Hacker News Reader

Comment by shapefrog | Hacker News Reader

I take full responsibility for stealing $10 billion and am stepping down as CEO, it has been a long journey from me having nothing to this point. I am sorry to those that lost some or all of your money.

I will no longer take part in the company and will quietly fly away on my private jet to my $50 million home where I will contemplate my next venture.

View on HN

I'm not sure things will be that smooth for him. It sounds as though both DOJ and SEC are looking into this:

https://ustoday.news/both-the-doj-and-sec-are-investigating-...

Look at his connections, nothing of consequence will happen to him.

The context here is other CEOs stepping down after a fiasco, getting a massive severance check, saying they take "full responsibility". Compared to that SBF is massively screwed.

he's bankrupt and deeply in debt. Why would his "connections" stick their necks out for him? I don't know if having a dad teaching at Stanford gives you a free pass everywhere.

> he's bankrupt and deeply in debt.

is he? sounds like his various corporate frauds have destroyed a lot of companies and led to corporate bankruptcies, but what information is there about how much he scooped out before?

Well his hedge fund blew up which took down his exchange. Presumably he was broke a long time ago which is why he dipped into clients funds.

He stood to make a lot more from this working out than what the current situation permits.

The allegation is he moved money between companies to support his terrible “hedge” fund. Where have you seen anything at all about him not having a lot of personal money?

Because most of his wealth was in that very hedge fund, and presumably he invested every last personal dollar before declaring bankruptcy.

Or put another way, where have you seen anything at all about him having a lot of assets outside of the Alameda and FTX groups?

$500mil of robinhood stock, 25%+ of Anthony Scaramucci's $10bn hedge fund, and alegedly $250 mil of real estate in the bahamas etc.

Bloomberg Billionaires Index estimates that SBF has lost 100% of his net worth, all of which was in one way or another tied into Alameda/FTX-related firms (there was some invested in Robinhood, but it was used as collateral for Alameda-related loans.)

https://www.thestreet.com/investing/cryptocurrency/crypto-bi... (this covers the details, but isn’t paywalled.)

I wasn't aware of this before reading your comment. It looks like both of his parents actually teach at Stanford. His mother is Professor of Law:

https://en.wikipedia.org/wiki/Barbara_Fried

Depending on how fast the case moves, she may end up getting to teach a course that uses her son as an example of "what not to do".

I'm not sure how much trouble having parents at stanford gets you out of. Maybe he can get a good lawyer but losing 10B of client funds is going to have a lot of wealthy people quite upset with him. I'd imagine anyway.

Oh I completely agree. I don't think having two parents on the faculty at Stanford helps any more than having one parent on the faculty, which is to say probably not at all here. My comment was really just meant to be parenthetical to the OPs statement.

Do you believe that Bernie Maddoff lacked connections?

Reply on news.ycombinator.com