"Never in my career have I seen such a complete failure of corporate controls and such a complete absence of trustworthy financial information as occurred here."
"From compromised systems integrity and faulty regulatory oversight abroad, to the concentration
of control in the hands of a very small group of inexperienced, unsophisticated and potentially
compromised individuals, this situation is unprecedented."
- the guy who cleaned up Enron's mess
Damn!
Assets - liabilities:
WRS Silo: ~1 million
Alameda Silo: ~12.9 million
Ventures Silo: ~0
Dotcom Silo: ~1.7 million
Cash in other entities: ~700 million (<-- approximate based on the few "books and records" they could find; could be ~0)
That's it, that's all there's left. If that cash turns out to be an illusion then it's about 15 million tops. The obvious thing to ask is then, what happened to the billions?
So there's no other conclusion than this website was run by drugged up children.
However bad you think FTX was run, it's worse. They basically didn't keep track of anything, disbursed money to buy themselves houses in the Bahamas, etc.
It also seems, reading between the lines, that customers wired money to Alameda and this money never hit FTX and was just gambled away.
Contrast this to SBF's recent tweets and statements to the Vox reporter and you get a strong sense that SBF is somewhat delusional about his own competence and culpability in FTX's collapse. From the Vox DMs his biggest regret was filing for chapter 11, which suggests that he somehow wanted to continue running this shitshow with a huge hole in the balance sheet.
"The Debtors did not have the type of disbursement controls that I believe
are appropriate for a business enterprise. For example, employees of the FTX Group submitted payment requests through an on-line ‘chat’ platform where a disparate group of supervisors approved disbursements by responding with personalized emojis."
What a clown show, how did the big money investing in this (the retail money should have known better than to fall for "guaranteed returns" too but the big money was in a place where they could demand more than the hilariously bad "balance sheet" that was revealed a few days ago) not at least demand they have an actual accountant or two on staff managing their books? Some schmuck with no real accounting background using QuickBooks would have done a better job than these jokers. But I guess that was part of the point, letting the money flow fast and loose without any oversight is part of what makes the scam possible. Just glad I never got on the crypto hype train.
"Unacceptable management practices included the use of an unsecured group email account as the root user to access confidential private keys and critically sensitive data for the FTX Group companies around the world"
....at which point the cryptocurrency sphere will be entirely centralized (apart from the very small number of people holding everything in their own wallets).
How can you be into Crypto and not be using a Cold Wallet, isn't that one of the key points of Cyrpto to not have one company/country control you assets. You should just keep your money in PayPal if you leave your Crypto at a Broker.
For some small number of crypto enthusiasts, sure! But for most—at least as I anecdotally experience things—the one thing the vast majority of crypto enthusiasts are into crypto for is: number go up.
Readit News
"From compromised systems integrity and faulty regulatory oversight abroad, to the concentration of control in the hands of a very small group of inexperienced, unsophisticated and potentially compromised individuals, this situation is unprecedented."
Damn!Assets - liabilities:
That's it, that's all there's left. If that cash turns out to be an illusion then it's about 15 million tops. The obvious thing to ask is then, what happened to the billions?However, they did not do accounting for customer funds at all.
However bad you think FTX was run, it's worse. They basically didn't keep track of anything, disbursed money to buy themselves houses in the Bahamas, etc.
It also seems, reading between the lines, that customers wired money to Alameda and this money never hit FTX and was just gambled away.
He's just angry he got kicked off the blackjack table because now he can't make it back up by gambling more
What a clown show, how did the big money investing in this (the retail money should have known better than to fall for "guaranteed returns" too but the big money was in a place where they could demand more than the hilariously bad "balance sheet" that was revealed a few days ago) not at least demand they have an actual accountant or two on staff managing their books? Some schmuck with no real accounting background using QuickBooks would have done a better job than these jokers. But I guess that was part of the point, letting the money flow fast and loose without any oversight is part of what makes the scam possible. Just glad I never got on the crypto hype train.
No wonder they got "hacked" and lost $400 M.