Thread
Im taking all of my capital out of @FTX_Official and going short $FTT 📉

FTX has been swinging and missing all year long on so many activations

AND

Something shady is going on at FTX.

Here's 12 reasons why I'm completely out on the FTX mafia and @SBF_FTX: 🧵👇

[1/20]
1. Volume is down

Let’s get the easy one out of the way. Yes we’re in a bear, but Volume is still down ~ 75% down from its peak.

They’re doing 3-4B in volume some days. Those are Dec 2020 levels

Less volume = Less fees = Less revenue.

But that's just the start..

[2/20]
2. DEX and derivative volume is up

Besides being in a bear, FTX is losing derivative market share to decentralized products.

@GMX_IO @GainsNetwork_io and @mangomarkets are all slowly gaining market share

DEXs are just more efficient with less overhead expenses.

[3/20]
@GMX_IO @GainsNetwork_io @mangomarkets 3. Splintered Attention

Instead of focusing on one goal - like making the best possible trading product, attention is getting splintered

FTX NFTs - massive failure

Sam talking about buying twitter or joining Elon’s bid.

This has also led to…

[4/20]

4. Top Execs Leaving

FTX US CEO @BrettHarrison88

Alameda CEO @AlamedaTrabucco

Head of OTC and institutional trading leaving “quietly”

Either something shady is happening, or these guys are post-economic.

Either way, im out.

www.theblock.co/post/174513/ftxs-head-of-otc-and-institutional-sales-has-quietly-left-the-firm

[5/20]
5. Market Manipulation Allegations

What shady things can be happening at FTX? Glad you asked.

Allegations of Price Manipulation by Waves CEO

cryptoslate.com/allegations-alameda-research-is-manipulating-waves-shut-down-as-bullshit-conspiracy/

[6/20]
Allegations of listing $CEL in order to allow naked shorting and tank the price or cause multiple short squeezes

This went from meme to creating a bad brand for the FTX crew. Trabucco talking about going fast on his yacht doesn’t help their cause either.

[7/20]

This went from meme to creating a bad brand for the FTX crew. Trabucco talking about going fast on his yacht doesn’t help either.

A brand of price manipulation is going to make volume go elsewhere.

Less volume => Less profitable to market make => Liquidity leaving

[8/20]

6. Stablecoins

FTX took the lazy way out and made the basket of stablecoins.

The path to being the full on crypto central bank requires having a stablecoin. Bitfinex, Gemini, Binance all have stablecoins tied to their exchanges.

[9/20]
They misread the market as being winner take all, while its increasingly obvious that multiple stablecoins will have a place in the market.

This was a massive oversight.

Missed out on a multi-billion (potentially trillion) dollar opportunity.

[10/20]
7. Bad Bull Market Decisions

They made the awful decision every degen makes during the bull.

Buy flashy things you probably shouldn’t.

Like paying $200M for naming rights to the Miami Heat Arena.

Bet they wish they could have this one back.

www.superlativegroup.com/miami-dade-county-announces-new-naming-rights-agreement-with-ftx/

[11/20]
8. FTX Ventures

Have you seen FTX Ventures Investments recently? Pretty underwhelming for an A Tier Brand and a big name team

Few of their recent investments:

-30% of @Scaramucci fund?

-Messari Series B?

-Doodles insane $54M Raise?

[12/20]

9. $SRM and $RAY

Just going to drop the charts down here

[13/20]
10. Sam’s political Aspirations

@SBF_FTX - 2nd largest donator to Biden campaign

“Spends a lot of time in DC”

Very disappointing: FTX and Sam got very quiet on the Tornado Cash issue - would've been nice to see them speak up a little louder

www.theblock.co/linked/83636/ftx-biden-donation-5m

[14/20]
@SBF_FTX 11.

[15/20]

12. The FTX product

The only improvements FTX has been making are performance improvements in latency.

That really only helps high frequency traders.

Most quality HFTs i know are looking at MEV rather than arbing spreads across exchanges and scalping pennies

[16/20]
Also, FTX Stocks is proof that instead of going deeper and more crypto-native with their product selection, they’re looking for easy money outs to increase volume and fees.

FTX is just constantly on the wrong side of everything this year

[17/20]
While most of this was just speculative FUD, where theres smoke - theres fire.

Remember, @jimcramer telling you that Bear Sterns wouldn't collapse, the day before it dropped from $62 to $2 and got bailed out?

www.youtube.com/watch?v=V9EbPxTm5_s

[18/20]
So just remember kids:

- Not your keys, not your crypto
- Never trust crypto twitter cult figures
- People that are post-economic are rarely motivated to innovate
- NFA, DYOR

[19/20]
That's a wrap!

If you enjoy dumping on FTX:

1. Follow me @Ishanb22 for more FUD
2. RT the tweet below to stop your frens from being exit liq

[20/20]

If you like this tweet then you’ll definitely like @DeFiRoast

2x/wk, never more than 3 minutes

Daily DeFi news and analysis straight to your inbox, for free!

Subscribe below! ⬇️

www.defiroast.com/subscribe
Mentions
See All
gmoney.eth @gmoneyNFT · Nov 10, 2022
  • Post
  • From Twitter
Amazing thread