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“ Reuters and The Block confirm that SBF had a backdoor that could move funds between FTX/Alameda without triggering internal audits or accounting. This allowed
by DantesKite 4y ago
“ Reuters and The Block confirm that SBF had a backdoor that could move funds between FTX/Alameda without triggering internal audits or accounting. This allowed Sam to borrow 1:1 any amount of user deposits between the two "separate" entities.”
https://twitter.com/autismcapital/status/1591459380742225922?s=46&t=pKWPcWZ6810H_gbwI0KBOQ https://twitter.com/autismcapital/status/1591459380742225922...
- ttul 4y ago“ In a subsequent examination, FTX legal and finance teams also learned that Bankman-Fried implemented what the two people described as a "backdoor" in FTX's book-keeping system, which was built using bespoke software. They said the "backdoor" allowed Bankman-Fried to execute commands that could alter the company's financial records without alerting other people, including external auditors. This set-up meant that the movement of the $10 billion in funds to Alameda did not trigger internal compliance or accounting red flags at FTX, they said.” https://www.reuters.com/markets/currencies/exclusive-least-1-billion-client-funds-missing-failed-crypto-firm-ftx-sources-2022-11-12/ https://www.reuters.com/markets/currencies/exclusive-least-1...
- ttul 4y agoIf SBF created an accounting hack to intentionally hide things from auditors, he’s definitely going to jail…