this post was submitted on 22 Nov 2024
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CNBC spoke to a dozen customers caught in the Synapse fintech predicament, people who are owed sums ranging from $7,000 to well over $200,000.

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[–] 2001aCentenaryofFederation@fedia.io 62 points 1 day ago (10 children)

I'm not from the US so unfamiliar with any of this, but having followed the link to the Yotta website from the article, it is a... gambling site? What leap is missing that people would entrust their savings to gambling?

[–] Iheardyoubutsowhat@lemmy.world 44 points 1 day ago* (last edited 1 day ago) (4 children)

There was no interest on Yotta accounts. Originally, when you signed up, you were given a lottery ticket everyday for every 25$ in the account. There was a lottery everyday where you could win up to 25000. Then they switched to games where you essentially gambled with the tickets that were given based on your amount.

I was once a member but pulled the money when interest rates started to rise. I was lucky.

I'll also note, when signing up, I was given the impression this FDIC insured.

[–] bitjunkie@lemmy.world 1 points 7 hours ago

Originally, it was insured. Synapse changed to brokerage soon before they failed.

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