4 ms·
Since more than one thing can be true at the same time, why not a combination of a) total lack of internal controls, understanding of basic accounting and book
by hef19898 4y ago
Since more than one thing can be true at the same time, why not a combination of a) total lack of internal controls, understanding of basic accounting and book keeoing, b) total lack of competence when it comes to manage these amounts of money and c) actively defrauding customers by stealing their deposits?
- oldgradstudent 4y agoAll of the above. Alameda Research was clearly in the top of the worst hedge funds ever, and clearly they had terrible controls and accounting. However, without (c) you don't get this epic disaster. From SBF's tweets it is clear that they were aware they had to keep customer funds segregated. Remember the time they tried to pretend that USD is protected by the FDIC? https://www.cnbc.com/2022/08/19/crypto-firm-ftx-receives-cease-and-desist-from-fdic-about-insurance.html https://www.cnbc.com/2022/08/19/crypto-firm-ftx-receives-cea... Well, actually it was protected by the FDIC, but not from FTX.