Your evidence is an audit company finding a vulnerability and the team refusing to fix it? How does that prove your point?
Sure, while it's hard for users to verify that the code does what it says and has no bugs, there are companies that can do it for you (as you posted) and even automated tools that allow anyone to do so automatically, and as the EVM gets used and exploited, these tools and audits also gets more robust. More importantly, the code can be audited by multiple sources, as it being public means it can be audited by anyone.
On the other hand, financial records are likely audited by a single "reputable" company, with all the information the customers have is a badge that says "the money is there, trust me bro" and nothing else. But hey, it's "reputable" source so it's ok to trust them, right? ...Until it turns out that whoops, the money wasn't actually there because someone got a fat paycheck to make a honest mistake, ahah...
Linux is one of the biggest, shining examples of publicly viewable code. Unfortunately, it has a history of bugs, issues, gotchas, and major flaws that can go unnoticed for years. [1]
Just because something can be audited by everyone doesn't automatically make it better.
> Until it turns out that whoops, the money wasn't actually there because someone got a fat paycheck to make a honest mistake, ahah...
Do you have any examples of this happening with a reputable (read: top 5) auditing firm in the last decade? Because I can find a dozen examples of crypto frauds happening in the past week.
Oh, nobody hands over a brown envelope of cash and tells the auditors to make a mistake.
Instead, the company under audit pays the auditor $$$$ for 'consultancy services' if the audit goes well, and fires them if they're too argumentative or time-consuming.
While it's nothing like as bad as the cryptocurrency market, where scams are a daily occurrence, nobody investing in the stock market should imagine these auditors are going to catch anything but the most blatant fraud.
Crypto is a tool to build a public financial system that minimizes the amount of trust needed. If you invest in DogeSpaceMarsElonCumMakeMeRichInu and lose money, it's not crypto's fault. You STILL have to do your due diligence and invest responsibly.
I just noticed, before you rag me on about "in the last decade", the article closes with:
>In his book on the Equity Funding Corporation fraud – the Enron of the 1970s – Raymond Dirks wrote: "If routine auditing procedures cannot detect 64,000 phony insurance policies, $25m in counterfeit bonds and $100m in missing assets, what is the purpose of audits?" More than 30 years later, investors are asking themselves the same questions.
Except that no matter how much due diligence you do, there is nothing to invest in in the crypto space other than endless rehashes of DogeSpaceMarsElonCumMakeMeRichInu.
Disagree? Suggest three crypto "investments" that are not scams. Just three, with the entire ecosystem to pick from. Then let's check back in six months and see how many of them have gone the way of FTX.
Sure, while it's hard for users to verify that the code does what it says and has no bugs, there are companies that can do it for you (as you posted) and even automated tools that allow anyone to do so automatically, and as the EVM gets used and exploited, these tools and audits also gets more robust. More importantly, the code can be audited by multiple sources, as it being public means it can be audited by anyone.
On the other hand, financial records are likely audited by a single "reputable" company, with all the information the customers have is a badge that says "the money is there, trust me bro" and nothing else. But hey, it's "reputable" source so it's ok to trust them, right? ...Until it turns out that whoops, the money wasn't actually there because someone got a fat paycheck to make a honest mistake, ahah...