has legs it's gonna go on for a long long time but if you push that degeneracy closer and closer and closer and cutting that to outright speculation on a few words written on a little help document whether of what they're gonna do in the future that's extremely speculative so anyways well we'll talk about that you know but i recognize a lot of people love this and uh anyways well we'll go and have a full on channel discussion about this um at to the end so i'm not gonna throw any projects under the bus um yesterday or last session i was a little bit sensitive people were very sensitive and protective about the coins they're holding and this is something that is a trend i recognize that i recognize people are very protective and you know that's just crypto right so i'm getting used to that that's something that um if you remember the last stream the the project many so i found out that the project many had a bounty so they were giving out free coins to anyone who would show many on my channel so on during the live stream i was oh talk about many talk about many it's the best thing in the world and then when i said oh hey you know what it's still speculative who knows if they have any long-term value people got pissed and this is a very clear situation where yes i want to listen to the community but the same time this community was highly motivated to say good things because they were getting essentially paid for their paid shows literally so anyways that kind of ticked me off last session um but i kind of understood you know what they're trying to do i'm not gonna be angry but at the same time i'm just gonna identify that this is a trend you know paid shows are a thing you know it has some bad name for it but that's literally what it was and yeah anyways just getting over that being part of crypto and everything anyways anyways let's get started let's get started just before we start guys we have the podcast let me tell you a little bit about my podcast in my podcast voice so bitcoin out of box is my podcast we have the new nft coverage this is a really good debate by the way so it's the same one as in the video but um we just put it in better audio format this is almost an hour long debating about nfts and this is one that you should really pay attention to because non-fungible tokens of getting so much attention not just like rev but like variables but wax engine uh openc all that stuff everyone's making nfts i mean we saw white artists making nfts we're going to locally making nfts we saw these artists getting funded and i think this is a really good topic because there's a lot of speculation here about all these platforms and i play this i play a serious devil advocate in here where i talk about some of the limitations going forward and yeah sue who's very very deep into nfts he's um and you know his company invested very early into a lot of projects like axie infinity they're doing rev they're doing sandbox they're animoca brands was the distributor for crypto kitties but anyways we debate very very heavily on basically the values and the merits of everything here so anyways this is a really this is a discussion very very much worth listening to uh we're adding more discussions onto the podcast as well and the reason for this is because it's just easy to listen to on the go pretty easy it's just simply like a lot of these interviews it can last longer and if you're listening to on the go i think that's a perfect format for everything here so bitcoin out of the box search for it on podcasts apple podcasts google podcasts pretty much every single podcast out there i'm also going to put the link on there as well oh and we have some comment comments um there we got something we got eclipse is crypto is all about speculation it is so true it is absolutely true crypto is highly highly speculation speculative but over the years we discovered a lot of value as well in fact bitcoin you know a lot of people question about bitcoin and what was the speculative use i mean you talk to peter like you listen to peter schiff rather and he's like oh my god it's useless it's gonna go to zero but it actually has a lot of use that became basically a decentralized currency a form of value transfer it can take all over the world now the key thing now is that it's important to remember that bitcoin has already pretty much dominated the decentralized currency scene because after all it has the best one of the best networks supporting it most decentralized because it has it's free to join has the most hash power out there and also it has uh some of the most nodes out there too so bitcoin network already took that being the first one there this is why i don't think bitcoin is you know many attempts have been challenged at many have attempted to challenge bitcoin at its dominance but bitcoin dominance it's it's pretty much the grandfather of all coins i mean i don't think it's just stating the obvious here at this current point right so while bitcoin made that innovation so going forward to improve upon bitcoin you need to be 10x better or do something at a different angle which you know ethereum did it made it pretty much say um it's well like turning complete you can program on it i'm just a little bit annoyed it was a um siri was the perfect at her ears up again but at this point you have to be a lot better and which is the biggest problem that i see with a lot of these new tokenomics coins where they're speculative for being speculative they're created to be speculative but at the end of the day they don't offer something that's 10x better and that's the biggest challenge for me going through like how do you rationalize all these new coin projects and anyways let me let me go to a new brand towards the end of the session about that i know you guys are all dying to hear what i think about x y and z and we'll have a great discussion about that and i'll tell you a little bit about how i'm configuring everything for speculative markets like that so let's just go and check out what's happening on the markets right now so we had a little bit dip yesterday so this dip is just a direct result of the ctfc announcement so this immediately after this was announced basically ctfc charges bitmex with illegally operating derivatives exchange so they filed a civil enforcement action but also there because of the wire fraud and because of the anti-money laundering it could be criminal as well which was why arrests were made immediately so the cto of bitmex was arrested but not offer hay so so like um you know the only one out of the four accused were arrested but it's very interesting case going forward and well i'll talk a little bit about that as well and then over here so that affected the markets in pretty much the same way so you can just see on every single mini chart here last seven days you can just use that little dip so yeah so boom boom boom boom boom everything got affected almost all at the same time it just goes to show yet again it's like very crypto right we have everything linked together even though they do completely different things but that's a story for another time so immediately we had a little bit of dip and then we started recovering afterwards so after a few hours people were like you know what this is not that bad it's it's not the worst thing in the world get over it guys you know cry another day and that's it but being uh so so now we're kind of dealing with that uh we're finding our support again and we'll talk a little bit about it we'll look very closely at the bit um bitmex thing a little bit but the key thing here is i just want to say this um and i said this already not hating on bitmex but if you guys have funds in bitmex do consider withdrawing them like asap i've dealt with and people were asking me in comments just now you know are you still mad about mount gox etc i've dealt with exchanges closing before in fact mount gox one of the first cryptocurrency exchanges that i've ever went into that just died right and that was because they got hacked here obviously it might get closed by the ctfc depending on how the legal proceedings go but if the withdrawal button gets removed somehow you're going to be in a world of hurt so just a warning out there right so right now you have a withdrawal button you can withdraw your bitcoin and that's a possibility don't be lazy about it i think this is the if that's a possibility right now like if you have funds there because of these there's no point to be loyal at this point right let them deal with it if it's good you know if everything's clear go back but if not the withdrawal buttons here right now but in the future if the website gets closed down or if there are further actions then it might be a lot harder with my pp you know very understatement so the story of mount gox and i'm not sure many people have experienced this before but mount gox got hacked and then the liquidators took over legal proceedings took over and it's still three years and yeah that withdrawal still not there so there we go all right so we're kind of bouncing back that's okay that's okay for the entire market and i think this is where yet again we're still looking at the long-term value of everything here sure i think the a lot of the fear that's caught that that causes dip is not just bitmex obviously bitmex having a huge role in his future in the futures it's also about what can happen next obviously so now people are asking questions about other derivative exchanges like bybit or deribit or ftx or even binance which has futures now so what about all these other futures exchanges what about the other big exchanges will they face similar criminal action as well and you know this is a big issue as well because you know guess what we don't know what's going to happen next only the the ctfc knows and obviously it's been kind of planned for a long period of time and this is like i said this is definitely planned for a period of time because the last time i tried to get an interview with bitmex which is all the way back in taipei i was in 2019 ish and during that time it was very hard to even get an interview because they were very very concerned at that time of having any americans viewing any of their videos so it just seems like to be a case where like to apply to get an interview with offer hayes it was just like i had to speak to lawyers and more lawyers and they were asking about regional restrictions on youtube and applying those regional restrictions so offer space never shows up in front of americans right so this is a very clear case where this has been going on for some time and it suddenly bam something happened right so that's kind of what i feel like it's happening so anyways i don't think it was very surprising but let's take a look at the news and how that affects everything here for the time being so what did they get charged with so it's the ctfc that came out with the charges and then um for operating an unregistered trading platform and violating violating anti-money anti-money laundering operations so they filed a civil enforcement all right so that's what happened and then also in terms of kind of what happened so i'll just read this tweet which is a little bit more interesting so oh this is like yes yet again it's done by the community but i think it has some very interesting kind of responses here so let's say okay so um it's bad for c okay so starting off this is from adam cochrane so a lot of crypto um twitter doesn't understand why today's news is just bad for c5 but also bad for defy as a something to do with a legal nuisance and a little thing called the bank's secrecy act here's a rundown for you so the u.s is a complicated patchwork of jurisdictions when it comes to laws as multiple regulatory bodies multiple types of laws civil versus criminal etc etc etc and it's basically a hefty debate of how those laws apply so i'm not a u.s lawyer all right i'm reading this i'm just yeah it's very very complicated and you need a lawyer to explain this but this seems to be the best explanation i find found so let's let's continue uh in a few ways so you apply the law in a few ways first the letter of law which you apply a law only as written second it's the spirit of the law where you try to apply the purpose of the law rather than the specific word this gets applied more in criminal cases today joint charges from the ctfc and the doj were handed down to bitmec so this is why there were arrests made so it's not just because of a civil charge right so done by the ctfc but the doj also pressed charges as well the ctfc is a regulator like the sec that handles commodities applies regulatory and civil penalties but it does not pursue criminal action it lets the doj handle that so this is why there were arrests made ctfc is a regulatory body but they let the doj so it was today it was a joint operation so they already planned this for some period of time joint operation being charged so bitmex was charged by the ctfc as running an licensed commodities exchange which allows u.s customers just like dealing with the sec the ways the rules are written and applied and the spirit of these rules in the ctfc guidelines make it unclear if the regulation should apply to defy so this goes yet again back to defy and the long term kind of issues facing crypto and this is why crypto overall went down because if these kind of if this is the first case of many right and if this we don't know if this only applies to other c5 or if it applies to defy this is what the uncertainty this is the flood right fear uncertainty and doubt clouding the overall market does this mean one it's one of the first of many cases that's going to be applied into crypto or is this just one-off case this is unknown at this current point but of course it's a double whammy all right it's not just a single ctfc charge and the ctfc went to the doj department of the justice and say yo arrest these guys arrest these guys and that's what happened that's why that's why there were arrests made and this is why people also in this industry quite concerned no one wants to go to jail at this current point so yet again it's like does this affect the overall market does it not affect the overall market so anyways continue on you can see um you can see the sec and ctfc laws were made as consumer protections to prevent consumers trusting the wrong person and getting taken advantage of this is why the sec cases have focused on fraud promise of return over or over centralized admin keys so if the crypto community might be right that the ctfc regulation may not apply that to defy but it's a gray area because it could be offered it could be argued the consumer is safe in a limited sense but the ctfc charges would result in financial penalties so yet again this is very interesting um we're going into uncharted territories here the doj handles the prosecution of the bsa which includes criminal charges so this is the bank secrecy act the bank secrecy does not have the goal of protecting consumers it just has a goal of stopping money laundering so rather than things like the ctsc where the law says if i can run exchange you have to register with us so we can keep your users safe the bsa essentially says if you in any knowing or purposely or through failure to meet industry standards support enable facility or profit from money laundering we're gonna throw the book at you very interesting so now many people presume that there is some sort of magical peer-to-peer exemption that exists in these laws i'm not sure where the myth comes from it might be an over oversimplification of understanding the c sec and ctfc limitations but it does not exist so this is very interesting going forward as well so i think like you know it's it's been a period for the past three years where the mouse came out to play that's been pretty pretty interesting right so a lot of people have been trying to think like oh maybe it doesn't apply to us it does and even when it comes to locally peer-to-peer transactions it's harder to track and you're smaller targets but it doesn't mean the law doesn't apply and we've seen that before as well where if you sell bitcoin peer-to-peer and you transact a lot of bitcoin criminal charges could be applied if compliance to money anti-money laundering standards are not done now this is of course very hypocritical all right so let me just let me just uh finish reading a little bit of what else is important here it's it's a very very long tweet i'll link it i'll actually retweet it and i'll link it um here um in the chat so you guys can read the entire thing but that's kind of the gist of it like it's the overall what what happened i think and and we don't really see that on the coverage is that this isn't just a ctsc charge a ctvc charge normally would mean that oh hey just you know hey don't do it here's the penalty but it's also has some criminal charges here because of the bank secrecy act which they're accusing bitmex of not complying completely with the industry standard you know keyword industry standard of anti-money laundering now the interesting thing here is of course the normal like central banks have been doing that for ages right so not only are they like found a money laundering but like hsbc money laundering but no one really gets arrested people just get a slight slap on the wrist right this is kind of funny you can search the hsbc money laundering scandal basically they agreed to pay a 1.9 billion dollar fine but the charges here are real and they were found guilty and this is a case where because of the bank size appears that some of here it's too big to go to jail this is the problem with the banking institution right now so whilst we can read all this law and the legal issues the key here to remember is that because bitmex is smaller than hsbc the doj can bully them no matter what right and um and they can get drastically beat on by the central regulators here but the problem of course is that the world's unfair it's just so ridiculous the world's unfair basically all the central banks they've been caught doing all that stuff but because it's too expensive you know it's too detrimental to replace the banks out there just let it slide just just you know it's okay just let it slide law doesn't apply and this is the worst part about this world is that you think that the world the laws apply equally to everyone that's the fairest way forward but nope laws seem to be quite selectively applied to crypto right now obviously like i said i'm not trying to use this as an excuse to promote criminal activity i don't think that i don't support that in any way on this channel but it's important to remember that i think bitmex also demonstrated that they wanted to comply whether or not they complied in the past i don't know i wasn't there very early i'm not a very big uh crazy bitmex supporter that you know for all time they offer tools with crypto people but at the same time you know they also need to do their part to fight crime so i think this is something that is going to go on for ages forward and i think we're going to have infinite number of debates on it but i just wanted to raise the awareness that you know it might sound bad but checked out check out check out something else as well for violation tracker hsbc i just wanted to point out the hypocrisy of this as well but you can go hsbc i'm not targeting hsbc directly but you know uh it's one of them so you can actually see how many offenses they've been caught and the penalty applied this is kind of the craziest thing about the world but whether it's financial offenses competitive relations consumer protection related offenses or any anti-money laundering deficiencies plastic security abuses banking violations anyway just search for this on on on on google you'll find you'll find a lot of cool stuff every single bank is guilty of it because there's just so much money involved right so you can see the number of cases number of fines and number of charges but also because they're so big to fail magic magic magic so anyways that's kind of the case in this way okay so we got all right reading some comments so don't touch your mic mic sorry about that i'm just i'll try to adjust it to a better location uh let's see technology says at box money do you think this is this is preparing for crypto etfs i don't really think so i think like um maybe maybe they want to promote their cd um ctfc wants to do more with their etfs but at the end of the day i feel like this is something that has been going on for some time i mean like i said bitmex was just pretty much blocking everything for a period of time i mean they were requiring kyc which they didn't require before and then they were uh blocking more and more users including people users from hong kong or whatnot like previously they didn't do it right so it's very obvious that they were under some sort of legal trouble that was that was kind of the case and uh um like like the fact is if you want to speak to them you have to go through layers of lawyers i think that's that's telling enough so i think it's a situation where it's been prepared for a long time and we just see it surface today my two cents on that um julian frost's bitmex made the mistake of not getting rid of u.s customers allowing leverage and boasting about people getting wrecked and i think this can apply to a lot of other exchanges too so initially a lot of exchanges didn't require kyc so this will be a problem not just for bitmex but also for other exchanges i think including some exchanges i'm not gonna put names here because it's pretty much every exchange in the industry is pretty much guilty of this so initially when these exchanges start they pretty much allow a two bitcoin withdrawal without kyc so that means if they allow us um users or whatnot then the doj and the ctfc can come after them right for whatever they're trying to do so this is a very interesting case it's probably the first case of its kind they're probably going to test how far they can push this and also of course this will send shockwaves through the entire industry and exchange that has accepted um u.s you know customers that's it that's kind of funny of course obviously you know like a lot of these exchanges are not registered in the u.s i um i read a few funny tweets yesterday i'll just read them out to you i found that quite funny it is not so this is another tweet i sent out you know where have we seen this before big banks fraud money laundering toxic security abuses find crypto accepts americans jailed that's so sad but it's also so true uh there was another kind of tweet uh that was very interesting let me just make sure i find it uh or maybe i did not retweet it oh this was quite funny so crypto bit lord changed his name to offer hayes he's like left me laughing my ass off motherfuckers come and get me it's not the real offer hayes i found that was hilarious i was like the the level of trolling in crypto is hilarious i hope you know we don't know where offer is right now but we'll have to see where where that's happening we also have let me just double check let me see one more tweet for you guys um there was an extract um extract from the thing so about coconuts but anyways okay i don't think i can find it now but um yeah it was kind of funny there's a bunch of funny tweets just today elsewhere that's where i spend all my time guys just reading tweets all day you get sometimes you get good info sometimes you get the most hilarious information ever so that's life right that's life so anyways that's kind of the rundown of what's happening here so it's both not just charges applied by the ctfc but also enforcement from the doj as well which is what's leading to the first arrest of the four members the four founding members of bitmex but yet again offer hayes not there so anyway so we'll see that um me you and mean council's offers in singapore i think this is the unfortunate part like the cto was in the states and that's why the arrests could be made now it's about international law enforcement on offer is in singapore so now it's about international law enforcement we'll have to see how that goes but yeah so you and mean i can ask our police to go get them at any time guys lol it's that that enforcement like international enforcement is even crazier and by the way we got clement ip thank you so much for the 23 donation thank you clement on genesis block supporting and by the way guys um big big shout outs to genesis block they're pushing crypto very very forward in hong kong so if you want to check out what's happening with in hong kong genesis block is a bitcoin center here and it's not related to any of the other stuff it's just genesis block hong kong and uh it's doing quite a lot to push crypto forward and also if you want to do any otc basically selling large quantities or small quantities of crypto even for international customers depending on your regional where you are in the world but they offer otc exchanges as well and it's the crypto exchange that i use like crypto otc i use to get you know um trade my crypto in hong kong because hong kong there's no exchanges here so that so smaller amounts swissbork larger amounts genesis block that's the way it works all right so we've had infinite number of questions i'm gonna go and run down um all the questions concerning the ctfc bitmex situation i think a lot of people are concerned if you guys are concerned okay if you're in bitmex i think be a little bit concerned withdrawal if you have to um into a ledger trezor or whatnot um if if it's your keys it's your crypto that's a key right if you're living on exchange that's not your crypto and you know applying for to get your crypto back is insane i just say i want to say like mount gox was horrific because they have bitcoin that was um basically because the exchange closed and law enforcement came through the liquidators are extremely slow at doing everything and it was just a pain to get it back and even if i can get any of my coins back from mount gox they would have been sold at a 400 evaluation for bitcoin i'm not even joking here like they set the target price at the date of the liquidation so even though bitcoin went up in value the upside no one knows it's going to be another legal proceeding to find what the upside is but that's just ridiculous right like it's crazy like you will not believe how crazy that legal system is um like like i just wrote it completely off the past few years it's just like it's trauma write it off because fighting that it's just like it's going to be a gigantic waste of time and there were people offering me to buy um the the contract off me right because you get a contract you sign with them with the liquidation clause people might wanting to buy that off me for like 30 percent of the original value it's just crazy because people just don't care anyways um but yeah story in a ledger that's the only way to save way to keep crypto and the fun thing i think that's interesting thing here is that with the yield farming that's been going on i moved a lot of cryptocurrencies out of exchanges which is great which means i don't have to worry too much right i'm not actually not too worried because well my crypto is outside on a ledger which is great so thank you yield farming thank you thank you i got to gozaimashita uh um crypto graph indexes metamask is great and you have your own keys on metamask yes and no so i use metamask with my ledger so it offers extra security because when you store that crypto it's not on your computer computers can get abused and we've been seeing a few reports where some malicious farming websites directly attack the browser and try to attempt to steal your metamask keys with windows and mac these computers have a high degree of functionality so it's very easy to steal keys from them viruses do that all the time steal your personal information and even if the key is encrypted it's still possible to decrypt it with a key key lock so essentially people can key lock your computer find out what your password is and then decrypt that key on your computer that's why the ledgers are important because they're another separate device they are much harder to attack because they have a secure element inside which prevents things from happening so what happens is that the key never leaves the device so the hackers can never ever see it the only thing they can see is signed that transaction so once a transaction is signed it gets on your computer which is much safer so i think a lot of people still don't know the difference i just want to just say that one more time this is why we have all these dorky keys like all these crypto guys are all these like little dorky guys with like you know their weird wallets and stuff but honestly if you're keeping a larger sum of cryptocurrencies yeah you don't want to leave that on your metamask let's just say that huge tips here huge huge tip here so yeah metamask plus ledger is the best um yeah pretty much so ledger or trezor either or one of the more reputable or larger firms which have you know um been around for a while that's probably the safest way forward we still have um kucoin still has withdrawals and deposits disabled is pretty bad um yeah they got hacked right remember so derp it's kind of interesting as well so in terms of the kucoin hack as well i was um i had a call with dima from hacking yesterday and they're also as a community service trying to investigate what happened with the kucoin hack and how it could have happened as well so this is something that we're going to do an update in the future with dima from hacking you guys know that i'm an advisor to hacking mostly because i like security i've also made a few investments into them obviously full disclosure of course but the whole point of this is that security is now pivotal to the whole cryptocurrency space so whether it's from hackers etc yeah you don't you don't want you don't want your cryptocurrency and exchanges you just want to know what's the best security and options available and that is pretty much key we got crypto graph indexes linux pc plus ledger plus metamask is what i use that's a smart smart way forward linux pc is always great um i try to do that once uh but like a dedicated linux pc for everything but sometimes it gets hard sometimes it gets hard to manage sometimes you just want to trade um like very quickly especially when you're farming typically speaking like you want to have the ability to get in and out of a farm very quickly so yeah it's always a balance about what's going on so uh crypto grams is these kucoin funds are jumping all over it seems like every whale alert is done it's pretty much pretty much so it's interesting as well so the minor update i think i had dima was that from from dima and what they're investigating is it it might have been like the kucoin cap might have been a social engineering slash inside job it seems to be that seems to be the bigger attack vector right now we'll talk a little bit about social engineering so this is the social engineering was also used to attack twitter before so remember the time when twitter accounts were attacked by admin tools when suddenly all these verified twitter people were tweeting about bitcoin and this bitcoin giant giveaway where you send them bitcoin and you can receive more bitcoin back that big scam well that was caused by social engineering and the way it works is these hackers pretend to be either you know big executives or whatever of twitter and then try to gain access to employees and i say yo give me those keys or give me some access or something or whatnot so social engineering is becoming a very big attack vector too so anyways uh long rant short that is the case right now so speaking of everything here let's go check out our other coins and let's move to the bigger topic that everyone's asking a little bit about before and all that farming jazz and stuff so i'll give you a little bit of rundown of what i'm doing right now so just very quickly so i'm still farming i'm still farming quite aggressively so one of the biggest farms i've been setting up um it's actually lua this week so this week i'm being a little bit more active setting things up um but rewards have been quite crazy so i'll give you an example of what's happening so yet again this is a very good good example for the strategies going forward and the details required to actually be profitable when farming so first of all when i went lua farming it's very clear and you guys probably noticed that i almost never entered these pools and this is the reason why is because they're highly volatile so even though you see very very large rewards i think most people when they look at farms and obviously this is not financial advice this is a first-hand account of what i do and what's happening but a lot of people get tempted by these huge numbers they buy up lua they put it with usdc put it there but what happens when the lua token drops which is exactly what happens here so very very uh few times do i ever go into these pools i think i've only gone into them for cream wifey and a few other select others where i really do believe in the project and i believe that there is buy pressure on that coin so usually i don't ever touch this so even though i say it's hot and recommended here i think this is where the devious art marketing comes in this is very very difficult so if you lose half your value overnight one thousand percent apy is not going to save you all right that's just a plain and simple it's plain english right there so the other ones are here so you have tomo chain plus eve tomo chain plus usd so this is ethereum based tomo chain and here's another place where you can apply a trick so the apy is huge and also yet again this is another trick that they've employed here as well the apy they only give you a portion of that i think only 20 of that is unlocked the rest is locked yet again locked is dangerous because you don't know what the value of the lock tokens will be over time but here is where you can apply an interesting strategy i don't not sure if i can sure recommend this but i'll just tell you what i did so you can go on ftx and you can apply a short on tomo right so this is this is this is slightly interesting so because you you need to put the tomo coin there right you can apply a short on tomo so let's say yesterday my entry price was around here so i had to buy tomo at around 1.14 um the reason why is because the perpetual futures are actually lower than the actual coin price but anyways that's that's another detail but anyways i bought it at around this price but obviously if there's a downside like what we see that's happening here you're going to lose out on impermanent loss right so i set that up then i set up also a short of the equal amount equal or a little slightly bit higher amount of tomo chain so this means i effectively hold no coins right so if you have both uh you hold the coin and you short the same amount you effectively have no exposure to that asset so that's kind of what i'm doing now it's it's a lot more creative i would say to to set these up the rewards are really great but yet again it's i'm not going to tempt anyone there i'm not going to teach anyone here like i could tell you guys why i'm going to do it but i think that's the extent at which i want to do things because it's highly complicated highly easy to screw up and i don't want to be responsible for anyone screwing their stuff shit up but it's it is ridiculously profitable after a while so anyways um that's how this to to that's how i'm roughly doing things um i'm much more safe now uh when i'm yield farming um that's just an example of how i set things up where you kind of reduce exposure to the assets if you don't want to hold them like if i don't want to hold tomo that's how i do it i could of course hold tomo if i had tomo and i'll just like hold it but i was at a point where i was like no i don't want to hold tomo so here here's a giant short and that worked out really well like really really well like if i didn't do that i would have lost pretty majorly here today because pommel prices went down so anyways long story cut short that was smart yeah hedging it's called hedging michael lu says it's hedging that's the strategy for it amandy parmaris uh thank you so much for the 15 donation that's thank you very much really grateful um as well really really thank you for the encouragement um so yeah so that's how it is i'm um my and bernard mccarius is uh nice michael hedging your bet absolutely absolutely you must hedge your bet and also just to say it's not always the cleanest thing out there too so basically when this was done when i was hedging my bet there was actually a gap between the price of tomo versus the perpetual futures of tomo like now not so much but you see the the blue chart underneath that that is where the trading prices are and the the charts here is where uh the perpetual futures are so you just have to realize that there was a gap here as well and the funding rate was actually quite high so yesterday the funding rate was around 0.1 for every hour so if you are shorting so if it's negative shorts pay long so i will be paying 0.1 per hour to keep my short alive um those are details that you have to factor in as well it's not super simple and obviously this is not available to americans let's just point that out there this is not available to americans so anyways luckily here it's available to me so again regional restrictions apply to all these strategies not trying to promote anything just telling people what i did before people get overly sensitive um bomb blow bottle says thank for honesty you're very smart and can greatly appreciate thanks keep it on thank you thank you thank you we're trying because there's a um i mean trying to learn the best strategies for this um the other strategy obviously if farming is to borrow assets off cream so uh essentially this is also another strategy that people use like say if people are farming x y and coin and have to use x y um coin like uh let me put that here like oh like there's farms with y fee before this farms or comp before this farms or lend before and rent btc previously for me i just use whatever rent i had i could say say rent itself um or wifey i had that was from my own wallet but i know a few friends that also just borrow it off cream so they just put a lot of supply and borrow that asset to farm with and then return it if they don't care for the asset so anyways there's a few very ingenious ways to do this um and you just have to be very flexible and creative i think that's the the key here creativity is king so anyways there we go uh we got bar says anybody have referral for ftx i have one too so let me send that out but yet again if you're going on it go thank you thank you thank you if you're not then i don't want to promote it either so anyways uh ftx.com how do i do this um that cold sash all right there we go all right so so so so um some few questions more so have you bought anything on binance smart chain so i was farming the crap out of pancake for a while i think that went very very well this week uh it got listed so the moment i think this is a strategy too i think this is unfortunately one of the strategies is where something gets listed on binance and you start immediately selling it that's the the strategy so unfortunately that's what happened to pancake um so i did use bsc like binance smart chain to farm quite a lot of pancake the rewards were quite good for some period of time so people were talking about buying a smart chain so rewards so yet again this is a pool to avoid i was farming via usd bnb was farming dot bnb i was farming burger bnb i was farming baked bnb so basically pretty much in the line which is great so i can just click this collect click this collect click this collect and then obviously the coins went all the way up to around 1.3 dollars and after the hype after the hype of after listing of binance i crashed down again so yet again it's a situation where i'm not too overly speculative on these ones i don't really speculate too much on the underlying property i did speculate a little bit i did say i did go into this pool prior to the binance listing because i felt like there was pressure to list but after the listing that was when i just said you know what that's my cue to exit so i feel like this strategy has been adopted by quite a few people unfortunately so that's why the prices of cake also dropped so you had to get not financial advice but this is also what i did as well so you can go into this if like like i don't want to overly promote this like i did go into this but with certain conditions and once those conditions were met i'd exited um regardless of whether you know it's at its all-time high or not um that was smart very obviously so that's why i'll say i was flipping burgers and pancakes for a living lol pretty much so uh that's it that's pretty much it that's funny much it um okay so cryptographer i think um is asking about xdai for a lot but i think this is a point where i would say on the the public chat we're gonna have a chat now but we're gonna have some rules for this chat so we're the same rules apply to my telegram group which is like if you promote a coin you gotta tell where you enter at and something that i'm being very kind of almost allergic to is uh recently in crypto anyone who aggressively shows me a project i immediately get turned off by it it's like almost like a immediate reflex reaction the moment someone gets overly aggressive and says oh have you heard about x coin it's the next gem it's gonna replace everything and this has these huge promises that is when i'm just like nope i'm out the same thing happened with many everyone was like oh many it's the next meme or you know many understand this and then all of a sudden uh when it's too aggressive that's when my execute is because unfortunately aggression aggressive shilling is when someone really wants to dump that's just unfortunately what happens in crypto i want this community to be built but at the same time because it's public there's always people who are literally paid shows to promote a coin so that was exactly what happened with many they were they were promoted to show a coin on my channel and then they can screenshot that and literally claim free coins afterwards all right um definitely not what i want to promote definitely the worst thing in the world but anyways anytime someone's aggressive with it um yeah it's yeah i get an allergic reaction and a rash it says angela so that happens i mean just watch out this week uh this week uh we had like a very very aggressive speculation i'll talk a little bit about like everyone was talking about core right so um core vault finance and it is extremely speculative so like if you look at it um it went up and then went down and it went up again everyone's talking about it the the key thing about core and the thing that i find um you know i like their interface it's interesting they have a new tokenomics where if you actually farm for core all your core gets locked up forever right so there's like a perpetual lock on that core so now if you watch for one of farm core it's like you're effectively burning it's very hardcore and then there's a lot of speculation about this applying pressure for the coin to go up but that the problem here is that the long-term value of core right the long-term value is really just written here where just they just said oh look it's in a vault strategy um i actually read this um it's in a vault strategy oh my god any user can contribute vaults they're comparing themselves to yfee and then it's going to be used by core but the problem of course is that none of this is real right none of this is real yet we don't even know we don't have any indication that this will work so yet again it's extremely speculative it's like the amount of speculation here is massive right we have no clue whatsoever if vaults are going to be built if users are going to submit the strategies and if these strategies are going to work but everyone wants to speculate so in this short speculation speculation time window everyone who knows and talks about core they focus on the tokenomics of it which they think is going to cause upwards pressure because it's deflationary right this is where for me personally i'm not comfortable talking about it i don't think this it this is the amount of speculation here is beyond what i think is reasonable here yet again can you make a speculative play it's hard because maybe it's already done already the speculative play might have been much earlier this is the issue with farming 2.0 yet again farming 2.0 you know we've seen this with core i think core starting this where they're pushing out deflationary models they're pushing out burns but the problem here is that also the people who get in very very early they make a freak ton of money right i've known people who were like scalping unit swap initial swaps for uh core they can make money there but the problem is it's like does it generate long-term value i mean it's already late phase so yet again it's one of those situations where very very uncomfortable talking about this on this channel i want to draw the the issues off it and the speculation is whether these vaults or not can be built for me the criteria for a project that i want to keep medium term to long term is always if they can generate some sort of value like they can add something other than oh i'm a currency right that's because bitcoin send that and any other urc token can do that but can they have any form of value longer term because if not then that just makes it a big giant ass ponzi and you know and and this would be classified not just as a pyramid but a ponzi if they cannot deliver on the value that they're promising right um the ponzi the ponzi's are classified as ponzi's if they tell people and promise them that they're generating revenue and generating profits but they don't actually generate profits and this is something that's pretty easy to check on chain right now because vaults aren't open it's hard to prove or disprove but come a few months we'll know we'll know so anyways that's my two cents that's my two cents of what's happening i'm playing a lot more um talk about topic so live tk says i just bashed the crap out of um live tk asks have you just joined have you talked about core yes i have and i bashed the crap out of it so you can just rewind a little bit and figure out what happened there and it's up to you right the the way i've done it now it's like uh i know there's speculation and yet again it's a situation where i'm okay with speculation i'm okay with discussing it but yet again i'm not okay with over promising on stuff so uh it's a situation where these projects they have to prove it and for both my long-term and medium-term hoddles and for my most of my non-degenerate craziness um i'm much safer that being said of course i do have a degenerate side if you guys know um i've been pretty aggressive as well into newer farms etc and i'll talk about that in the future but something that's important to remember is that for my degenerate amount it's probably less than one percent of my portfolio so i feel like um it's a reverse for a lot of people where 99 is degenerate and one percent is probably bitcoin or whatnot but for me 99 is non-degenerate assets it's just because i've been in this space for a long ass time um i've been this here since 2012 um i've had i've experienced all the ups and all the downs and all the ups again and all the downs again yeah not planning to make this a short term like it's not a short-term lottery for me so i guess that's the kind of key difference here um there is a degenerate side i mean everyone likes to gamble and stuff and that's that's fine that's fine that's far that's that's just part of life and sometimes you're early i mean um wifey i took it could have been seen as a highly expected to a farm as well when it first started right i mean i was the first one to talk about wifey i did my research i actually messaged andre personally as well um and that's why i like the project right because you talk to him he know he's legit but with a lot of these new ones you know do i even have the time to pursue that who knows but at the end of the day um i found a few good farms that works for me i talked about lua as well um if you guys are interested in that or setting up something different or there's a bunch of new ones out there and um yeah we'll do a yield farming session later but that's my kind of take on everything oh oh wave right us are you you're taking out some risks lately or whatnot i'm i'm de-risking a lot recently um like i feel like uh there's more uncertainty in the market right now um so i de-risked a lot so i can extend my runway whatnot uh i still have like i don't think i moved much out of crypto but i moved out of highly speculative assets so anything that was highly speculative or i was overexposed i moved out of and that was what i spent most of my time on this week basically controlling the amount of risk i take and everyone's risks profile is different i'm not giving financial advice here but at the end of the day it's just the way it is right like um i don't want to gamble like it's and i've said this very early on this channel too it's like i want to be smart and consistently making money here and i have been like there will have been a few bad apples like um some things that went down but overall this whole three months have been extremely profitable and i want to keep it that way um i'd rather make like make medium and lose little rather than to potentially make a lot but lose everything if you lose everything it's game over um you know it's you know it's yeah that's not smart so you know it's just personal risk profile and appetites is very different uh and i've been around it for a long time and i will be around for a long time in this space like i like i said i have a long runway here too i think after this whole run i haven't cashed out yet so i don't want to say too early you know previous i told you guys i have around an eight to ten year runway here so i'm going to be around for eight ten years um you know just for any money no problem but with this runway with the new with this current run i can extend that so like maybe it could be like 20 years but i haven't cashed out yet so i don't want to say too early anyways um yeah phoenix fire says how do you handle tax so that's a great thing about being in hong kong um there's no capital gains tax here um yeah magic it's a magic of hong kong uh so that's why a lot of people are like oh get out of hong kong you know you should get out of here but the good thing about here is capital gains um yeah what's that anyways i think that's pretty much it it's been 58 minutes uh thank you guys so much for watching here um i'm still in a lot of other farms i think people are always wondering oh well i mean still in yfee yes i am there's new pools up there's new vaults up am i still in like cream yes i still have in cream i still haven't risk mitigated that too i think that's the craziest decision i've made throughout this entire season i'm still in cream um that's absolutely insane but uh let's see what else is there um yfl so yfl i still hold some that's good um i feel like they're still building quite aggressively and you know that team's known to make good stuff um pretty much it like there's a lot of other farms i'm still in i'm still in curve i'm like i don't know why but i'm like even with rewards are still bad i mean i'm still in swerve i'm still in curve a little bit i'm still in sushi not sushi yeah sushi i'm still in i'm still in sashis sake anyways that the crazy part about farming is it gets it messes with your head so i actually have a list like when i go into a farm i take a screenshot of which farm it is and which wallet it is and that screenshot folder is like at least like 20 odd like screenshots long so yeah it's a mess it's a mess i'm tired um yeah that's pretty much it sugar zeus says do you own ada if you do you are smart ada is a conflicting story ada is a long story it's a long story for another time but you know i'm happy for the success i'm happy for what chris as chris hoskins has done i also know some japanese ada whales who were the original guys who set this up it's kind of crazy long stories long long stories long industry stories on this too i don't think that's available for this session but anyways that's interesting anyways guys i'm gonna get some rest thank you guys so much for watching today obviously today is very very tiring um it's been a long long time um yeah you know i think this week has been long probably want to get some rest and we'll get refreshed for next week and uh that's pretty much it so guys thank you guys so much for watching thank you guys so much for the discussion today and then we should yeah continue on and um you know it's crypto anyways guys thank you so much i'm pretty exhausted thank you so much for watching remember to hit the like and subscribe i know we have 440 people here we need i need those harasses more guys hit that like and subscribe button also this button doesn't work anymore um also i'll put the next stream on too let me go and schedule a live stream for next session shall we use these results um so we'll do it on monday on the 5th and we will do it on monday at 11 a.m so done then create this event and i'll send you a link and then you guys can come and join me on the next session where we talk about what's happening crypto maybe there's another exciting event happening because crypto is never there's never a dull moment in crypto and i think that's why we love it um at this point though soon guys um i see a lot of core shields here um just watch out guys core is one of those most speculative assets um i'm close to banning it because of just how aggressive people are promoting it which is quite scary um you guys know what happened with orbs i don't need to tell you guys that it was something that i'm very glad it did not get in on like get into or whatnot they even touch that stuff um orbs just went like that people were talking about it's the best project in the world and then went like yeah that's nasty i think it went up to like 10k and i dropped to 300 like it just got obliterated to nothing anyways that's those are warning signs man like um just be safe this is so space it's just crazy um i will look to ban particular topics if it gets overly aggressive and that's it i will say though like if you guys want to come and discuss stuff um you know how i closed off telegram is to prevent overly aggressive shows we do have a discord being opened up so let me go and create the discord invite for you guys reason why we do discord is because you have multiple channels so we can control everything a little bit better so if you guys are interested in coming on discord uh let me just invite let me copy the discord link here and boom and here we go so discord is here and eminence as well um as well yeah you mean quant you mean kansas em and that was another crazy coin where people just deposited 60 million dollars into that project and then the hacker just like took it off it's like took 60 million dollars refunded half 8 million but not bad for a day's haul that's just insane in this space and uh it goes to show that the space the the amount of speculation is just overwhelming a little bit and uh yeah like if it was 2017 me i would shake my hand in the air and say no stop speculating idiots but i'm mature enough to say that i can't stop the speculation but i will call it for what it is it is just over speculation and pretty much that so anyways guys um you know it's like it's like every season there's gonna be a big connect right um whether it's gonna take a different name or not who knows but that's the link for the discord channel definitely love to see you guys on it's more free for discussion you can talk about all you want but we'll have different channels maybe a very speculative channel it's still it's still new and ongoing so check that out if you guys are interested and then we have lastly the stream for tomorrow or uh not stream for tomorrow stream for monday get shrivel link this goes on restore chat here we go dropped it in boom done uh that's pretty much it so guys thank you so much so so much for watching today's episode um yeah uh hope you guys enjoyed it make sure you smash up the likes let's get to 100 likes and we'll tell more stories we got arif says i want to hear the ada stories i i don't know man i don't know if i can tell them i don't know i swore into secrecy on some of these things um very very sketchy starts sometimes too so who knows right anyways guys um thank you guys so much for watching today uh check out all those links see you guys next