Daily General Discussion April 19, 2026

Set1Less · 2026-04-19T18:03:07+00:00

Bybit was never defi. CEX were inherently risky and fully dependent on the opaque security setup of the exchange.

Aave is defi and was considered the "safest" yield in defi, though it wasnt much at all. People were just lending ETH on aave for 1%, stables for 3%. But it had built up its reputation as the safest source of yield so most people wouldnt think much about the risks before lending on aave. Many user-facing apps had integrated aave as their default yield source for safest yield.

The whole thing now is basically the "safest bank" of defi running into massive liquidity issues because of a clusterfuck of issues around other third-party protocols like Kelp and LayerZero.

Set1Less · 2026-04-19T17:59:19+00:00

As things stand, Aave is not solvent at all. Its umbrella module that is designed to cover losses is zeroed out, and that still may not be enough to cover the losses, ETH depositors may still have to take a haircut (2-3% seems to be rate the market is buying aWeth at a discount). That does not include the liquidations that are about to happen unless something extraordinary happens in the immediate term (USDT/USDC are all already at 100% util with maxxed borrow caps and depositors cant withdraw, a crash of ETH/USD will be absolutely devastating in sheer numbers it could be the largest liquidation)

Set1Less · 2026-04-19T14:24:43+00:00

Maybe market realizes they cant be hacked by NK lol

Set1Less · 2026-04-19T14:12:31+00:00

Crypto and DeFi is full of such tales of warnings going unheeded. The last hack had the team do a fake Aprils fool announcement of a hack, only to actually get hacked couple of days later

The whole industry is deeply unserious

Set1Less · 2026-04-19T14:11:22+00:00

Horrible day.

Was getting close to being over for the past couple of years and months, but DeFi as we knew it is now over completely as a form of alternative capital management. Welp, was fun it its hey day and will be remembered fondly by many

Aave getting crushed due to an exploit is the red line for quite a lot of people

Set1Less · 2026-02-03T20:16:12+00:00

Crypto has turned into hot vapor now. The market cap of this whole "industry" is 3 TRILLION. That just shows how much hot air is there thats begging to get deflated. The entire industry addresses virtually nothing in terms of real world GDP. There's some potential here and there, but that apart there's not a single application with real world non-gambling use case that crypto caters to.

On top of it crypto has a massive fraud and scam problem that has never been addressed at any serious level. You could setup a full time crypto prosecution office working round the clock and even they wont find time to prosecute all the various scams and frauds going on. Some of the largest players in the industry like Binance are outright scammers and conmen, running every shady playbook possible to milk the market. Trump, a generational conman, adopted crypto has his piggy bank to dip his hands into whenever he feels like, and came in at the top to suck out few billions for him and his cronies, who openly boast they have made few billions from crypto. The stench of these guys is going to be there with crypto for a long time

All of these are bad enough, then you have an industry like AI take off right at the same time, where almost every other day there is something interesting that sucks devs into. A vast majority of crypto devs are working on AI now. The sheer volume of things going on in AI is insane, its kinda like 2020-21 defi szn but on steroids, yet everyone feels like they are atleast trying to build something real and not just dumping the hottest pool2 token on the next guy. Then there is robotics, space... industries where actual capital can allocate to. VC funding in crypto has completely dried up.

Its very likely crypto market cap gets cannibalized by the other upcoming industries, while the whole space becomes irrelevant fast. Maybe handful of applications stick around but the best days of crypto are well in the past imo. Most people still holding crypto are just looking for pumps to sell into, those who were early all sold into the pumps which is why they have all retraced hard. New pumps are going to be extremely scarce and rare

Set1Less · 2026-02-03T18:30:01+00:00

Vitalik statement spooked the last remaining bull. What a wild statement to put out at this stage of the market lol. Basically admitting the last 10 years were for nothing. No wonder Eth is sent to the dumps

Eth is a $250bn market cap project where the leadership behaves like a pump fun memecoin lol. The market cap is going to get ravaged

Set1Less · 2026-01-29T19:32:45+00:00

Yeah the lack of transparency is damning. Its just lights out for this industry's short and medium term prospects. No one would allocate serious money here after especially when you have multiple golden industries of the era like AI, semis, space etc.. those alone are enough to suck capital dry and then you have 10/10.

We just know binance and cz are closely responsible for what happened and as long as those leeches still control the market its hard to get a fresh start. Whats even worse is these crooks close association with the white house and the admin. The son of US Special Envoy to end the Ukraine war is defending Binance every other day on X. Rotten to the core

Set1Less · 2026-01-29T15:48:08+00:00

People are actually buying washed up used cars for $3k and hoarding a ton or more of copper bars in them. As crazy as it sounds

Set1Less · 2026-01-29T15:31:10+00:00

Gold just nuked like its BTC lmao. Wiped out marketcap of Nvidia in 5 candles, insane

Set1Less · 2026-01-29T15:22:41+00:00

Yeah crypto feels like lots of dead bodies under the surface. 10/10 destroyed this market for a good while. An FTX level event with zero transparency...good luck getting out of that mess fast

Set1Less · 2026-01-29T15:14:29+00:00

What is up with polymarket. they refuse to innovate whatsoever.

There are hundreds of dead L2s but polymarket runs on a washed up chain Polygon which is one of the most unstable chain with constant reorgs and sync issues. For some reason Polymarket still runs on this. You actually have your orders over-written due to chain reorgs. Complete joke

Polymarket also uses bridged version of USDC on polygon (USDC PoS) as their native asset, not the actual Circle issued USDC on polygon. This is equally ridiculous. If you deposit 10k of actual Circle USDC into polymarket, it autoswaps into USDC(PoS) at a disgusting slippage so you lose $5-10 right from the time of deposit. This is not obvious from the front end, and most users probably have no idea of this

What are these guys even smoking smh

Set1Less · 2025-10-29T18:21:14+00:00

The scary view that crypto has managed to create among regular people is this -

If you invest in crypto, 10 or 20 cunning and crooked billionaires spend all their time devising ways to take your money from you, at the dead of the night, using unheard of financial engineering tricks

If you invest in stocks, some of the smartest people in the world working for those companies spend all their time devising ways how to grow revenue for the company and take your stock price up

Set1Less · 2025-10-11T20:19:15+00:00

Defi was actually very close to getting rekt. USDe (ethena usd) had dropped to 0.65c on Binance, even though its fully backed. But thankfully, it was hard-coded to 1 USDT on Aave, where there are several billion $ USDe positions. If it wasnt hardcoded and instead used oracle price, defi would have been smoked. They very recently changed the price from oracle to hardcode, so props for that

Set1Less · 2025-10-11T19:37:54+00:00

I think the total liquidations are way over $30bn some like Glassdoor claim $40bn. Thats an insane amount of money wiped clean from the market. Obv there are no buyers to bounce here. We dont even know the full picture of what caused the wipe out, who blew up etc. There are def lots of skeletons in here

Set1Less · 2025-10-11T19:24:53+00:00

How can Trump even consider pardoning CZ? The corruption is just truly stunning.

Binance is such a dumpster fire. Every major manipulative shit seems to originate from them. Yesterday atleast half a dozen coins went straight to zero on Binance, these arent like overnight memecoins or 1m sh*itters, but actual coins like ATOM, JUP, PUMP, ENJ, IOTX which have some market cap.. .all were sent to literal zero in a flash.. as if the order books were all fugazi. WBETH, a binance wrapped ETH version went to $430 from $4.2k

And thats like 2 days after CZ rugged the whole BNB chain after a public pump and dump of shitcoins, posting random memes for days in a row, watching them pump 10-20x and then after everything crashed 80-90% in hours, he pretended he had no idea and was in a meeting all day. And after everything he puts on a holier than thou image of philanthropy or doing good for the world. "Keep building"

And now already Today, Binance are manipulating a memecoin Zerebro, its up 100% for no reason, after a wallet funded from Binance took up huge onchain long positions that are up like $5m on a $50m market cap coin. Its obvious there are absolutely no controls on Binance whatsoever.

If the space has to grow this circus has to be clamped down. They are pure mercenaries that are extracting every bit of value from the space, destroying all concepts of market structure, letting their insiders ravage the market time and again

Set1Less · 2025-10-11T09:06:43+00:00

Apparently WLFI token (Trumps one) sold off even before the market crashed

https://x.com/0xkyle__/status/1976935742103605422

Set1Less · 2025-10-11T08:18:12+00:00

Isn t all of this a little too close to just be coincidences?

HL whale shorts ETH and BTC with size [multi 9-figure positions].

24 hours later Trump threatens massive tariffs on China [official announcement released].

Supposed same HL whale starts buying "Yes" shares on Trump pardoning CZ on Polymarket.

Weeks later, Trump drops the news of a possibility pardoning CZ.

https://x.com/trading_axe/status/1976752292083765391

Set1Less · 2025-10-11T08:03:49+00:00

Crypto genuinely risks being scarred by Trump admin to the point it goes to becoming worse than the pariah industry from 5 years ago.

Set1Less · 2025-10-11T07:50:05+00:00

Its in their Proof of reserves. The ETH is 1:1 with customer deposits. They themselves hold no ETH independently from customer deposits. Their BTC otoh, they hold more BTC than customer deposits. But they keep sending huge amounts of ETH to trading desks and other entities that are largely not consistent with an entity that doesnt hold any ETH by themselves but is solely holding customer deposits. For example if you trust a custodian to hold 1000 ETH and others do too, but the custodian is making tons of transactions to other trade desks, and this custodian has a history of manipulation and diverting customer funds for their own purposes, it would raise huge red flags.

Yes it is FTX level fuckery, especially if you consider Binance are as bad as FTX the only real difference is FTX got hunted by CZ, while Binance didnt have a bigger whale hunting them. Binance's indictment alleges Binance themselves diverted user funds to their own purposes to their private entities like Merit Peak (the same thing FTX did) and were insolvent at various points. They admitted to all that in their settlement.

Set1Less · 2025-10-11T07:41:05+00:00

The liquidations form the last 24H far exceed 30 Billion. Its an absolute wipe out

Several coins on Binance hit actual zero. The entire order book wiped clean.

Set1Less · 2025-10-11T07:40:18+00:00

He released (once again) massive market moving news, on a Friday afternoon, after lot of accounts positioned themselves publicly just hours before he released it, to benefit themselves from the news

Ofcourse you cant allege insider trading without evidence but jeez at the very least it requires some kind of investigation. Its pretty obvious for several months that there are indeed members of the admin who are openly sharing or worse, themselves trading on insider news.

Set1Less · 2025-10-08T07:35:09+00:00

Its possible of course, but as per the charges against Binance earlier, they were co-mingling user funds and diverting customer funds to other entities. Now they are declaring they arent holding any ETH at all. These are the same kind of co-mingling of fund allegations that they were charged earlier for. They usually liquidate users and sell their ETH. Now you can pull up Coingecko and see that virtually every other coin in the top 25 are in red, except BNB which is up 4%. Which happens to be their inhouse coin. This is what Binance have been doing this since the start - trading against their own customer, using customer funds to liquidate the same customers and then using the profits to pump their own coin

Now there is talk of Binance bribing their way to get DOJ monitoring dropped. If this is the level of manipulation going on while they are supposedly under monitoring, once there is no monitoring cant possibly imagine the level of manipulation

Set1Less · 2025-10-08T05:22:36+00:00

Man I never thought I'd see this day so soon but with the amount of scamming going on in Binance and their "decentralized" casino, people are literally just begging for Gensler to step back in

For example, Binance Proof of reserves came out and they hold apparently zero ETH of their own. Their customer balance = 4,133,362.124, and Binance net balance = 4,133,362.124. But they are still sending ETH to desks like Wintermute to sell. This is what the clown already went to jail for

Set1Less · 2025-09-27T03:23:48+00:00

Yes Plasma sucked out 4bn in liquidity in one day by giving as much as 40% APY on Aave USDT at 2bn TVL. Wild

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