The Risky Business of Sam Bankman-Fried

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Sam Bankman-Fried’s approach to risk fueled his rise to the top of the crypto world. Then came the catastrophic fall.

Cryptocurrency exchange FTX was seen as a survivor in a struggling industry, but over the course of six days the exchange collapsed due to a sudden liquidity crunch. WSJ explains the factors that drove FTX’s growth and what led to its downfall.

Illustration: Alexandra Larkinever spent so much time speaking to podcasters and explaining how they got rich. Weeks before the crackup of his cryptocurrency exchange and spectacular collapse of his wealth, the chief executive of FTX gave an interview that began with an illuminating question: What was the first thing his company did better than any other?

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No it didnt. His approach to risk is no different than any other exchange that do loans and crypto dividends. Just not as connected.

...it's called a ponzi scheme supported by greedy people....

I will not call it Losing because if you are familiar with crypto then you have to realize it comes with its own risk like any other normal business. By the way, I wish that was me 🤣!!

Top Democrat contributor. They returning the millions? Hypocrites.

It is not approach to risk, it is worse than Bernie Madoff. They pumped their own token using Alameda Research and then put the value of the token (including those not in circulation) into their books as collateral. It is blatant fraud and Ponzi scheme. Stop framing it as 'risk'.

The amount of times the word “Risk” was used in this article. Feels like intentional psyche conditioning to make that word synonymous with SBF/FTX which externalizes the blame? Maybe too many connected people for this to not get contained the DC powers that be way.

One of the worst articles I've ever read. Talked about how good he was at managing risk and then all of a sudden he didn't manage his risk. Guy was a con artist stealing from people... I just paid for a subscription this week and this is the trash you guys put out.

Speak about his connections and tha scandal after that.

Easy to take risks with other peoples money isnt it?

What

'Give me a billion dollars for something that does not actually exist!' 'The fault, dear Brutus, is not in our stars, but in ourselves'

Did this guy in fact flee the country with stolen money?

Talk about his donations to the Democrats. Also about UKR GOV investing the money from the US into SBF_FTX

Just a Democrat donor money laundering scheme

You spelled 'Long Con' wrong.

his approach to risking user deposits*

His “approach to risk” was to defraud people.

And drum roll please ... not a word about massive, only second to another high profile person, political contributions. Per Elon (not exact quote) this guy set of his BS detector.

2 more great threads --

The funder of all Dem election campaigns.

DNC owes $40m in Bankman’s bankruptcy case.

approach to risk? He’s a crook. What’s with the puff pieces on that vermin. He didn’t even major in Finance or have any applied finance skills. Bankman-Fried was a proprietary trader - something rife with shady actors and insider trading. and ppl made that sound elite.

Sam Bankman fried your money

Did that inter-country trading arb that he says made him so rich in weeks even exist? Can those numbers be confirmed? Was he just grifting from the get-go? Why trust anything he’s ever said at this point

Sam won't get a single day in jail, he's a Democrat, they will defend one of their own.

Lol, 'approach to risk'. He didn't understand risk at all, let alone ethics. Hence, current position.

Corrupt.

Wonder what the authors intentions are

He had no business . One big scam

Democrate donor say it

Stop crime wef and goverments

USA gives tax $ to Ukraine.... Ukraine buys millions $ in crypto from FTX... FTX donates millions $ to Democrats. 🤔🤔 Just can't put my finger on what's going on here...

The story gets crazier and crazier. It just doesn't stop. Movies will be made, I'm sure --

Sam served as an agent of Democrat Party to funnel tax payer money back to them.

Repeat after me fuck SBF

Why are you still pretending he wasn't just a straight up theif that stole from customer accounts and sold fictional BTC?

Say it with me FRAUUUDDDDDDDDD

You see these stories crypto made a fortune or crypto company went bankrupt or fraud, but you never know where the money if real came from or who were the losers and how much and where did their money come from. Like this guy where did all this money lost come from Is it real.

Frodo and Pippin knew Sam’s appetite for risk was too great long before they departed the Shire….

I did your job for you 🤙🏼

Here’s what real investigative journalism looks like:

You misspelled fraud

He wasn't attached to the democratic party at all. I repeat in all caps so it makes it true HE WAS NOT ATTACHED TO THE DEMOCRATIC PARTY AT ALL.

money laundering scam and fraud.

Next he will commit su|side and the cameras will strangly not be working...

Was one of the risks fraud? I don't think that's the typical 'risk downfall.'

Anyway, I made this question many times and no answer: what do you use crypto for, beside money laundering?

Etherium is the next one.

Grounded in reality far more than the other piece published today…

But democrats took 100 million in bribes from him.

Major fraud scammer.

Does this guy look like he knows anything about finance

And the fair course of action would be to bring all those who placed him unto those heights down as well. He did not get there by himself as much as he was more of a placeholder.

Which political party did he support? And why isn’t that being investigated and reported?

This is why 'toxic' Bitcoin maxis have been warning everyone to only buy bitcoin and get your coins off the exchanges. Google 'paper Bitcoin wallet'. Five minutes of your time is far better than losing your money to thieves.

An experiment in Darwinism.

I blame the hair.

Dear PR people working FTX, I would deposit those checks. I doubt net 30 is gonna work out for you 🤣.

“Approach to risk” is a great way to spin a money laundering operation from tax payer and investor to the DNC agenda.

There is a difference between the technology and what the users do with it.

I lost a thousand - where am I supposed to a reimbursement?

He didn't take a risk. He ran a Ponzi scheme with the help of his contacts in US government.

I don't care.

Couldn’t have happened to a more sympathetic group of people: hedge funds and crypto traders

The wsj is A multi billion dollar investigative Journalism company. 🧐

His approach to risk or his approach to ethics?

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FTX founder Sam Bankman-Fried in the Bahamas as customers’ billions go missing in company collapseFTX underwent a $16 billion implosion amid reports that co-founder Sam Bankman-Fried had been funneling money to a sister trading company. He’s been caught Who’s his mommy? He started out in the Bahamas already - if that’s not a red flag in itself - and since fled to Argentina or Brazil.
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