FTX failed partly because it was too centralized, according to DeFi adherents — with decentralized advocates now saying the debacle has unexpectedly given DAOs an opening. There was little to no transparency of where the crypto exchange custodied customer cryptocurrencies, industry participants told Blockworks. A purported lack of transparency in crypto — ironically, long considered the first open, traceable financial system — is nothing new, from Mount Gox onward. (Blockworks)