The trustee's reports on FTX's internal processes were damning. Even they had held their Anthropic on the way up, who's to say their internal FTT ledger and black holes in the Alameda books would not have eclipsed that?

The issue wasn't that crypto markets in general were down at that point; the issue was they were doing frauds.

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boringg 3 days ago | parent | next [-]

I think the implication is they fraudsters rarely get busted when they are making everyone money only when things are looking bad. Eventually it catches up though.

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paulpauper 3 days ago | parent | prev [-]

the frauds were stopped by Sam going to jail. There was still money left by liquidating, which in hindsight was a very poor timing.

	▲	dgacmu 3 days ago \| parent \| next [-]
		The job of the trustee of a bankrupt company is not to commit further fraud by gambling with the remaining funds.
	▲	triceratops 3 days ago \| parent \| prev \| next [-]
		> hindsight If the liquidators had perfect hindsight, they'd be trading their own money. Not cleaning up other people's messes. Their job is to be responsible and follow procedure.
	▲	ealexhudson 3 days ago \| parent \| prev [-]
		Sure, but would we really want to tell liquidators to manage assets for best eventual return rather than just convert everything to cash? In this instance, in hindsight, sure - you'd want the other thing, you want the bitcoin not the cash. But this feels like the exception that proves the rule.