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SBF Arrested by Bahamian Authorities

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Re: SBF Arrested by Bahamian Authorities

#461

Post by nostromo95 »

saeranv wrote: post #407
rogers18445 wrote: post #292

Earlier quoted context omitted.

Prisoner's dilemma has a Nash equilibrium where defection is the best move regardless of anything else that happens. If you change the game to be a repetitive 'prisoner's dilemma' with the same actors the best strategy would be tit for tat.

If I recall correctly, the best strategy for repetitive prisoners dilemma *with communication*, is cooperation though.

Yes but the only way repeated cooperation can be maintained is if players can “punish” defectors by also defecting for a certain # of turns (thus making the PV of breaking ranks and defecting SBF’s situation is different in that the game ends as soon as someone defects.

Re: SBF Arrested by Bahamian Authorities

#463

Post by vkou »

sizzle wrote: post #387
paulusthe wrote: post #80

Earlier quoted context omitted.

He didn't commingle accounts. He stole from customers to keep Alameda afloat. This is why the money never got converted into actual crypto, and why there are no assets: the money got used, by Alameda, in what must have been some truly cataclysmic trading. It also sounds like alameda's job was to market make the FTX coin, which they presumably did with that money in part. And likely kept doing until they blew up. He's…

So… Can they clawback the illegally “used” customer funds from whatever schemes were used to keep Alameda solvent? Where did the billions go?

My best guess is that a small part of the billions went towards mansions in the Bahamas, another small part went towards political bribes, and a rather large part went to various counterparties that traded against Alameda.

It's pretty easy to lose any amount of money if you're paying $10 for $5 bills.

Re: SBF Arrested by Bahamian Authorities

#464

Post by jhugo »

adasdasdas wrote: post #346
object-a wrote: post #206

Earlier quoted context omitted.

This article reports on: - commingling of funds between Alameda and FTX - conflicts of interest between the two, including SBF's relationship with the CEO - use of customer deposits to pay off loans for Alameda - that FTX and SBF are under investigation

It uses the same tone that SBF uses when characterizing the situation as a complicate mixup instead of what it really is, deliberate fraud using customer funds to increase leverage. If you want to compare tone, you can look up any NYT article on FB https://www.nytimes.com/topic/company/facebook-inc . If you want something specific to compare, just take a look at the headline/subtitle which about as far as most people…

> It uses the same tone that SBF uses when characterizing the situation as a complicate mixup instead of what it really is, deliberate fraud using customer funds to increase leverage.

That's because describing it as "deliberate fraud" would require evidence of intent that they don't have. I agree that it's likely the case, but I wouldn't expect a journalist to state it as fact at this point.

Re: SBF Arrested by Bahamian Authorities

#465

Post by ffggvv »

jasonhansel wrote: post #261
johnfn wrote: post #15

Alright, well, now that that's done - let's go find all those people in the past threads who were saying things like SBF will never be arrested.

I remember a lot of people strongly believed that SBF would never get in trouble because he was a Democratic donor, and that this was all part of some vast corruption scandal. It turns out not everything is a conspiracy.

well he has no more money to give, so of course they are happy to arrest him now. they just didnt bother investigating the fraud until after it collapsed for some reason..

Re: SBF Arrested by Bahamian Authorities

#468

Post by h11h »

jasonhansel wrote: post #261
johnfn wrote: post #15

Alright, well, now that that's done - let's go find all those people in the past threads who were saying things like SBF will never be arrested.

I remember a lot of people strongly believed that SBF would never get in trouble because he was a Democratic donor, and that this was all part of some vast corruption scandal. It turns out not everything is a conspiracy.

"SBF was a major Dem donor, so no investigation"

https://twitter.com/elonmusk/status/1591822387267665921

Re: SBF Arrested by Bahamian Authorities

#469

Post by siftrics »

Gigachad wrote: post #342
siftrics wrote: post #78

Earlier quoted context omitted.

He could not have stolen the deposits in the manner he did if this was on-chain and the users self-custodied. Yes, DEXs exist.

How do decentralized exchanges convert USD to crypto and back again? Especially given all the legal compliance requirements. This seems impossible without a central service / legal entity.

This is a very good question. They cannot and do not.

On/off-ramps are a huge topic and we have a lot of work to do to make these ramps as permissionless as possible, should we want to allow humans to decide for themselves whether or not to comply with (potentially) tyrannical governments.

Re: SBF Arrested by Bahamian Authorities

#470

Post by dopamean »

mikeyouse wrote: post #339
rootusrootus wrote: post #302

Earlier quoted context omitted.

Madoff got a long sentence, but lets not forget that 'legal experts' were predicting a pretty long sentence for Elizabeth Holmes, too, based on federal formulas. It's optimistic at this early stage to legitimately expect SBF to get life behind bars.

Holmes got 11 years in Federal prison for her first offense for financial crimes.. that is a long sentence. SBF obviously won’t get life behind bars, nor should he.

Yes 11 years is a long time to be imprisoned however I think it was in the low end of what she could have gotten which is why people say she didn't get a long sentence.
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