I just can’t look away lol

Lots of discussion and comparison/contrast between Coinflex and Latinum and Phil/Doug. What’s interesting to me is that Doug is going to suffer infinitely more from his involvement w Coinflex than Hellmuth will from Latinum. Why? Because phil is a P.I.M.P. and nobody would expect anything other than for him to shill whatever he can legally shill for the biggest bag. It would be weird if he wasn’t promoting a **** coin with a name that mimics and attempts to latch on to the 800lb crypto gorilla that is BTC, in this day and age. Doug is being punished for his hot takes and not having a past as a shameless promoter of random products, while Latinum is just another Hellmuth meme.

For the other guy, he has tirelessly and relentlessly built a brand and a burgeoning business empire by maintaining an ultra-ethical position within the industry. Have to respect the sweat equity and frankly, his Machiavellian instincts on the way up are no different or more severe than most who have built their own business empires from scratch.

But what a colossal lapse in judgement it was to take on such a massively risky ambassadorship for a business model that doesn’t seem to make much sense. Unless one or more parties involved stands to gain from these events. The optimism expressed by CEO Mark Lamb is misleading at best (soft commitments lol) and criminally fraudulent at worst. There is zero chance Coinflex sees any more inflow of capital from customers or investors. Their only chance at paying out is a charitable bailout by a company or individual willing to eat the loss, unless they already have the funds on hand to payout, in the worst (only) case where RogerVer USD receives little investment.

How did this happen? Hubris, lack of foresight, and a lack of self-awareness. I don’t believe greed was a factor. A huhu NL end boss is no more ready to take on the unregulated grey business arena than a dentist would be equipped to conquer a cash game in Bobby’s Room.

Where is the business manager/mentor to nix this as his first sponsorship before they got within 100 feet of him? The red flags were abundant, yet the certainty he expressed in regards to Coinflex’s yield, via crypto repo debt margins passed on to the account holders, was a grave miscalculation. From his explanation and chat with Mark Lamb on pod, I question whether he himself fully understood the technical jargon and exactly how and why this business model could turn a profit.

And with all the previously spurned “questionable actors” in poker who he has taken on - sometimes valid, sometimes not - how could he not realize this was the one clear mistake he couldn’t make? To be associated with a business that might not be able to make good on its debts. Plenty of people in poker will be foaming at the mouth with glee if and when July 1 comes and goes without complete solvency and we all know it.

It’s much easier to win a heavyweight title than it is to defend it and he’s about to get BUSTer Douglas’d. Hopefully, he will get back up and come back from this down the road. Until then, it would behoove him to spend his days consulting with his attorneys (civil and criminal, I’m afraid) and beefing up his personal security. There are definitely non-poker players that will attempt to hold him personally responsible for any losses they may incur. Imo. Glgl

Not as long as I expected, put it together over the course of a single day. I need folks in the pokerverse to continue ****ing up so I can keep making this content lol

I don't think this will happen at all. Look at all the absolute scumbags like Russ Hamilton who intentionally cheated people to get their money, and they're still walking around just fine.

Doug ****ed up, but nowhere near something like a Hamilton situation.

Doug didn’t willingly screw anyone, but his reputation is definitely gonna be tied to the outcome of this. I do think the reach of the coinflex debacle is potentially a lot bigger than what Hamilton did. Hamilton cheated players in the tune of $22m (and they got fully compensated iirc), I feel a lot more is at stake with the demise of coinflex.

misread as Corn Chex

decent cereal, btw

First of all, nice job to Tampa... yet again.

Not only that, but Doug has largely branded himself as the guy who calls out the shameless promoters of shady products. It will make the backlash that much greater, and no amount of warnings about the risks of investments will mitigate it.

The higher and mightier someone gets, the greater the fall when they turn out to be bad actors themselves, ranging from PSUMike to Bill Cosby. (And no, I'm not saying Doug promoting a questionable company is the same as handing out decades of quaalude coladas, I'm just saying there's a higher fall from a high horse.)

Good advice if you plan to hodl.

I just need people in the industry to keep screwing up so I can keep producing comedy bits or I'm toast!

No knowledge on any of this , but still video too good not to say so , well played !

Lol, crypto bros taking more L's what else is new.

lol @ the polk vid

i feel like this is just a "regression to teh mean" of Doug Polk's reputation

it's going down to where it should be

the guy really is a horrible, hypocrite bully and one of the worst things to happen to poker IMHO

Doug being a hypocrite no wai, lolz

Where is his butt buddy? He usually defends DP

This goes to show how dangerous crypto buzzwords are when even someone as intelligent as Doug fall for the scam. It's just a word salad purposefully designed to confuse non-tech savvy marks. "Wow, if it's this complicated and I don't understand **** it must be a ground breaking technology". Nah, it's just 300% apy coins and jpegs of monkeys.

And you know it's bad when even sryslysrs and Joey are not jumping to defend him lol

this is the end of the conversation. Anyone with half a brain can realize Doug would never purposefully sponsor a company he thought was shady or would make steps that would end in this manner. I get people want to circle jerk on the irony and lets be honest its pretty ****ing ironic but at the end of the day this is just a shitty situation that went tits up big time.

Also its pretty ironic that this is happening the same time crypto is plummeting and everyone who pumped crypto looks like a lunatic. just epic bad timing on all fronts for wcg.

Yeah except anybody with half a brain in finance could tell you that their "Risk Free" yields that they advertised were never sustainable. They advertise the accounts as they operate like a bank account producing interest. Works entirely differently (actually, doesn't work at all... lol). Bank CDs, high-yield savings accounts, etc are tied to treasury yields. Crypto yields are tied to fabrication, securitization, and ponzification. Doug never should have entered the realm of financial advice.

what exactly were the yields they advertised? how did they/doug say the yields worked? I'm not trying to debate I honestly want A well researched opinion.

That article actually makes Doug look innocent. Did anyone actually read it?

If someone missed their margin call how can this be coinflexs fault?

They maybe allowed a whale to not pay immediately which had a ripple effect. That’s the worst of what they did. They basically took on too much risk. From the sounds of it this guy made margin requirements in the past. But w cryptos getting killed it seems pretty likely this whale just didn’t want to put more money in.

This also exposed that they didn’t have any reserves? Not sure if they’re required to have reserves as there’s no real capitol requirements for these exchanges or are there? No idea

But I’m not seeing this as a scam or even a scheme at this point.

From the sounds of it this crypto Jesus guy didn’t want to throw good money after bad (despite his margin agreement).

It sounds like a he said she said type thing.

I could be wrong. Change my mind.

The bet wasn't that it was a Ponzi, it's that they wouldn't rug

luke schwartz made it somewhat entertaining

Berky's podcast going to be fire...

Gesendet von meinem SM-G920F mit Tapatalk

I wish all the poker players that lucked into crypto early as a byproduct of their profession would just humbly enjoy their easy money and keep their mouth shut instead of turning into full blown grifters. Crypto is a house of cards built on cheap debt and 10 years of QE, both of which are coming to an end. Anyone trying to grift people into "investing" in crypto in the current year is either clueless or malicious.

Their latest scheme promises 20% interest rates. Sounds like a very reasonable venture. Surely not a scam and surely won't end in tears.

https://www.cnbc.com/2022/06/28/coin...-pay-debt.html

This is 100% what happened. Ignorant people thought these low fed rates and an abundance of money would last forever. It’s almost like that’s what people think when they lack an education

terrible take

they clearly gave him enough margin to the point that a moderate (and wholly historically precedented) drop in crypto would not only ensure a loss on any liquidation, but a loss big enough to bankrupt the company - all this to one single private individual - this isn't even accounting for all the other accounts they had who must have also been given margin

it's quite clear by now that they don't seem to have any mechanism to claim said lost assets in court, if they did then we'd be reading about this via legal briefings and not via twitter spats - my best guess is the contract implied that liquidation would resolve all margin non payment - this is how failure to meet margin calls are typically handled

it was extremely idiotic to offer enough margin to a single account whereas the company is still busto after liquidation - that's 100% on coinflex

my best guess is the whale saw the big picture, that they were offering him a freeroll where he made captured all the upside and coinflex held the bag on all losses

dude founded not one but two different exchanges, very savvy person who could have done this on his own, he saw an idiot and pounced - is this immoral, maybe, is it illegal? no. would most people itt take advantage of billion dollar freeroll if given the opportunity - i imagine most would

this is 100% on coinflex, fact they are now attempting to name and shame on twitter simply proves how poorly run a company they are as you wouldn't be doing that if there were any other possible routes to getting whole again

The audacity, the downright disrespect!