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Enron used shell companies to hide their debts. Once these companies were discovered, it was the end of Enron, because they clearly lied about their profits, t
by gitfan86 4y ago
Enron used shell companies to hide their debts. Once these companies were discovered, it was the end of Enron, because they clearly lied about their profits, tried to cover up their lies, and executives were clearly were going to go to jail.
FTX seems to have taken a different approach acting like nothing they did was illegal. They are acting like what they did was no different than what other startups or banks do, they just made a mistake calculating their reserves.
- dmix 4y agoWe don’t know this bank was used for anything illegal yet though. We don’t even know how FTX took or hid money right? We just know it’s ‘missing’? A finance startup buying a small bank is pretty normal. We’ll find out more in time.
- gitfan86 4y agoWe know that SBF's parents plan on 'returning' a beach front vacation home to FTX. I wouldn't call those funds 'missing'. We know where the vacation house is