One year after the spectacular FTX collapse, the collective gaze of the entire crypto space, and the attention of the general public, fixates upon a courtroom drama of unparalleled proportions. The accused, led by the elusive Sam and friends, stand in the harsh spotlight of justice, their every move scrutinized as they face the consequences of a financial deception that rocked the foundations of countless small investors.
I am glad I never fully trusted CEX's. I had funds on binance, but removed it when a couple jurisdictions started banning it. With FTX, the signs were all there as you indicated. Most people however are emotionally attached to their positions, including the CEX they might be in. The reality is that in crypto/defi there is no safe harbor to park your boat. Some place might be safe temporarily, but as soon as the winds change you have to be careful. If not a CEX, there is always smart contract risk. DEFI has been plagued with all sorts of exploits. It is like traversing a minefield. As you mentioned not parking everything in the same place mitigates risk, and should be done if you a sizable stack. However most people become complacent and attached to their bag, abd let go of their vigilance once their bets are set. And so theily sail blindfolded, ignoring all warning signs. Essentially, sleepwalking money, ready to be reaped.
I am glad I never fully trusted CEX's. I had funds on binance, but removed it when a couple jurisdictions started banning it. With FTX, the signs were all there as you indicated. Most people however are emotionally attached to their positions, including the CEX they might be in. The reality is that in crypto/defi there is no safe harbor to park your boat. Some place might be safe temporarily, but as soon as the winds change you have to be careful. If not a CEX, there is always smart contract risk. DEFI has been plagued with all sorts of exploits. It is like traversing a minefield. As you mentioned not parking everything in the same place mitigates risk, and should be done if you a sizable stack. However most people become complacent and attached to their bag, abd let go of their vigilance once their bets are set. And so theily sail blindfolded, ignoring all warning signs. Essentially, sleepwalking money, ready to be reaped.