SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]

Post by lajosbacs » Tue, Dec 13, 2022, 1:56 PM UTC

paganel wrote: post #47

lajosbacs wrote: post #10

I hope that swiftness of these charges will slightly diminish all these voices that keep repeating everywhere that 'the man' is on it with him, that the media defend him etc.

> that the media defend him etc. I don't any have any cent invested in all this crypto madness, but I would have expected bigger fish to fry as a result of all this shitshow. For example the head of SEC itself to fall [1]. Or maybe the VC industry itself to see material consequences of its amateur-hour due-diligence, and I'm not talking about the couple of hundred million of not their money that Sequoia lost on this,…

Post by [deleted] » Tue, Dec 13, 2022, 1:57 PM UTC

JackFr wrote: post #35

ethanbond wrote: post #13

Earlier quoted context omitted.

Whoa, are you trying to tell me all the big fish hyping up the Regulators Are Evil Economy get near-total legal protection of a regulated market, but all the little people who got taken in by it are going to get screwed? An incredible and unforeseeable development! Surely there will be more charges over time but the end result isn’t going to change much. The wealthy people who’ve been boosting all of this will take t…

None of the big fish are getting money back. No one is going get money back. It's gone. At the same time, I have trouble finding sympathy for anyone involved. SBF is a sociopath, thief and liar. Those big-name investors should have known better and I'm sure in many cases they did. They probably should start lawyering up too, because they've got investors of their own who have been harmed either through malfeasance of…

Post by [deleted] » Tue, Dec 13, 2022, 2:00 PM UTC

ethanbond wrote: post #13

pavlov wrote: post #6

It's sort of curious that this SEC action is to protect the venture capital investors like Sequoia who invested in FTX shares directly. If I were a retail investor who lost my savings in FTX, I might be feeling upset that the government is rushing to action in defense of billion-dollar funds whose own due diligence failed massively, while seemingly nothing is being done to help those who invested in crypto based on F…

Whoa, are you trying to tell me all the big fish hyping up the Regulators Are Evil Economy get near-total legal protection of a regulated market, but all the little people who got taken in by it are going to get screwed? An incredible and unforeseeable development! Surely there will be more charges over time but the end result isn’t going to change much. The wealthy people who’ve been boosting all of this will take t…

Post by misiti3780 » Tue, Dec 13, 2022, 2:01 PM UTC

jpgvm wrote: post #40

a16z and Sequoia deserve their losses. They both went all-in on this crypto bullshit in their latest funds and convinced otherwise healthy companies to pivot into it also. Their returns for these latest funds will be decimated and I couldn't be happier.

Post by pavlov » Tue, Dec 13, 2022, 2:02 PM UTC

boplicity wrote: post #51

pavlov wrote: post #6

It's sort of curious that this SEC action is to protect the venture capital investors like Sequoia who invested in FTX shares directly. If I were a retail investor who lost my savings in FTX, I might be feeling upset that the government is rushing to action in defense of billion-dollar funds whose own due diligence failed massively, while seemingly nothing is being done to help those who invested in crypto based on F…

Frankly, it seems to me that VCs should be liable for money FTX owes its customers. These are professional investors who didn't insist on very basic things, such as proper financial sheets from a finance company. Frankly, that's gross negligence. Professional investors should have legal responsibility to do at least some due diligence. In addition, they're becoming owners of a company. As owners, why shouldn't they b…