Live data from Hacker News

FTX’s SBF had a secret 'back door' to transfer billions off the books

cnbc.com

11–20 of 127 posts

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#11

They'll all get away clean. Check out Sam's parents, and other attached people...

Crypto has a strong reputation as a haven for money laundering, drug sales... So if any of the Mexican/South American drug cartels lost a lot of money Sam and the other top management of those companies could end up dead.

Serious Q, but what incentive would they have in killing him? Would that get them their money back? Wouldn't they lose more than they could gain?

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#13
post #7

They'll all get away clean. Check out Sam's parents, and other attached people...

I actually think this blowback is going to hit Sam's parents, who are part of the liberal intelligentsia. Sam himself is unquestionably going to jail or exile.

Sam is the 2nd largest campaign contributor this election season. He’ll probably get away with this.

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#14

There’s also the matter of the hacked funds last night, and the juicy theory that SBF used his back door to steal even more cash. You can’t make it up!

I want to call this the 'freeze plug' -- as with molten salt nuclear, extract liquidity in case of emergency.

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#15

This has been some of the funniest few days in recent memory. Even my crypto true-believer HODL maximalist friends are questioning the entire ecosystem and its value. I think it’s funny that so many people have been hypnotized by get-rich-quick schemes and promises of a utopian monetary system while forgetting what the original —actual— value proposition of crypto was: Buying heroin. As a corollary to “not your keys…

> the original —actual— value proposition of crypto was: Buying heroin.

That's totally unfair.

It was buying all kinds of drugs, and weapons, and child porn, and stolen credit cards, and hiring assassins.

The assassins invariably turned out to be working for the FBI, of course.

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#16

Earlier quoted context omitted.

Crypto has a strong reputation as a haven for money laundering, drug sales... So if any of the Mexican/South American drug cartels lost a lot of money Sam and the other top management of those companies could end up dead.

Serious Q, but what incentive would they have in killing him? Would that get them their money back? Wouldn't they lose more than they could gain?

I can't speak to the plausibility of this actually happening here specifically, but usually it is done to set an example for future folk who might try some funny business.

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#17
This is a story of a corrupt CEO. The main crypto part of it is that FTT was seen as actual money on its balance sheets.

This individual stealing people's money sheds light on how regulations exist for a reason, especially when handling billions of USD. Doesn't really speak positively or poorly on cryptocurrency as a technology though.

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#18

It's tempting to say he did it or inside job, but things never are as obvious as they seem. Why not just quietly siphon off funds from a cold wallet to his personal wallet? Why use a malicious app at all? This leads me to believe it was not an inside job.

> It's tempting to say he did it or inside job, but things never are as obvious as they seem.

Then again, sometimes the kid standing in the kitchen with the chocolate on his face and his hands behind his back looking guilty actually did steal the cookies from the cookie jar...

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#19
post #7

Earlier quoted context omitted.

I actually think this blowback is going to hit Sam's parents, who are part of the liberal intelligentsia. Sam himself is unquestionably going to jail or exile.

Sam is the 2nd largest campaign contributor this election season. He’ll probably get away with this.

Not if he's not likely to contribute in the future, if he's broke they no longer care about him

Re: FTX’s SBF had a secret 'back door' to transfer billions off the books

#20

It's tempting to say he did it or inside job, but things never are as obvious as they seem. Why not just quietly siphon off funds from a cold wallet to his personal wallet? Why use a malicious app at all? This leads me to believe it was not an inside job.

I have no opinion on the inside job, but if someone were to drain the funds I'd expect it to be more deniably than directly transferring to one's own wallet.
Post reply on HN