8 ms·
Does this bankruptcy include FTX US? A bunch of people in yesterday’s thread were saying that FTX US is safe, which seemed strange.
by sillysaurusx 4y ago
Does this bankruptcy include FTX US? A bunch of people in yesterday’s thread were saying that FTX US is safe, which seemed strange.
- steveBK123 4y agoWas obviously cope at the time. If the guy is dipping into supposedly segregated client accounts to run his prop trading, and lying about it.. why would he not do the same with FTX US money.
- halfmatthalfcat 4y agoIt looks like it? At least from a cursory reading of the press release...which goes against everything that has been said up to this point. The hilarity continues.
- leereeves 4y agoYeah, just yesterday SBF tweeted: > This was about FTX International. FTX US, the US based exchange that accepts Americans, was not financially impacted by this shitshow. https://twitter.com/SBF_FTX/status/1590709195892195329 https://twitter.com/SBF_FTX/status/1590709195892195329
- boeingUH60 4y agoThis guy is such a serial liar...I wonder why he doesn't have a lawyer advising him to avoid making statements on a public platform at this point.
- moogly 4y agoBecause no one can tell who are real accounts and parody accounts on Twitter right now.
- jjulius 4y agoIt absolutely blows my mind; if this[1] failure of an attempt at a "get out of jail free" disclaimer is something you feel the need to write out so poorly, and in all caps, after your diatribe, maybe - MAYBE - you shouldn't have said a goddamn word. [1]https://twitter.com/SBF_FTX/status/1590709199067295749 https://twitter.com/SBF_FTX/status/1590709199067295749
- sillysaurusx 4y agoYeah! That was the tweet that made me suspect an anxiety attack / some other health condition. The weirdest part is that all 23 tweets were posted simultaneously at 8:13am. So he had the opportunity to say nothing; he could’ve clicked “save draft” instead of “tweet all”.
- chasd00 4y agoheh how close together are the "save draft" and "tweet all" buttons?
- boeingUH60 4y ago"Your honor, whatever I've said should not be used against me in the court of law"...I can't make up this parody if I was a scriptwriter. Here's another...SBF has stepped down, and his replacement is John J. Ray III, a famous bankruptcy lawyer who helped clean up Enron...yes, that Enron.
- Scoundreller 4y agoI bet is motto is the same as the one that gets these companies in trouble: “pay yourself first”.
- lotsofpulp 4y agoMust be tough being a fiction writer these days.
- dylan604 4y ago
- tshadley 4y agohttps://twitter.com/Popehat/status/1591091209157898241 https://twitter.com/Popehat/status/1591091209157898241
- selimthegrim 4y agoHis parents are probably going to invoice him for legal advice at this point.
- bmitc 4y agoHis parents are law professors at Stanford. It’s crazy. You think they’d make a call and tell him to just stop.
- deleted 4y ago[deleted]
- sillysaurusx 4y agoThat’s the one. Thanks for linking it. Was he in denial? Lying? Clueless? I have no idea at this point. He seemed earnest and genuine, but everything he’s saying is the exact opposite of reality. Maybe he was having an anxiety attack. I had one once, and it completely sucks. It ruins your ability to form logical thoughts. (It’s rare to see someone so powerful be so confidently mistaken. The confidence is the part I’m struggling to figure out. There doesn’t seem to be much benefit for him to knowingly lie about FTX US not being impacted, so it seemed like something else was going on.)
- ahelwer 4y agoIf he comes out the other side massively wealthy, then what was there to be "mistaken" about? You're extending an incredibly generous quantity of sympathy to someone that has absolutely not earned even a little of it. Speculating that he had an anxiety attack! I mean, really.
- sillysaurusx 4y agoIt’s not really sympathy though. From a game theory perspective, what benefit did he get from saying FTX US wouldn’t be impacted? It seems like there was negative benefit: not only did it accomplish nothing in practice, but it couldn’t have helped even theoretically. So when someone does something like that, I can’t help but speculate.
- ahelwer 4y agoIt kept some number of people from withdrawing their funds from FTX US yesterday, leaving more money in the pot to return to other stakeholders. This has nothing to do with game theory, what would that even mean!?
- shigawire 4y agoIt's like saying modulo or orthogonal - people just parrot these words on HackerNews
- durpkingOP 4y agoWrong. FTX US is the US based exchange that accepts Americans. You gotta always read the latest SBF tweets because he consistently says 1 thing then the next day does the opposite.
- europeanguy 4y agoI think these people have shown they have no problem lying about everything, so I wouldn't take what they say as a data point.
- Saig6 4y agoAll of FTX Group, including FTX US and 130 additonal companies are covered by the statement. https://ftx.us/ https://ftx.us/ doesn't mention anything though.
- jfk13 4y agohttps://ftx.us/home https://ftx.us/home currently shows a message: > Announcement 2022-11-10: trading may be halted on FTX US in a few days. Please close down any positions you want to close down. Withdrawals are and will remain open. We will give updates as we have them.
- deleted 4y ago[deleted]
- gmays 4y agoYes, it explicitly mentions that FTX US is included: > FTX Trading Ltd. (d.b.a. FTX.com), announced today that it, West Realm Shires Services Inc. (d.b.a. FTX US), Alameda Research Ltd. and approximately 130 additional affiliated companies (together, the "FTX Group"'), have commenced voluntary proceedings under Chapter 11 of the United States Bankruptcy Code in the District of Delaware in order to begin an orderly process to review and monetize assets for the benefit of all global stakeholders. Excluded are: > The following subsidiaries are not included in the Chapter 11 proceedings: LedgerX LIC, FTX Digital Markets Ltd., FTX Australia Pty Ltd. and FTX Express Pay Ltd.
- chinathrow 4y ago130 companies? What did they for a living? Collect companies each time a new month began?
- rippercushions 4y agoGaze on the beauty of this chart and despair: https://i.redd.it/078p4g7m6cz91.jpg https://i.redd.it/078p4g7m6cz91.jpg
- LeifCarrotson 4y agoI'm impressed that there actually is a chart.
- kodah 4y agoMy god, it's like the blueprint to a Ponzi scheme
- madamelic 4y agoFrom the Sequoia article on SBF / FTX, it's very likely to be able to trade internationally because each country requires you to have a bank account in that country to be able to access their markets. In the Sequoia article, SBF gained his initial funding for FTX from executing trades from the US to Japan, where BTC was overpriced because no one bothered to arbitrage it because of the setup difficulty. The way he did this was by contacting a friend to open a bank account in Japan and manage the funding over there while he managed the account US side. I am sure some of it is normal corporate shell game but I'd imagine at least 50% of this setup was for regulatory purposes. Even small fintechs will have "shell game like" company structure to please regulatory forces that require having certain things be independent from the consumer platform even if the two companies are working towards the same goal.
- fdsafdasfdsa 4y agoFTX US is included in the Chapter 11 bankruptcy filing.
- deleted 4y ago[deleted]
- randomsearch 4y agoJust bumping this up from comment below: >> This was about FTX International. FTX US, the US based exchange that accepts Americans, was not financially impacted by this shitshow. >https://twitter.com/SBF_FTX/status/1590709195892195329 https://twitter.com/SBF_FTX/status/1590709195892195329 So, SBF seems likely to have flat-out lied, right up to the last moment. At this point, why would you choose to trust any crypto company that wasn't perfectly transparent in how it holds assets, backs coins, what it's borrowing on, etc? Do we blame individuals or the technology that enabled them? I don't know. I do think we need to get back to building useful tools that people need.
- deleted 4y ago[deleted]
- pvg 4y agoJust bumping this Don't do this on HN please.
- tedunangst 4y agoIf withdrawals are open, then it seems FTX.us still has all its customers assets and can return them, but will not be able to pay its own bills for hosting, staffing, etc. in the very near term. So yesterdays statement that it wasn't affected by the loss of funds implosion would be accurate, but if the business was reliant on funding from other operations to survive, it can still go bankrupt. People get all antsy in their pantsy and can't read nuance.
- babyshake 4y agoI think people are jumping to conclusions by saying that because FTX.us is included in the filing, all user funds are completely gone. Not to say I blame them for thinking the worst, but we'll probably know more once the dust settles.