Topic: When will Sam Bankman-Fried go to jail? - page 13. (Read 2439 times)

Even if he does end up serving some kind of jail time, it will be with the maximum comfort, maximum freedom to do things remotely, that money and influence has already bought and paid for. He might even prefer the security it'll afford him from vengeful creditors...


Probably quite fair summary of what needs to be legally determined, but there is also the non-philosophical question of whether he carried out all activities with his company's money above board. As CEO, did he actually have full power to use budgets and finances as he did, or were the entire board complicit, etc.

He may (will) get away with what he did with customers, or end up paying a trifle for their suffering. It's the big suits and whether he also lost their money is what will be his worry (as pointed out above what Holmes also found out).

Mismanagement of funds is a straight up scam, using user funds to purchase homes for advisors and employees. Last October FTX raised $420 million and SBF took $300 million for his personal use and you still cannot have an opinion regarding a dumb paper billionaire  .

Not long ago SBF offered Elon Musk $2 billion liquid when he was planning to take over Twitter and now he filed for Chapter 11 bankruptcy and not Chapter 7  .

Their exchange wallets are compromised all of a sudden and millions of dollars worth of coins vanished

People from Bahama were able to withdraw even when they disabled the rest to escape from the regulators in Bahamas and now they tweet that Bahamian withdrawals were illegal and asking exchanges to return those funds.

Do Kwon mess up is a different one, he launched a shit coins created hype, withdraw millions of dollars and then his fairy coin failed miserably and it was doomed from the start because of the stupid algorithm based stable currency. SBF might not go to jail like all the other bankers because he is one of the biggest donor to Dems this election .

I do not think he is going to face any jail time, he is simply too well connected and probably has bought a lot of favors from some of the most powerful people he could find, now it may seem impossible for this to happen as it would be too obvious but when they have so much power it is easy to create a completely new story in which he was just a CEO in name but did not took any of the important decisions and put the blame on someone else, then pay those people a lot of money to spend some years in jail and that will be it.

SBF has powerful people behind him, let alone his mother.  Besides he is spending millions of dollars of FTX clients money just to have a good term with "powerful" people.  So instead I believe some one will be jailed in SBF's stead.  They will definitely look for a fall guy unless the evidence is strong enough to make this backer back - off.

It's always a doomsday for those that don't have that much crypto as they're just telling what they want us to feel. But we know deep inside ourselves that whenever there's a down in the market, we tend to think that it will eventually recover and go up.

At least there's justice if he's going to be put in jail. Many are waiting for that to happen but the guy seems to have a lot of connections and the authorities can't even have his arrest.

philosophical questions
1. were they stolen in november.. or the very minute a customer deposited(when they decided they no longer wanted to own coin)

2. was the deposit a contractual agreed management custodial service or a simple relinquishing of ownership by the customer by agreeing to just give coins away to a business out of generosity(like a donation)

in real estate. if someone buys an apartment in full they have legal rights as owners no matter who has a door key. if they employ a maintenance guy to be given keys (a custodian 'super' to manage the utility/maintenance/services of the property) does that mean the custodian then owns the property.. answer here is no

but in crypto. a custodian does put terms into the exchange user agreement where by the property becomes owned by the exchange
and by having the only key control of funds a customer has no access to regain possession

so regulators have to work out. did scam bankman fraud legally get given coin (as pseudo-donation) to SBF's retirement home.. or did SBF steal users funds.

I would be kinda surprised if he actually ends up paying time behind bars, this is the type of widespread white collar crimes that tends to go unchecked and unpunished.
By the way, remember the Theranos scam?  Elizabeth Holmes just got sentenced to 11 years in prison after years of trial and I assume it is only because she dared to mess around with the money and reputation of the powerful and rich. As far as I know those normal people who suffered a misdiagnosis because her faulty machines never got justice.

---

I thought Do Know was actively on the run, though?

The problem is also with the honest people, why do they trust the exchanges so much, and why do they hold all their funds there. Exchanges are for buying/selling not for holding.

It would seem that the rich do not go to jail, no matter how much money they steal as long as they are not stealing from the government. The CEO of the Luna scam obviously did not go to jail. He might be in hiding but if the government really wanted to put him in jail, they would have found him already. Same goes for Bankman. Either he was working together with the government or he paid off the government and is now enjoying life somewhere on some island.

Justice will obviously not reach him.

The only punishment he will receive is if the people he stole from decided to inflict mob justice on him. But the world has turned so soft, I doubt anyone will want to do that. Its a great age to be a scammer.

I hope he and some more people will be jailed soon and stay there until BTC reaches 350.000 USD.

Dude's not going to be jailed. He's got a lot of deep-rooted connections in the gov't. Although he's directly responsible for people losing a lot of money, they will find a way to bail him out and continue being a puppy that will play ball with his connections. He's not in it when all is going to shit, although he was there when things are starting to get a little messy. I'll be surprised if he even gets a few months jail time, but I really doubt it.

Did you personally lose confidence in bitcoin after what happened? I don't think this will restore market confidence but it will bring hope to those who lost money. Hope that they can still recover a portion of their funds after everything has been liquidated. I doubt price would surge based on news of his arrest or conviction.

AFAIK Bankman-Fried left the train at the right moment and is unlikely to be held accountable for the bankruptcy/scam of FTX. I didn't dive deep enough into the story to figure out whether it was mismanagement of funds or a scam, though, so I don't really have an opinion on that. I am sorry for those who lost their money, and I hope selling assets and reimbursing the victims will be forced upon FTX soon enough. I don't think people will get everything back, but maybe at least a sizeable part.
The FTX crash gave an additional hit to an already bearish market, but it's nothing unfixable when it comes to Bitcoin's price. I think Bitcoin can recover from this till the end of the year (I mean, from FTX and get to the $20k barrier), unless another major event like this one happens before then.

1."losing value"??
a. forget the market price. its a meaningless number moving up and down. its only important to anyone at the excact moment they want to buy or sell.. when they are just hoarding that number is not affecting them personally
b. value is not found as being the market price. value is a number that sits below the periodic lows (it sits outside the market price chart)
that low for the last 3 years has been
2020 3k   2021 $10k and 2022 $15k
value has been on a slow constant rise.

2. "doomsday for cryptos"
this does not mean bitcoin. its means for BUSINESSES and centralised things in the crypto space. exchanges will come and go. market prices will wiggle, the wind will blow, the earth will orbit the sun...

now on to the main topic
there are 2 directions.. legal and lawful
they have to investigate if he legally used all tax/money legislation to legally avoid tax/liability/losses.
if he is found that instead of legally avoiding, and instead illegally evading. then it can  be a fine/court order to repay.. or
separate case..  move to criminal acts of if the deposits/control of assets were lawfully in 'scam bankman frauds' ownership(his to do as he pleases). or as customers credit/property

yep some businesses can put stipulations into TOS/user agreements that pretty much say once you deposit the coins, value is no longer the customers and its up to the business to decide how it treats its customers. and if customers use the service/sign up they agree to the risk of losing it all where the exchange is not liable.

if its deemed the coins were of customer credit. where there is no user agreement to allow 'scam bankman fraud' to fractional reserve or move assets to somewhere that users can never withdraw/recover. then it can become criminal

advice to everyone:
if your going to use a custodian/exchange. ALWAYS ready the terms of service/user agreement to see how ethical they are before handing them your coins, even if you intend to only use them short term

That's where all his donations and connections come in. We'll see if politicians will treat him like a hot potato, throwing him from one hands onto the other until finally it cools down enough to be handled, or if the money were able to actually buy him some favors. His parents are lawyers, so if it all fails at least he'll have the best defense for free.

Have you noticed how they're trying to paint him as a victim? A generous billionaire kid, a smart young guy who wanted to make a change but he was tricked by a bad man from China. All Sam was trying to do is give back to local businesses and politicians, save them all from bankruptcy and that bad Chinese competitor created a panic that destroyed our local American business.
The cleanup has already begun.

I don't think Sam will have a bad day. I think the market will continue to move horizontally for 6 months.BTC

It will be a miracle if he does any jail time, let alone spending many years in prison. After all, he didn't sponsor both Democrats and Republicans for no reason.

My BTC savings have lost much value this month, and I know why. We all know. It's the FTX's debacle. Some say it's doomsday for cryptos, but it isn't. There's nothing wrong with BTC. What's wrong is that one crook has stolen honest people's money to make shady investments.

There's only one solution to restore people's confidence. Put the bad guy in jail for a long, long time.