Major crypto exchange FTX is about to collapse

[Dan Druff]

this is really a big part of the point i was making yesterday.

fraud is when you line your own pockets with a rug pull.

the overwhelming majority of missteps that brought down ftx _appear_ to simply be impulsive gestures based on shit that worked a hundred times before it didnt.

the recent 'hacks' are a different convo, we dont know what happened there. im more inclined to chalk it up to north korea than insiders but whatever.

there were so many incredibly high risk plays made that were obviously not designed to deceive, but simply to be flashy 'i can so i will' type maneuvers... i dont know what a court can do with that, and i dont know what court would even have jurisdiction.

alameda just copped to loans being used to finance venture capital investments at the peak of the bull run being the root cause. the loans got called and they used investor capital to cover. its just not clear to me if/how thats going to get prosecuted.

there may be some bookkeeping charges coming but honestly you really cant prosecute when a fund goes batshit. at best you can sue and lest we forget, burry got sued for halting withdrawals from scion in 2007 and no one got a penny from him because he was within his contractual rights.

its just not clear to me what contractual boundaries alameda had in place, or what is / is not allowed in the bahamas...

Yeah this might be the center of any criminal case brought against these four people. If Caroline really did tell people that she knew the entire time that SBF stole $10 billion in order to invest elsewhere, that makes SBF clearly guilty, Caroline a direct accomplice, and the other two likely accomplices as well.

Does anyone know why that "other" Sam guy left Alameda in August? He was co-CEO with Caroline, prior to his departure. From reading replies to Caroline's tweets about it at the time, it seemed there was already some suspicion that things weren't quite right there. Maybe the guy bounced because he was uncomfortable regarding what was going on, and knew the shit would hit the fan soon enough?