The FTX debacle reminds me of the Dot Com Bubble. Where people were getting IPOs with a business plan written on a single sheet of paper. No due diligence was done for many of these companies. the SEC got vast sums of money in filing fees. The market was insane. I saw stocks go on the market at $45. a share and by the end of the day they were at $700 or more; this happened numerous times.
Now VCs and other major players were investing in the company with little to no due diligence. Everyone who did not liquidate their holding before the Binance tweets lost everything. It was a great Ponzi scheme that put tens of millions of dollars in political donations on both sides of the aisle. I doubt SBF or anyone involved will be prosecuted, and if they are they will not get jail time.
Mad Maxine Waters running an investigation into FTX is going to find he had no intent of breaking the law, so we should just mark it up to bad judgement on his part. He is a real nice gut and we should not ruin his life. We should forget about all the people who lost their life's savings in his criminal scheme