Are We Really Doing the Bitcoin Hype Cycle Again?

I forgot to post the link about the AI/Crypto bubble:

https://cointelegraph.com/news/ai-b...rrelation-nvidia-80-percent-btc-crash-warning

 

I wonder why he received the pardon, you do the math.

This is exactly the reason why I don't like crypto, it's used by the bad (and corrupt) guys quite a lot.

https://www.theguardian.com/technology/2025/oct/23/binance-trump-pardon-changpeng-zhao
https://edition.cnn.com/2025/10/24/business/binance-zhao-trump-pardon

 

This guy somehow lost $3 million, I wonder what Palancar has to say about this? Also, strange that nobody talks about how this hack was actually performed on his iPad.

Basically, this guy assumed the app on his iPad was a cold wallet, but it was actually a hot wallet, so he didn't understand the basics. That's why it's probably not a good idea to mess around with crypto for a lot of people.

But again, it's not clear if he used some fake app on his iPad, or if it was the legitimate Ellipal hot wallet. It wouldn't be the first time that someone got hacked via some fake app on the Apple App Store, see third link.

https://coinlaw.io/xrp-investor-loses-3m-cold-wallet-mistake/
https://www.ellipal.com
https://www.wilderssecurity.com/thr...app-stole-his-life-savings-in-bitcoin.450761/

 

I find it amusing when I am always quoted/asked about this stuff!

What I will say is that if you actually read the linked article above you would see the most GLARING OPERATOR ERROR that is jumping off the page. The subject of self custody always gets cited but then it very clearly and simply gets ignored. I don't want to beat somebody up when their error has financially "sunk their battleship" in the worst way. The SUPREME rule of self custody is that your SEED is NEVER (not even imagined to ever happen) placed anywhere on a computer, tablet, or even digitally recorded in any fashion. When SEED is generated (hopefully offline) it is written down the old fashioned way with a pencil and paper. -------------- > never ever typed even as a document digitally. I mean this seriously ----- NEVER!

In addition; depending upon the crypto used, access to coins is further removed by hardening the setup using strong passwords (if you forget the password no force on earth can regain access to the coins) in conjunction with the extraordinarily mathematically hardened SEED. So now you have a wallet where knowledge of the SEED and the super long password are BOTH needed to move coins. BUT --------------- > we are not done yet on my end and should not be done on your end either.

My SEED is manually offline loaded into a hardware wallet that is designed to NEVER ever expose any SEED and cannot by physical design. Such a hardware wallet is used to sign a transaction, which you must personally verify BUT nobody, blockchain, software, etc will ever see or know the SEED.

Simply put without SEED knowledge NO coins can move and won't. This was total operator error!!

 

Good to see you and thanks for the feedback, I know that you're the crypto expert, so it's always interesting to read your point of view. But I was trying to figure out how he got hacked.

If he used the official Ellipal hot wallet, then he shouldn't have had any problems right? I have also read that all of a sudden the Ellipal hot wallet will be discontinued, not sure if it's because of this hack.

 

Allow me to speak in generalities and offer unsolicited counseling to ANYONE in the crypto realm most especially someone using one of the major currencies. e.g. - BTC is well over a 100K for one single coin. Amazing but also attractive to the "bad guys" of course. How and why would anyone collecting or holding a coin of that value be too "cheap" to protect it with a hardware wallet for a few hundred at most, with some decent ones running well under a hundred bucks? A hardware wallet can be employed as a signing mechanism for a hot wallet (I hate that term but its widely used). It takes a second or two to sign ------ BUT NEVER EXPOSE YOUR SEED--- to the hot wallet.

Candidly there are many other ways for EXPERIENCED HOBBYISTS to safely store BTC. I have been in this from its inception so paperwallets and other solid means are available. These are generally not for newbies or folks that refuse to learn and study how this all works. A hardware wallet on the other hand is almost idiot proof and if you follow the simple rules in my post above this your SEED will never get poached because the device NEVER reveals it to anyone. KISS for newbies.

 

OK so what you're saying is that this guy clearly didn't know what the hell he was doing? But I still wonder if his iPad was infected by some fake ''hot wallet'' app or what.

BTW, Bitcoin has crashed (to $95.000), so it's definitely not a protection against inflation. If Wall Street crashes, so does crypto, it's just another financial asset, but without any intrinsic value.

 

LOL, very funny stuff! Does he really think he can fool anyone? Of course did this crook sell Bitcoin! That's probably why Bitcoin crashed even further!

https://www.streetinsider.com/Crypt...lling Bitcoin, says buying more/25611852.html