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Your first sentence: >Maybe it will help people actually do their due diligence and demand more from the companies they invest in. Does that refer to investor
by LatteLazy 4y ago
Your first sentence:
>Maybe it will help people actually do their due diligence and demand more from the companies they invest in.
Does that refer to investors (like Sequoia Capital etc) who owned shares in ftx etc? Or to ordinary account holders who were just using ftx as a broker?
I ask because those are two very different groups. And I think people's sympathies rest almost entirely with the second group...
- PartiallyTyped 4y agoThe thought process was that had FTX share owners done their due diligence over the how many series of funding rounds FTX had, it would not have become that sort of behemoth, issues would have been caught immediately, and well, the little guy wouldn't have suffered the consequences. The little guy should also have done their due diligence with crypto though, and diversified their portfolios in terms of brokers. If you "play" with money, you should be prepared to lose it all.
- LatteLazy 4y agoI agree completely. Legally the shareholders of FTX are well shielded by limited liability. But morally they managed to aid and abet huge fraud. People should have done their research before trusting FTX. But it is also very poor for Sequoia etc to have given FTX (and SBF himself) such strong endorsements with apparently zero actual knowledge of the business. Full disclosure: I am one of those little guys who learnt the hard way "not my keys, not my crypto". No excuses, I was dumb and lost my money.