Why does everyone bang on about how it is not trad finance and it shouldnt be regulated, tell you all about how they are genius tier traders who make tons of money BUT its the governments fault they lost it all for not regulating their unregulated financial "investments" hard enough.
Yes. That's the flip side of the "no government interference" coin.
SBF is an American, FTX US was an American company and for sure at some point he touched US dollars from American entities, uh oh, the guy's going to jail.
Also there's the VC funding, which presumably was mainly USD. Though not many people probably care about their losses.
My point here isn't about whether or not I think crypto should be regulated. My point is if crypto is going to be regulated, shouldn't regulators be able to sniff out a bad actor? Imagine if Madoff had started working with the SEC to help consult on policy. Wouldn't people have been upset with the SEC when he went bust since he was rubbing shoulders with them?
He was rubbing shoulders with many of the financial regulators including the SEC and people were pretty upset about it.
You might expect him to have many contacts with SEC personnel during this period. Building his image along the way.
If you traded it on an offshore unregulated exchange, dont cry that it is unregulated.