Inexperience and poor judgment sank crypto giants FTX, Alameda and Genesis

SBF's FTX and Alameda were run by inexperienced friends with good intentions, but they engaged in fraud.

Genesis was considered an experienced firm, but made poor decisions like dealing with Do Kwon's UST stablecoin.

Genesis had an overconcentration of loans with Alameda, putting it at risk.

Gemini knew Genesis was risky but still used it for its Earn program, misleading customers.

Even experienced firms can fall prey to wishful thinking and poor judgment in hot markets.