How the FTX Meltdown Happened—explained by Castle Island's Matt Walsh
Bankless
Bankless
4.7 • 1.2K Ratings
🗓️ 16 November 2022
⏱️ 65 minutes
🧾️ Download transcript
Summary
Where were the adults? How did SBF manage to get away with so much (thus far)? We brought on Castle Island's Matt Walsh to explain.
We're pissed. How are you feeling?
Matt gives us a breath of fresh air as he outlines the timeline of the rest of the contagion, how long the healing process will take, what happens next, and how we rebuild this industry we've all come to know and love.
------
Earnifi | Check For Your Unclaimed Airdrops, POAPs, & NFTs
https://bankless.cc/earnifi
------
SUBSCRIBE TO NEWSLETTER: https://newsletter.banklesshq.com/?utm_source=banklessshowsyt
️ SUBSCRIBE TO PODCAST: http://podcast.banklesshq.com/
------
BANKLESS SPONSOR TOOLS:
️ ARBITRUM | SCALING ETHEREUM
https://bankless.cc/Arbitrum
ACROSS | BRIDGE TO LAYER 2
https://bankless.cc/Across
BRAVE | THE BROWSER NATIVE WALLET
https://bankless.cc/Brave
LEDGER | NANO HARDWARE WALLETS
https://bankless.cc/Ledger
️FUEL | THE MODULAR EXECUTION LAYER
https://bankless.cc/Fuelpod
------
Timestamps:
0:00 Intro
4:52 We're Pissed
9:52 Alameda Leveraged Data
13:34 Why Did We Accept This?
15:19 Regulators & Regulation?
21:55 Where Did the Money Come From?
24:42 The Human Destruction
26:35 Who Can You Trust?
30:51 What Will Regulators Do?
35:35 Will the Contagion Continue?
38:42 BlockFi
40:44 What Caused This?
45:10 Ego
47:50 What Should We Do Going Forward?
56:26 Who & Where Are the Adults?
58:33 How Long to Heal?
1:02:05 Is the Worst Behind Us?
1:03:55 Closing & Disclaimers
------
Resources:
Matt Walsh
https://twitter.com/MattWalshInBos
-----
Not financial or tax advice. This channel is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. This video is not tax advice. Talk to your accountant. Do your own research.
Disclosure. From time-to-time I may add links in this newsletter to products I use. I may receive commission if you make a purchase through one of these links. Additionally, the Bankless writers hold crypto assets. See our investment disclosures here:
https://www.bankless.com/disclosures
Transcript
Click on a timestamp to play from that location
| 0:00.0 | Hey, Bankless Nation, here's a big question on our minds. |
| 0:07.8 | Where were the adults? |
| 0:08.8 | And all of this FTX stuff was going down. |
| 0:11.9 | SBF seemed to get away with murder. |
| 0:14.3 | This happened under a lot of people's noses. |
| 0:16.7 | David, that's going to be the subject today. |
| 0:18.3 | I think we're on a mini theme this week. |
| 0:21.5 | I guess back with the vengeance as crypto gets its breath a little bit. |
| 0:26.3 | And we're asking this very important question. |
| 0:28.4 | The aftermath of the FTX collapse, how did this happen? |
| 0:33.7 | Where were the adults? |
| 0:34.7 | Who do we have on today and what are we about to discuss? |
| 0:37.2 | Yeah, we're bringing on Matt Walsh from Castle Island Ventures, the Castle Island podcast. |
| 0:42.5 | And a little known fact, a little known secret. |
| 0:45.2 | The Bankless Friday weekly rollup was actually inspired by the Castle Islands podcast Friday |
| 0:50.4 | weekly roundup. |
| 0:51.4 | David means stole. |
| 0:53.4 | We stole that from you Matt. |
| 0:54.4 | Sorry. |
| 0:55.4 | Yeah. |
| 0:56.4 | But Matt and Nick over at that podcast, it's like a breath of fresh air quite frequently. |
| 1:01.3 | It's just informed, experienced people talking like adults and adult things. |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from Bankless, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of Bankless and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2026.