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Ex-FTX CEO Bankman-Fried arrested in Bahamas as U.S. files charges
Things like due diligence, pondering counterparty risk, agility, and critically analyzing company's priorities/actions/visibility during irrationally bullish markets can *really* save your arse before things turn bad/ugly/catastrophic.
edit: SBF denied bail, deemed a flight risk. Extradition hearing set for February.
So, will recipients return what remains of these tainted funds?
FTX makes MF Global look like a minor business hiccup....
This was a money quote from yesterday's House hearing, c/o YahooNews:
[FTX CEP] Ray explained that FTX was "unusual" in that it had "no record keeping whatsoever." He said that employees would exchange invoices and expenses on Slack, the ubiquitous workplace chatroom.
"They use QuickBooks," he added, referring to the accounting software.
"QuickBooks?" Congresswoman Wagner asked for clarification.
"QuickBooks, very nice tool, not for a multibillion dollar company," Ray confirmed.
QuickBooks is a business software owned by Intuit, a public traded company. Many small business used QuickBooks whereas large corporations used others can handle large volume of data. Exchanges certainly require more robust software for the sheer volume of data.
It is unreal to read about SBF.
Why is there not more noise about him influencing mid term elections with his millions stolen money donationt to the dems?
His Mother...the well connected Democrat lefty fund raiser..."Mind the Gap"...funneling monies to the lefties..his Dad, Bankman, a leading expert on state and federal tax shelters...Aunt working for the Socialist Schwab at WEF and his MMT techno babble gobbly gook...brother a vaccine/pandemic "fanboy" ... F them with a Capital F all of them, throw them in jail! As mentioned prior...Bermuda homes...oh oh our boy is in trouble better try to put them in someone else's name etc.
You couldn't make this shit up even if you were a Hollywood screenwriter.
The reason he didn't skate and skip out to another country is he is thinking he bought protection and will get away with it.
Maxine Waters, big fan of his...go figure...how the heck is she House Chair Finance Committe...you got to be shitting me, I wouldn't trust her ability to run a Jack in the Box franchise...wasn't Gensler before this happened championing to assist FTX in the regulatory arena?
What a bunch of crack pots, weirdos...who would put monies with ths clown just based on his appearance and how he talks.
MFO has an Off-Topic section for the type of commentary which you seem to prefer. It would be appreciated if you could make at least a minimal attempt to respect the general guidelines as requested by David Snowball:
"Mostly there are Fund Discussions and Off-Topic Discussions, which range from market calls to book recommendations. If you want to read only the fund-relevant stuff, click on the category called Fund Discussions"
As is common with those who are in agreement with your political perspective, you act as if the rules were made for everyone but yourselves. Your ex-president is certainly a prime example.
I hope he at least enjoyed his vacation in New Zealand.
Russia and Ukraine: same thing, and you and Putin aren't fooling anybody.
Not quite as one-sided as Baseball_Fan would have us believe.
This, from The Street, on MSN:
Who knew what, where's the money etc etc
Base in chart appears BTCUSD consolidate w short term bottom near 14k - 16k in May then again october...
Long term nobody knows depend if Feds really pivot and market more enthused about Cryptos in general/ more free monies pumped into system once more folks have lessen margin loans.. So many factors go against btcusd - extremely speculative , retail investors no monies (many bankrupted) , so many better vehicles out there, lots pp scare and ran away, no trust in system, no bank supports, many crooks trying to steal your monies and many crypto wallets have no fdic/central banks nor govt backing up...
Lots folk btcusd maybe 8k by spring 2023
I am adding but very little.. My advisor recommended before Every 100 dollars in stocks maybe 1 2 $ in cryptos (I do 50 cents)
Who know btcusd could be 60k by end 2024...aunty wood says one mill by 2030
The FDIC may become 2-edged sword. One could think that provides some safety.
But if you are following the FTX (SBF) and Alameda (Caroline E) intrigue, you know that FTX didn't have a bank account but SI had one. So, being connected entities, FTX decided to just use the SI bank account for FTX wires. The FTX wire instructions were to sent money to Alameda account # with text added that it was for FTX*. That is how FTX customer money got commingled with Alameda money, and of course, FTX wasn't keeping records, nor was Alameda providing any.
Was SI aware of this arrangement, or agreed/accepted it? It violates several banking rules - KYC, anti-money laundering, providing banking services to a company not otherwise eligible to open bank account directly, etc. What are the Feds/FDIC going to do about this? Sanction or penalize SI? Anyway, this is why every time there is a new development in the FTX-Alameda (SBF-Caroline) story, the SI stock tanks.
*Those who use wires know that only the account# matters, not the text. So, for example, if you make a mistake in entering the account# but mention correct name, then the wire will be credited to the WRONG account#, NOT the correct name. That is one reason to be very careful with wires.
Porkers really lined up at the trough
While we all know that "money talks" it is always instructive to see how politicians say one thing and take money from another.
It is unclear what SBF thought he was getting from all this, and what he wanted in terms of Crypto regulations.
Judd at Popular information is an incredibly insightful investigative reporter a who has daily emails about where dark money is going, and who is behind various trends in politics etc.
24 politicians and one PAC pledge to donate or return money from FTX execs
1. Representative Josh Harder (D-CA) received $2,900 from Bankman-Fried. A spokesperson for Harder told Popular Information that he plans to donate the funds to the Stockton Food Bank.
2. Senator Tina Smith (D-MN) received $5,800 from Bankman-Fried. Her campaign said she “has already donated the campaign contributions from Mr. Bankman-Fried to Planned Parenthood North Central States.”
3. Senator Lisa Murkowski (R-AK) received $5,800 from Bankman-Fried and $2,900 from Salame. Her campaign said that both donations were given to “Storyknife Writers Retreat in Homer, Alaska.”
4. Senator Joe Manchin (D-WV) received $5,800 from Bankman-Fried. Sam Runyon, a spokesperson for Manchin, told Popular Information that Manchin donated the money to Mountaineer Food Bank in West Virginia, and that he “hopes this donation can provide some relief to those who need it most.”
5. Senator John Boozman (R-AR) received $5,800 from Bankman-Fried. His campaign said he has “donated those funds to charity.”
6. Senator-elect Peter Welch (D-VT) received $2,900 from Bankman-Fried. In a statement to Popular Information Welch said, “On November 16th, after serious public allegations against Sam Bankman-Fried, I donated the $2,900 contribution my campaign received from Mr. Bankman-Fried to the Warmth Support Program to help Vermonters keep their homes warm this winter.”
7. Representative-elect Morgan McGarvey (D-KY) received $2,900 from Bankman-Fried. McGarvey’s campaign told Popular Information, “We have donated that amount of money to Family Scholar House, a nonprofit in Louisville that provides a range of services, including financial education for disadvantaged single parents and their children in Louisville.”
8. Representative-elect Valerie Foushee (D-NC) received $2,900 from Bankman-Fried. Foushee told Popular Information in a statement, “The situation with FTX is both distressing and unsettling. When I accepted a $2,900 donation from Mr. Bankman-Fried, I was unaware of his illegitimate business dealings. In light of recent developments, I cannot, in good conscience, retain his donation to my campaign, and have since donated these funds to a nonprofit in Chapel Hill, EMPOWERment Inc., whose mission is to serve the community through their steadfast work to provide affordable housing and foster economic development. I sincerely hope that anyone who may have been wronged in this situation will be made right."
9. Senator Bill Cassidy (R-LA) received $5,800 from Bankman-Fried. He pledged to donate the amount to “an appropriate cause.”
10. Representative Ritchie Torres (D-NY) received $2,900 from Bankman-Fried. Torres donated the amount to “a local charity to assist with holiday food distributions to families in need.”
11. Representative Hakeem Jeffries (D-NY) received $5,800 from Bankman-Fried. Jeffries donated the amount to the American Diabetes Association.
12. Representative Josh Gottheimer (D-NJ) received $5,800 from Bankman-Fried. A spokesperson for Gottheimer said he is donating the amount to charity.
13. Senator Cory Booker (D-NJ) received $5,700 from Bankman-Fried. Booker’s campaign told Popular Information that he “donated the $5,700 contribution from [Bankman-Fried] to a New Jersey-based charity.”
14. Representative Dave Joyce (R-OH) received $2,900 from Salame. Joyce’s office told Popular Information that he plans to donate the money to the Greater Cleveland Food Bank.
15. The American Patriots PAC, a group “dedicated to electing conservative heroic veterans,” received $150,000 from FTX. The group told Popular Information that the donation has been returned.
16. Senator Debbie Stabenow (D-MI) received $20,800 from Bankman-Fried. According to Bloomberg, Stabenow plans to “donate the money to a charity in her state.”
17. Representative-elect Becca Balint (D-VT) received $2,900 from Bankman-Fried. According to the VTDigger, Balint plans to donate the funds to “the Vermont-based Committee on Temporary Shelter.”
18. Senator Susan Collins (R-ME) received $2,900 from Bankman-Fried. The Wall Street Journal reported that a representative for Collins said that the funds would be donated to charity.
19. Beto O’Rourke, the former Democratic candidate for governor of Texas, received $1 million from Bankman-Fried. According to Bloomberg, O’Rourke had already returned the donation to Bankman-Fried before FTX announced its bankruptcy.
Popular Information previously reported that Representatives Kevin Hern (R-OK), Chuy Garcia (D-IL), and Salud Carbajal (D-CA) donated campaign contributions received from FTX executives. Senator John Hoeven (R-ND), who received $5,800 from Bankman-Fried, also pledged to “give the contribution to whatever reimbursement fund is set up by the bankruptcy court.” Representative David Schweikert (R-AZ) and Senators Dick Durbin (D-IL) and Kirsten Gillibrand (D-NY) also told the Daily Beast they would be donating the funds received from FTX executives.
Largest recipients of FTX cash stay quiet
Many candidates and PACs that received donations from FTX executives did not return requests for comment. This includes some of the top recipients of donations, including the House Majority PAC, which received $6 million from Bankman-Fried; Mitch McConnell’s Super PAC, the Senate Leadership Fund, which received $1 million from FTX and $2.5 million from Salame; the Democratic National Committee, which received $865,000 from Bankman-Fried; the NRCC, which received $184,800 from FTX executives; and the DCCC, which received $156,400 from FTX executives.
Other major recipients that did not respond to requests for comment include Senator Maggie Hassan (D-NH) ($20,600), Representative Alex Mooney (R-WV) ($11,600), and Representative Ronny Jackson (R-TX) ($10,000). The campaign for Jake Auchincloss (D-MA) ($5,800) declined to comment on the record.