[pinkypanther]

The humiliating decimation of the FTX empire brought to an end Mr. Bankman Fried’s meteoric rise as a battle-hardened veteran and advocate of cryptocurrencies.

Only a few days prior to the collapse of FTX, he was regarded as one of the most knowledgeable and prominent leaders in the cryptocurrency sector. He was also a formidable lobbyist in Washington, D.C., working to influence crypto rules.

The turnaround was a stunning downfall for the playboy billionaire CEO, who served as the darling of investment kingpins such as Tiger Global, Sequoia Capital and Temasek Holdings, and who legendarily played League of Legends while pitching a Series B funding round to some of the VC world’s toughest partners.

With success came arrogance, and SBF remained aloof and critical toward international regulators and investors, while maintaining a smug attitude in negotiations to acquire crypto companies that had gone under.

Further questions are being raised about the ‘gang of kids in the Bahamas’ that ran FTX. Allegedly, SBF’s coterie of misfit roommates and ‘effective altruists’ ran FTX, dating and even sleeping with each other in their Bahamian luxury penthouse. This included Alameda CEO Caroline Ellison, Chief Technology Officer Gary Wang, FTX Director of Engineering Nishad Singh and former workers from trading firm Jane Street. The conflicts of interest, lack of governance and sheer deficit of oversight became clear upon FTX’s collapse.

“Gary, Nishad and Sam control the code, the exchange’s matching engine and funds,” an insider claimed anonymously. “If they moved them around or input their own numbers, I’m not sure who would notice.” These concerns are compounded by the fact that the COO of Alameda was apparently a 28-year-old former analyst from Credit Suisse’s risk control department, with little to no practical experience running risk management for cryptocurrency trading operations.


A lot more at https://shrtco.de/5n2Y4f

[Alam]

The collapse has also underscored the lack of diligence performed by investors like Temasek and Tiger Global to ensure appropriate financial controls: none were on FTX’s board. One investor told Forbes that they only had access to FTX’s balance sheets as part of due diligence, which “looked fine.” The investor said they had no visibility into Alameda’s operations, but saw no red flags because they saw large sums of tokens moving between the two firms “all the time.”

[Alam]

This is such a shame that our money is dumped into such an outfit without due diligence. Heads need to roll for such reckless and incompetent investing

[Reddishday]

Temasick will say it was an honest mistake, so lets move on

[Ola]

Is it CECA is MD level so he can use $200 Million easily

without approval to make investments?

[debono]

This is such a shame that our money is dumped into such an outfit without due diligence. Heads need to roll for such reckless and incompetent investing

I concur with your stance.......

[grotesqueness]

THE NAME "FTX" scare me to invest in it

Fark The eXchange


FTX