03-30-2023, 11:21 AM
Since 2020, Wells Fargo has paid more in fines than crypto has in hacks
<!-- SC_OFF --><div class="md"><p>$25B since the year 2000. Obviously the scale they operate on is just absolutely huge but these are financial penalties for a <em>regulated</em> institution. “Regulated” is a bit of a misnomer and really just feels like “permissioned”.</p> <p>Crypto has ~$6.45B in hacks/exploits and WF has ~$7B in fines <strong>in less than 3 years</strong>. These fines range from whistleblower retaliation, discrimination, consumer protection violations to fraud and AML violations (looks like Binance isnt so unique after all!).</p> <p>Yes, customers are likely to be made whole. The difference is that with banks they exist to the consumer almost entirely for safety of assets, crypto is inherently risky because you are your own money manager but you also reap higher rewards. </p> <p>Broken banking regulations, low yield on deposit rates in exchange for “safe” fractionally-reserved custody. Really turns your stomach.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/marsangelo"> /u/marsangelo </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/126c9n0/since_2020_wells_fargo_has_paid_more_in_fines/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/126c9n0/since_2020_wells_fargo_has_paid_more_in_fines/">[comments]</a></span>
<!-- SC_OFF --><div class="md"><p>$25B since the year 2000. Obviously the scale they operate on is just absolutely huge but these are financial penalties for a <em>regulated</em> institution. “Regulated” is a bit of a misnomer and really just feels like “permissioned”.</p> <p>Crypto has ~$6.45B in hacks/exploits and WF has ~$7B in fines <strong>in less than 3 years</strong>. These fines range from whistleblower retaliation, discrimination, consumer protection violations to fraud and AML violations (looks like Binance isnt so unique after all!).</p> <p>Yes, customers are likely to be made whole. The difference is that with banks they exist to the consumer almost entirely for safety of assets, crypto is inherently risky because you are your own money manager but you also reap higher rewards. </p> <p>Broken banking regulations, low yield on deposit rates in exchange for “safe” fractionally-reserved custody. Really turns your stomach.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/marsangelo"> /u/marsangelo </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/126c9n0/since_2020_wells_fargo_has_paid_more_in_fines/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/126c9n0/since_2020_wells_fargo_has_paid_more_in_fines/">[comments]</a></span>