Why would it? FTX wasn’t playing by existing US regulations anyway.
Even the most basic regulations would have squashed FTX’s entire fraud from the start. They weren’t bothering to play by any rules because they knew they could get away with it.
I really doubt it - it was just a dumb unregulated offshore startup doing a bunch of stuff that's already illegal. SOX wouldn’t help since FTX apparently didn’t have anything resembling audited financials vs Enron, a public company that abused GAAP to generate misleading financials. It would be a much different story if FTX had gone public or if they had a reputable audit firm vouching for them.
>> Serious prison time for the executives involved would probably be more effective.
Top executives, especially well-connected ones never get prison time. Instead, you usually have Indian/Chinese scapegoats or someone equally disliked.
The entire flash crash was blamed on a lone indian man living with his parents: https://www.bbc.com/news/explainers-51265169
Nevermind Citadel, 2Sigma, Jane Street, Goldman Sachs
The 2008 scandal fell upon an Arab man: https://en.wikipedia.org/wiki/Kareem_Serageldin
He is notable for being the only banker in the United States to be sentenced to jail time as a result of the financial crisis of 2007–2008, a conviction resulting from mismarking bond prices to hide losses.[1][2]
If I were this guy, i'd be really really worried about now:
Side note: If you work for a shady company, and you're the only colored guy on the exec team, you are probably there for a reason, and the reason isnt good.
PragmaticPulp|3 years ago
Even the most basic regulations would have squashed FTX’s entire fraud from the start. They weren’t bothering to play by any rules because they knew they could get away with it.
stale2002|3 years ago
Yeah, technically they "banned" US customers. They were also doing sponsorships, and advertisement in literal US basketball stadiums.
Clearly they knew they had US customers and were attempting to get them.
whatshisface|3 years ago
marcosdumay|3 years ago
mikeyouse|3 years ago
SoftTalker|3 years ago
realist20222|3 years ago
Top executives, especially well-connected ones never get prison time. Instead, you usually have Indian/Chinese scapegoats or someone equally disliked.
The entire flash crash was blamed on a lone indian man living with his parents: https://www.bbc.com/news/explainers-51265169 Nevermind Citadel, 2Sigma, Jane Street, Goldman Sachs
The 2008 scandal fell upon an Arab man: https://en.wikipedia.org/wiki/Kareem_Serageldin He is notable for being the only banker in the United States to be sentenced to jail time as a result of the financial crisis of 2007–2008, a conviction resulting from mismarking bond prices to hide losses.[1][2]
If I were this guy, i'd be really really worried about now:
https://timesofindia.indiatimes.com/business/cryptocurrency/...
Side note: If you work for a shady company, and you're the only colored guy on the exec team, you are probably there for a reason, and the reason isnt good.
alecco|3 years ago