We had people going to self-custody at the fastest rate in over 5 years after the FTX collapse. I see this is as an absolute win.

Usually we look at a black-swan event like the LUNA implosion last year or the FTX collapse and expose of scam just a few months ago, as something very bad as the prices of our Investments go down but I would say that instead of this short-term perspective we should look with a long-term perspective at such events. This will make clear what influence they actually have on Crypto.

Let‘s take the FTX collapse last last year, one of the biggest Crypto exchanges rippled down after being exposed to be highly unsustainable and how the executives of it literally gambled with the funds of users. In the short-term prices went down, but now what did this cause in the long-term?

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Chart made by James V. Straten

This chart perfectly shows that, the illiquid supply (supply is not on exchanges basically) has increased just during the FTX implosion at the fastest pace in over 5 years! This means that people were taking self-custody of their coins at one of the fastest paces ever.

Also the whole price drop due to FTX was just erased in about two months, so all the short-term fear was not even that long-lasting and in the long-term it has been good as many people took self-custody and now know better to not trust any centralized exchanges.