SBF

Chapter 15For That, This (FTT)

It's frequently said digital assets don't have any purpose and anyone who buys them is foolishly opting into a Ponzi, but that's not true. At least the first part isn't true, the part about the purpose.

All cryptocurrencies are good for at least one thing, and the Samglomerate was institutionally geared for just that thing. They are all good for trading, and trading is something that lots of people like to do.

It's like playing a video game, except some people make money off trading while actual gamers only spend money on video games.

Most people don't make money trading—at least not over time, but some do. But those that don't at least get to play the game of trying to get better, joking around with other traders in text chats, and trying to find their distinctive trick.

As long as retail traders are playing with money they can afford to lose, trading is a quirky corner of the economy, like birdwatching, Instagram influencing, vinyl record collecting, and competitive dog grooming.

It doesn't make sense to most people as entertainment, and it doesn't make sense to me, either. But neither does watching golf on television, and that's worth $700 million a year to the PGA.

The volume of trading is what SBF and his retinue liked about cryptocurrencies. As far as I can tell, this is the only aspect they actually liked. New people kept coming in, volumes were going up, and there was free money to be had for teams with focus and a war chest.

And yet, ...