So How Is All That Crypto Working Out?

It has been a minute since I looked at Web3 is Going Just Great. Total losses in Cryptocurrency, NFTs and the related insanity tracked by that site are closing in on $12 billion.

First up, we have cryptocurrency exchanges and bad people. Founder of Bitzlato crypto exchange charged for processing more than $700 million in illicit funds.

The DOJ alleges that users of Hydra Market processed more than $700 million in cryptocurrency through Bitzlato, which also helped to facilitate more than $15 million in ransomware proceeds.

Under the heading, "Another One Bites the Dust," we have Genesis files for bankruptcy. This is the story that caught my attention, and directed me back to Web3.

The Genesis cryptocurrency lending platform filed for bankruptcy, following weeks of turmoil after the FTX collapse. Genesis halted withdrawals shortly after FTX's failure, and shortly afterwards warned of possible bankruptcy if they couldn't raise at least $1 billion in new capital.

There is more. The Bulgarian offices of a cryptocurrency lender was raided (Nexo) and the fined by the US. Several more hacks of NFTs and Crypto exchanges have been reported.

And in a bit of irony, the people put in charge of cleaning up the FTX debacle apparently don't know what they are doing. FTX liquidators get liquidated. Seems only fair, since the people at FTX didn't know what they were doing. (Benefit, meet Doubt)

As they tried to close an Alameda position on the Aave defi lending project, liquidators in charge of recovering customer funds lost $72,000 due to an error in their approach. The liquidators first removed extra collateral that was supporting the position, which resulted in two liquidations in nine days. The total loss was 4.05 aWBTC

So do you think you know enough about crypto to make money? More than the people hired to manage the FTX cleanup? More than the guy (who modestly) calls himself NFT GOD? Or would you just be one of the people reported on by Web 3 Is Going Just Great?

I could go on at more length, but that is enough to bask in the Schadenfreude for today.