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QuadrigaCX Allegedly Traded Against Its Own Customers Without Assets To Back Them (ambcrypto.com)
geoskd writes: QuadrigaCX, the Canadian crypto exchange that made news recently with the passing of its CEO, Gerald Cotten, has been alleged to have been buying cryptocurrency from traders on its platform without having actual assets to perform the transactions. The transactions showed credit to the customers accounts, but when the customer tried to withdraw cash, they had to wait until other customers deposited cash before the funds became available. There is also an accusation that this behavior exists at many other crypto exchanges as well. Perhaps it is time to take a fresh look at Tether...
No. Just stop. Really. Just stop.
I don't respond to AC's.
This is FALSE.
The investment side IS backed up by the fixed issuance quantity absorbing whatever portfolio allocation the worlds investing and saving populace decides to put into it over time. Even at a measly 10% allocation of all cash, gold, savings, you're looking at $1M coin. Start digitizing even just 10% of stock, commodity, real estate and derivatives markets and yeah, $100M is no problem. From $0 10 years ago, to $100M 10-20 years from now. That's your return. And it WILL happen because investors and people want it... they want the digital convenience, the privacy, the sub-hour worldwide settlement, the contracts, the witnessing, etc, and the freedom.
Once the investment side reaches global portfolio comfort allocation, and forex equilibrium, the growth phase slows towards that point, while the underlying transaction and cash aspect that has been running and growing since day zero just continues on level from that point thereafter.
It's really quite simple and amazing how such vast swaths of people fail to grasp it.
Once they all wake up in about 3-5 years and things start to really click... holy shit you better be strapped in that rocketship because the force launching you will be hella strong.