Just saw news clip in which Mr. Wonderful Kevin O’Leary, who was a shareholder and spokesperson of FTX and had a corporate trading account on FTX, saying that he is going to get his money back.
He cited the block chain technology’s meticulous recording of all transactions as the reason and has faith in the forensic accounting.
I might be a laywoman here. If his money is invested in Crypto in his corporate account, would that be much less now? If he is referring to his share value of FTX. Would it be nothing now since if there is any asset left in FTX, it would be for its creditors first before the shareholders?
I recalled he said on TV a while ago that he is going to make money by investing in DeFi – Decentralized Finance no matter whether the crypto price is up or down. Did he mean investing in FTX as DeFi? I guessed it made sense at that time. If one invest in a crypto trading platform, there will be revenue as long as there are trades which happens when the market is down. I guessed he didn’t see such collapse coming. Nor did many very smart and experienced professional investors. I guessed many just want to dip their toes in DeFi and crypto by investing a little, saying 0.5% of their total asset. If it goes well, then make some money. If not, then losing it is not a big deal? That seems like a no brainer.
Only invest in risky asset for the amount one can afford to lose.
Worthfy Financial Literacy Counselling 