
Canada’s Einstein crypto exchange shuts down – and all the money’s gone - rwmj
https://davidgerard.co.uk/blockchain/2019/11/19/einstein-exchange-all-the-moneys-gone/
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ksaj
This will keep happening, as it already has a few times over. Unless they are
backed by real solid insurance, cryptocoins and their associated exchanges are
a serious gamble, and nearly always a scam if they aren't backed by some big
money (banks/insurance/a well-known billionaire, etc). I bet people who got
out when the rumours started are doing just fine.

Some companies just can't run their pyramid schemes as long or as well as they
hope they can. To those who lost from this exchange remember this: you can't
get blood from a stone. If they don't have the money, you won't get your money
back.

One of the biggest things the cryptocoin market needs to deal with is to avoid
turning out a bunch of pyramid schemes, or folks like Genius who mysteriously
"lose" the fiat money somewhere along the line.

Sad to say I'd trust Facebook with cryptocoin over some schmo nobody's every
heard of. Stick with something tried and true, even if it is "slower". And
gtfo before they go bust. They all will, by design.

PS: I can't wait for someone to invent a crypto-like coin that isn't so harsh
on the environment. Any ideas?

~~~
Accujack
>This will keep happening, as it already has a few times over. Unless they are
backed by real solid insurance, cryptocoins and their associated exchanges are
a serious gamble, and nearly always a scam if they aren't backed by some big
money (banks/insurance/a well-known billionaire, etc)

This will keep happening as long as crypto exchanges aren't treated like banks
and run like banks, IE regulated, with requirements for standard accounting
practices, requirements for funds on hand, transparency requirements, and
everything else that goes with being a regulated financial entity. In
particular, there need to be requirements for a two man rule with oversight
from a licensed accountant for the money. Too many of the "fallen" crypto
exchanges were just tiny companies controlled by one person who turned out not
to have the morals of a saint.

Millions of dollars is too much temptation for most people to handle, and
without rules and regulation people have a weak moment sooner or later and
they're lost.

