Vitalik Buterin Offers Lessons for Crypto in the Wake of FTX Collapse

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Ethereum co-founder Vitalik Buterin said that the collapse of FTX has once again made it clear that the problem is people, not technology.

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Ethereum co-founder Vitalik Buterin has spoken out in the wake of FTX's collapse, offering his thoughts and some positives from one of crypto's biggest Black Swan events.

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In an interview with Bloomberg on November 20, Buterin said that the collapse of FTX contained lessons for the entire crypto ecosystem.

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He acknowledged that the inherent stability of distributed ledgers and the technology powering the crypto asset economy has not come into question.

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The problem in this instance (and many before it) has been people, not technology.

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Buterin also labeled the FTX collapse as a “huge tragedy,” but added that it confirms the position of many in the Ethereum community regarding centralization:

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He added that this ethos includes trusting in open and transparent code above humans.

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Over the weekend, Buterin posted a guide to keeping "safe CEX" with proof of bankruptcy.

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Exchanges could develop "cryptographic proofs that show that the funds they hold are real. enough to cover

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The problems for FTX are understood to have stemmed from the exchange's use of customer deposits for other purposes.

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