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Finance influencers who hyped up FTX and BlockFi are facing angry fans

Nov 30, 2022, 18:29 IST
Business Insider
Founder salaries have decreased in the market downturn, with 5% declines in locations like the Bay Area and LA.Daniel Grizelj/Getty Images

Happy Wednesday, readers! Jordan Parker Erb here, reporting to you from New York.

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Today, we've got a look at what happens when influencers promote a business that eventually comes crashing down around them. In the case of finance influencers who hyped up FTX and BlockFi to their subscribers, the result is a lot of unhappy, skeptical former fans.

It's yet another layer in the already messy crypto meltdown unfolding right now. We break it all down below.

Let's get started.

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1. As prominent crypto platforms topple, financial influencers face anger and skepticism. BlockFi has filed for Chapter 11 bankruptcy. FTX is dealing with the fallout of a spectacular implosion. Now, the finance influencers who promoted these companies on social media are feeling the heat.

  • On YouTube, financial influencers have built loyal followings by sharing financial advice and actively promoting companies like FTX and BlockFi. As the companies crumble, those influencers are facing skepticism and backlash from fans.
  • Fans are calling out creators for not addressing the crypto chaos fast enough. Some of crypto influencer Andrei Jikh's 2 million subscribers are demanding more accountability, leaving dozens of comments under his most recent Instagram post calling him a "scammer."
  • Crypto firms worked with dozens of celebrities and influencers on paid partnerships; FTX, for example, poured millions of dollars into deals with star athletes like Tom Brady and the MLB.

Read the full story here.

In other news:

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Anna Kim/Insider

2. Why are the streetlights turning purple? In cities across the globe, LED streetlights, for apparently no reason, have been going violet. It's a visual cue that we might need to rethink how we build the future, writes Adam Rogers. Inside the Great Purpling, a phenomenon that may just be a fluke — or a warning of the chaos to come.

3. A glitch cost some Amazon advertisers hundreds of thousands of dollars on Black Friday. Advertisers say that Amazon's ad tool showed that they were spending half of what they actually were, while others underspent and missed out on sales goals. Now, ad buyers want that money back from Amazon, but aren't sure if they'll get it.

4. Elon Musk has fired so many Twitter workers by mistake that HR created an "accidental termination" category to re-onboard employees. According to a person familiar with the matter, several employees also mistakenly lost access to their work badges, internal Slack, or got locked out of their computers altogether. Read the full story.

5. A ghostwriter explains how he makes $14,000 a month on Fiverr. For about five hours of work a day, this 32-year-old makes thousands of dollars writing memoirs, articles, and books for other people. He shares how he got started.

6. Tech CEOs battling Apple's 30% App Store fee got unexpected backup: Elon Musk. As Musk goes to battle with Apple, developers and CEOs at companies like Epic Games and Spotify may have more ammo in their ongoing frustrations with App Store fees. However, while Musk is new to this particular fight, history suggests he probably won't make a difference.

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7. These foodtech power players are revolutionizing how restaurants operate and deliver. Rising labor and commodity costs put a squeeze on restaurants this year, forcing them to adopt new technologies to survive. Insider identified some of the companies helping restaurants do just that — meet 29 of the hottest foodtech startups here.

8. Apple's App store has become an imitation of its former self.Apple used to carefully curate its App store, helping developers gain visibility and customers find what they needed, writes Michael Gartenberg. These days, ads have become intrusive and knock-off apps are cluttering up the user experience. Why that's not good for iPhone users or developers.

Odds and ends:

The GMC Hummer EV (top left), Rivian R1T (top right), and Ford F-150 Lightning.Tim Levin/Insider

9. An Insider reporter tested every electric pickup truck on the market. Tim Levin has driven the Rivian R1T, F-150 Lightning, and the Hummer EV, and learned all about their highs, lows, and special features. Out of all three, here's which one he'd buy.

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10. Here's how to keep Facebook Messenger spam from reaching you. Tired of spammy messages trying to sell you something or send you to other websites? You can change your settings to reject most or all spam messages automatically. We explain how.

What we're watching today:

Keep updated with the latest tech news throughout your day by checking out The Refresh from Insider, a dynamic audio news brief from the Insider newsroom. Listen here.

Curated by Jordan Parker Erb in New York. (Feedback or tips? Email jerb@insider.com or tweet @jordanparkererb.) Edited by Hallam Bullock (tweet @hallam_bullock) in London.

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