FTX – The fraud was in the code
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FTX – The fraud was in the code
1–10 of 101 posts
Re: FTX – The fraud was in the code
#2Wild to see some actual code from the FTX repo. Laughed at the takeaway of making sure you at least hide your fraud behind some messy code.
Re: FTX – The fraud was in the code
#3I remember working somewhere as a contractor and given a legacy piece of code to update. And then that went ok so later they approached me again but this time with much less clear requirements. It became a stalemate, me asking them to clarify, them pointing to their watches and saying when can this be done. Eventually they tried to pressure me into basically add a backdoor. I almost did this but eventually explained in my pr why the code want not safe and would lead to possibility of unauthorized crap. Everybody else was extremely junior and seemed to be unaware of this.
Re: FTX – The fraud was in the code
#4The code snippet where they generated the FTX backstop fund's "current balance" displayed on the website by multiplying the exchange's daily trading volume by a random normal number is NUTS!
This was the supposed crypto wonder-platform!
Re: FTX – The fraud was in the code
#5Pretty insane that Sam Bankman-Fried decided to plead not-guilty. And it's interesting that their defense is an implication that a witness is committing perjury for a lighter sentence without any evidence backing it up.
And just what in the world were any of these people thinking? Sam Bankman-Fried isn't remotely charismatic, so I just don't understand why people would follow his demands and actively participate in such obvious fraud. How do you reason with yourself about randomly generating an insurance fund's balance that has been testified, under oath to Congress and various other binding contracts I'm sure?
Re: FTX – The fraud was in the code
#6The code snippet where they generated the FTX backstop fund's "current balance" displayed on the website by multiplying the exchange's daily trading volume by a random normal number is NUTS! This was the supposed crypto wonder-platform!
It is insane how there wasn't a single shred of accountability. I just wonder who was giving them tens and hundreds of millions of dollars without any auditing or due diligence. It seems even the most superficial audit would have revealed it to be a sham.
Re: FTX – The fraud was in the code
#7The code snippet where they generated the FTX backstop fund's "current balance" displayed on the website by multiplying the exchange's daily trading volume by a random normal number is NUTS! This was the supposed crypto wonder-platform!
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Re: FTX – The fraud was in the code
#8All banking is becoming like a casino where the house alone knows the code.
Re: FTX – The fraud was in the code
#9The code snippet where they generated the FTX backstop fund's "current balance" displayed on the website by multiplying the exchange's daily trading volume by a random normal number is NUTS! This was the supposed crypto wonder-platform!
It is insane how there wasn't a single shred of accountability. I just wonder who was giving them tens and hundreds of millions of dollars without any auditing or due diligence. It seems even the most superficial audit would have revealed it to be a sham.
Sequoia led their one of their rounds, everyone assumed sequoia did enough due diligence, everyone goes in and fills the round; it's assumed its a trustworthy platform for retail
Re: FTX – The fraud was in the code
#10All banking is becoming like a casino where the house alone knows the code.
No, this is just extremely blatant fraud. Banks in general don’t do this.