Ah yes of course, as Matt Levine would say: everything is securities fraud
SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
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Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#12I 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.
Unlikely. That sound you hear is the goalposts being moved yet again
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#13It'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 the smallest losses of all.
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#14No post body was provided.
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#15This might just be the 'first arrow' from the SEC with much more to be added down the track, but it's interesting to see that they have gone in heavily on defrauding equity investors in the FTX business -- rather than pulling the rug on customers. Either that's because it's easier for the SEC to prove, and get it to the point of demonstrating fraud? Or the US customers and the FTX US business were relatively untouche…
This might just be the 'first arrow' from the SEC with much more to be added
down the track, but it's interesting to see that they have gone in heavily
on defrauding equity investors in the FTX business -- rather than pulling
the rug on customers.
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#16It'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…
The various players in crypto space have written a ton of EULA mumbo-jumbo explaining that the coins are not securities (as they want the freedom to pump&dump/front run orders/etc). If they admitted the cryptos are securities, all sorts of pesky regulations would apply
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#17It'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…
He essentially admitted this in recent calls so it's a 'safe' charge that the SEC used to get him arrested in Bahamas and presumably his personal assets will also now be frozen while they assemble the rest of the consumer fraud and other charges.
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#18It'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…
You seem to forget the debate between the SEC and the other org that want to regulate crypto.
The reason SEC moved this fast was to add to their counter-point argument that they should be allowed to fully regulate crypto as securities.
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#19Note that the SEC's is merely a civil action. The federal criminal indictment hasn't been unsealed yet (but should be soon, today [0]).
[0] https://apnews.com/article/technology-business-bahamas-unite... ("We expect to move to unseal the indictment in the morning and will have more to say at that time")
Re: SEC Charges Samuel Bankman-Fried with Defrauding Investors in FTX [pdf]
#20I 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.
It won’t, just like even in this thread you see the perennial “this is good, actually.”
At rock bottom the crypto world is held up by unadulterated greed and it shows on both ends: I am willing to make too-good-to-be-true “investments” because greed; when that unfolds the obvious way it was going to then it’s someone else’s fault and they’re not moving fast enough — also greed.
In short: “Why aren’t I rich yet, I’ll speculate” -> “why aren’t I whole yet, I’ll speculate again!”