What most people dont realize is that what has happened to #FTX can happen to literally any bank in the world at any time
Banks run on a fractional reserve system & yes, they hold far less reserves than FTX had
FTX was then nothing more than a better TradFi-crypto bank 👀
1/4

If people for some reason do a bank run on any of your fiat banks, it will collapse
Had for some reason people start doing it in herds on multiple banks, the fear would spread & the system would collapse.
Then only hard assets such as #Bitcoin | #Silver | #Gold would be secure

When u deposit money (currency) to a fiat bank, it's not your money anymore
When u deposit money (#Bitcoin) to a crypto bank (exchange), it's not your money anymore
Crypto banks need far more reserves than traditional banks & you can always opt-out to spot #BTC, unless too late

In the end, it always comes to this:
- Not your keys, not your #Bitcoin
- Not your fiat, not your currency
There are far less reserves in the fiat world than there are in the crypto world. Once the trust breaks there, all hell let loose. Then the only protection is hard assets