FTX: The Straw That Broke The Camel’s Back

By My 15 Hour Work Week • November 10, 2022

Up till maybe 3 days ago, I had full confidence of my funds in FTX. My thought process went something like this:

FTX is the largest exchange I had access to since Binance and Coinbase do not operate in Singapore
If FTX really fails, no retail will be able to on/off-ramp the funds with confidence anymore
Most retail (like me) will only be comfortable self-custodying through cold wallets up to a certain amount
Retail and maybe even institutions would then be driven away for at least the short to medium term
So if I thought FTX was gone, I might as well leave the crypto space entirely

With a balance sheet hole and a bank run, the worst has sort of happened over the past 72 hours and about 1-2 hours ago, Binance (CZ) has walked away from the proposed FTX deal. The rumours/odds of Temasek stepping in probably vanished totally as well. Which is fair, as I cannot...