Sadly, he never de-risked and he's not only lost much of his fortune but appears to have lost his mind. Tweeting away . . . with stuff that can most likely be used against him in a court of law. Not smart.
Sadly, he never de-risked and he's not only lost much of his fortune but appears to have lost his mind. Tweeting away . . . with stuff that can most likely be used against him in a court of law. Not smart.
Sadly, he never de-risked and he's not only lost much of his fortune but appears to have lost his mind. Tweeting away . . . with stuff that can most likely be used against him in a court of law. Not smart.
His Wikipedia page doesn't mention him attending Cal.
Correct. He was born on the Furd campus a product of Furd Law Professors. Too late to change the header. Lot's of stuff going on early this morning, including the NASDAQ +5.7% SPX +4.1%
More importantly, it appears he has destroyed the assets of thousands of crypto investors. My sympathy for anyone who loses a substantial portion of their net worth is really bumping up against my schadenfreude for crypto investors losing money on this one.
When I see people who lost money in crypto clamoring to be bailed out by regulators or authorities - that does make me want to laugh. When you got into bed with people whose stated purpose was to avoid government regulation - who did you think you were sleeping with?
If this Stanford guy has broken the law, I hope he faces full justice. But I don't want a penny of taxpayer money going into helping people out on this one. Caveat emptor.
More importantly, it appears he has destroyed the assets of thousands of crypto investors. My sympathy for anyone who loses a substantial portion of their net worth is really bumping up against my schadenfreude for crypto investors losing money on this one.
When I see people who lost money in crypto clamoring to be bailed out by regulators or authorities - that does make me want to laugh. When you got into bed with people whose stated purpose was to avoid government regulation - who did you think you were sleeping with?
If this Stanford guy has broken the law, I hope he faces full justice. But I don't want a penny of taxpayer money going into helping people out on this one. Caveat emptor.
MIT guy.
My take on SBF is the same as my take on NBA GMs. Ivy League types, whether reporters or VC dudes, put way too much faith in their own intelligence and gravitate towards ppl who remind them of themselves. And so they thought SBF was ‘the real deal’ in a sea of scammers.
When I see people who lost money in crypto clamoring to be bailed out by regulators or authorities - that does make me want to laugh. When you got into bed with people whose stated purpose was to avoid government regulation - who did you think you were sleeping with?
100% this. Tough break kids, but you got what you asked for. I have no sympathy.
When I see people who lost money in crypto clamoring to be bailed out by regulators or authorities - that does make me want to laugh. When you got into bed with people whose stated purpose was to avoid government regulation - who did you think you were sleeping with?
100% this. Tough break kids, but you got what you asked for. I have no sympathy.
Yep.
The purpose of financial regulation is to keep this kind of fraud from happening in the first place.
Can someone explain the business model underlying a crypto firm? How do you make money?
I am utterly clueless but Alex Kirshman, who's a really great college football writer, has also been covering this for Slate.
(If the link doesn't work because it's subscriber only, paste it in a private browser.)
It's just been an amazing few years for people finding new ways to make money go poof. The human race is at the top of its game in this area https://t.co/UioayqXfWV
Can someone explain the business model underlying a crypto firm? How do you make money?
Deluding people into believing there's value and future appreciation to be had in a currency with all the fundamental worth of a pet rock.
But the product Crypto (asset) wasnt necessarily the issue here.
The issue was shady business practices that would not have ever occurred in traditional equities markets due to regulatory scrutiny.
Exhibit A:
Whereas exchanges like FTX make money via transaction fees and the interest on loans to traders, Alameda generates income from buying and selling tokens -- profiting from the spread between what it pays and what it offers.
In traditional financial markets -- on stock exchanges, for instance -- the two lines of business are usually unaffiliated, helping ensure competition among stakeholders and lower prices for customers.
In crypto, regulation is less defined. Disclosure rules or even industry norms that discourage close ties between a market center and a trading operation have yet to develop. In the case of FTX and Alameda, it's as if the New York Stock Exchange and market-making giant Citadel Securities shared the same owner.
Having exchanges and market makers with close ties and financial interests is "not conducive to being a fair marketplace," said Larry Tabb, head of market-structure research at Bloomberg Intelligence, speaking broadly. There are "reasons to split up the functions, to make sure everyone is on the up and up. When you consolidate and decompress divisions, you get inherent conflicts."
- - - - - - - - - - - - - - - - - - -
The relationship between FTX and proprietary trading firm (arbitrage) market-maker Alameda:
so this poor 30 year old now only has a net worth of a $1 billion. hard to have much sympathy for that.
Wont matter.
That money is gonna wind up going towards his legal defense. If I were him, I'd be heading for a country that has no extradition treaty with the United States.
so this poor 30 year old now only has a net worth of a $1 billion. hard to have much sympathy for that.
The entire $16 billion fortune of FTX co-founder Sam Bankman-Fried went up in smoke within days, one of the greatest wealth destructions in the history of the crypto world https://t.co/LsNm9EX8QE
In recent months, FTX paid $17.5 million to sponsor the athletic teams at the University of California, Berkeley; introduced a $20 million advertising campaign with the football star Tom Brady and his supermodel wife, Gisele Bndchen; and teamed with the Coachella music festival to offer NFTs, or nonfungible tokens. It has the naming rights to the Miami Heat basketball team's home arena, which it bought for $135 million.
But the ad unfolded at a particularly frenzied pace. After buying Super Bowl slot in August, FTX and the ad agency dentsuMB spent about two weeks fielding a flurry of ideas and some 80 scripts before a concept by Andrew Hunter, a creative director at dentsuMB, was picked. In November, Mr. David said he wanted in, and six weeks were spent ad-libbing and negotiating with his team over video calls. The ad then went through 280 hours of editing, winnowing 7.5 hours of raw footage into 60 seconds. (A further 200 hours went into crafting teasers.) A rough cut was presented to FTX on Jan. 17, a mere nine days after filming ended, followed by a volley of revisions alongside work on teasers and special effects. The final commercial was delivered to NBCUniversal on Monday. NBC charged as much as $7 million for 30 seconds of commercial airtime during the game. And there were other expenses: the ad and public relations agencies 360i, dentsu X and Mitchell in addition to dentsuMB; the production company Partizan; and editors at Mackcut. Then there was the cost of decorating, for one of the 12 scenes shot for the commercial, the great hall of a castle with mounted stag skulls, a stuffed peacock, hundreds of candles with artistically hand-melted wax, two Irish wolfhounds, courtiers with plastic face shields resting lightly on pearl-lined ruffs. All so Mr. David, in full Elizabethan regalia, could lambaste the invention of the toilet. As the FTX spot was shooting, a surge of coronavirus cases led to the shutdown of several other productions around Los Angeles. Partizan asked workers to produce negative PCR tests, submit vaccine questionnaires, upload proof of vaccination and sit for nose swabs inside their cars. The production company handed out more than 900 high-filtration masks.
Sam Bankman-Fried, the co-founder and chief executive of FTX, signed off on the tight time frame and the sizable expense despite being hard-pressed to name a single recent Super Bowl commercial that had stood the test of time. Few ads have seemed "transcendent or really that exciting," he said. Even the better ones, he said, are just "sort of, you know, moderately clever." But Mr. Bankman-Fried, 29, who has a penchant for haphazardly tied shoes and company-branded T-shirts and is worth more than $24 billion, is optimistic about his ad. "Obviously, we think it's pretty good," he said.
so this poor 30 year old now only has a net worth of a $1 billion. hard to have much sympathy for that.
I wonder if he realizes that some people that get f@ucked in business deals don't view it philosophically? He now has the life expectancy of a medic on Omaha Beach. People raised in soft towns never seem to understand things of this nature.
*If Russian or Armenian mobsters invested, they will find his body shrink wrapped at the bottom of an aqueduct or reservoir missing his hands and feet.
“Cancel my subscription to the Resurrection
Send my credentials to the House of Detention
I got some friends inside”
—Jim Morrison
“I love Cal deeply, by the way, what are the directions to The Portal from Sproul Plaza?”
A blockchain data analysis firm estimated that $8.6 Billion was laundered in 2021 using crypto. If the Mob had accounts at FTX, they're gonna be pretyy pissed.
