> Just curious how the dominoes will fall but it does seem like the people that invested in cryptocurrencies underestimated the risks of corruption. It looks like programmable money and clever financial engineering makes embezzling money a lot easier.
There is nothing of these failures that involves the programmable money part. DCG and Grayscale live in the traditional finance world, they are asset managers in traditional finance. Their accounting books are not a public, decentralized, cryptographically verifiable ledger . When you buy a stock of their fund, this is not settled on-chain in any way. If they are fraudulent, it's again the traditional finance controls that are failing.