Posted on 12/18/2022 9:22:35 AM PST by Kaiser8408a
One of the great ironies of the Sam Bankman-Fried debacle is that while SBF was a generous donor to Democrats (and a few RINOs) and President Biden, it was Biden’s green energy policies that were part of the nail in SBF’s crypto empire. As inflation exploded upon Biden taking office (and massive overspending by Congress), The Federal Reserve jumped in to cool inflation leading to the downfall of cryptos in terms of price.
M2 Money YoY (green line) shows the massive growth money with the Covid economic shutdowns in 2020. Cryptos skyrocketed after that much money was printed by The Fed. Cryptos fell shortly after peaking in April/May 2021, then peaked again in a horrific display of asset volatility in October/November 2021.
The risk management question is … how did SBF and Alameda Research’s Caroline Ellison didn’t notice the relationshop between crypto prices and changing Federal Reserve monetary policy? Even worse, why didn’t investors ask questions?
SBF donated a huge amount to the midterm elections, the party that went along with Biden’s war on fossil fuels. Then inflation ensued as energy and food prices skyrocketed, leading The Federal Reserve to fight inflation by removing the monetary punchbowl. So, in a sense, SBF donations led to his own collapse.
Apparently, SBF, Caroline Ellison and the other FTXers were engaged in orgies and not paying attention to the impact of inflation and Fed policies on cryptos.
Lastly, how did Gary Genslar and the SEC not see any of this? In the same way that Fed Chair Ben Bernanke didn’t see the financial crisis as it was rapidly unfolding: eyes wide shut.
I read that Nicole Kidman underwent psychiatric treatment after filming “Eyes Wide Shut.” I saw it and bored out of my mind.
(Excerpt) Read more at confoundedinterest.net ...
ALL DEMOCRATS ARE DESTROYING AMERICA!!
Not so much the Democrats as the oligarchs behind the Democrats (and Republicans).
Oligarchs who are also weaponizing street thugs, druggies, welfare queens, migrants, etc.
“absence of risk management”
Ovaltine is good for that
Paging George Costanza.
Is it true that FTX had no Accounting Department?
That is so incredible as to be nearly unbelievable.
It seems to me that, if true, it would be substantial proof of intent to defraud (i.e. Gross negligence). Or worse.
Can you even imagine: What were his law professor parents thinking?
This is suggestive of the Heaven’s Gate Cult in some ways.
“We are leaving on a rocket and never looking back.”
Of course the Deep State is going to work hard to protect itself from any outsiders seeing how deeply it was involved.
What was everyone involved in this thinking?
It’s beyond bizarre.
And what will change?
They’ll “burn” one semi retarded guy at the stake.
Zero chance he did this alone…zero.
Curious! Where do you get SBF being semi-retarded?
I assume that’s who you mean.
Right now, Binance, the other crypto exchange house is facing major withdrawals.
I think, it will go down pretty soon!
More like Asperger’s or something like that.
He seems socially retarded.
Would you trust him with your money?
He isn’t charming, he says the wrong things.
He loses $32 billion, stays where he can be extradited, and before that kept running his mouth on tv.
I wonder why he made all his donations in $$, and not crypto.
Asperger I can see that!
Why would people do it? Why do “money people” do anything?
Greed! And the shiny new toy - cryptocurrency that will make you super super rich!
Only the weird smart guy understands it! His weirdness helps make the argument!
It supercharges the greed!
It always blows up, but they’re probably cashed out by then.
The reason there was no accounting is that he could hide money, which he has done. His parents probably have most of it, in gold, silver, diamonds, etc. Now he will take his medicine, get out early for good behavior and be very rich for the rest of his life.
No doubt!
The company was using Quick Books. It reminded me of Obama’s Treasury Secrerary, Timothy Geithner, blaming his tax fraud on Turbo Tax, lol.
Seems the Secretary was sound asleep for two years or was well paid off to look the other way.
Sam Bankman-Fried was the front of a money laundering operation.
When Binance goes down (and it will, maybe soon) there will be a major impact on the world economy.
Too many venture capital firms that should have known better may get taken down with it.
Bitcoin, blockchain etal are ultimately based on the integrity of the human beings that create, monitor, trade and leverage them.
In other words they are toxic waste!
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