“On behalf of everyone here and the public, thank you for engaging in a time of truth, when I know you have not been advised not to. Thank you very much.” These are the words that Andrew Ross Sorkin, Columnist and Editor-at-Large at the New York Times, said to renowned criminal and fugitive Sam Bankman-Fried,
It's still completely bonkers that the media cannot get a grip on a very simple set of facts: A manipulative manchild used unregulated internet coins to convince everyone he was very rich, leading them to give him their money, which he then gambled away in a second company in secret in an attempt to legitimize his fraud through "investment returns" that were impossible to achieve. If this isn't Ponzi, I don't know what is.
Everything you write is a giant breath of fresh air. It never ceases to amaze me how all those graduates of elite universities who work for prestige publications are so quick to fall for the latest business scam. I still remember when you couldn’t go a day without reading 10 articles about now Enron was not only the greatest company that ever existed, it was the greatest company that could ever exist. Until Theranos was.
Thanks for pointing out naked emperors when you see them!
When you’re starting from the belief that you can earn greatly outsized returns investing in a thing that doesn’t produce any goods or services, isn’t subject to regulatory oversight, and provides zero transparency, then it’s not too big of a leap to accept that there’s some boy genius at the center of it all who has “got it all figured out’, even if said boy has little to no real world experience to connect any dots in the story.
I’m sadly not particularly surprised about what SBF and the media have been doing since the FTX collapse, surreal though it is. It makes perfect sense when viewed as a continuation of the collective delusion that is crypto.
It’s funny. Bankman-Fried and others like him present themselves as a master of the universe, a protean genus in total control of their environment existing far above normal mortals. Then the indictments come and suddenly they are too stupid to find their reserved parking space.
I’ve lost count of the number of times a CEO who was getting millions suddenly had no idea what is going on their company or even how the business works.
The connection this piece helped me make which I hadn't made before is that the true value of crypto isn't zero because it serves a function - it provides a venue for fraudsters, shysters and con-artists to conduct their fraud. It's not a minor service that's being provided to those fraudsters, because they are legislated out of existence everywhere the government can manage it. So a venue where they can not only rip people off, but where there are no distractions like actual goods and services, is a rare and precious thing.
Ed, you rant on about the deficiencies of the crypto industry and need for regulation. Regardless of the fact that the "industry" is divided on regulation and whether a giant ponzi or not, the other fact is that it is up to the SEC, CFTC, and largely Gary Gensler to provide the much needed regulation.....not the industry players. Where is it? So far they have done little regarding Mr. Bankman Fraud. I'd love to see you tear into the shortcomings of Mr. Gensler and his colleagues in not doing anything other than fining Kim Kardashian or suing mostly irrelevant crypto tokens for their limited transgressions due to lack of regulation. Please expose Mr. Gensler's lack of effectiveness and seeming complicity in FTX with the same fervor you apply to crypto in general.
The other narrative that web3 people are desperately trying to manifest is something like this wouldn’t happen if it were decentralized. It seems to ignore pretty much the entire site of https://web3isgoinggreat.com to make its point.
Agree with all that you say. Especially how you so well point out that the new york times rag is in sbf's back pocket. I don't think the excessive donations will keep him out of the joint, but they have bought him a sleigh ride from the extreme left, that's for sure. Sorry, don't think the times is moderate.
It's still completely bonkers that the media cannot get a grip on a very simple set of facts: A manipulative manchild used unregulated internet coins to convince everyone he was very rich, leading them to give him their money, which he then gambled away in a second company in secret in an attempt to legitimize his fraud through "investment returns" that were impossible to achieve. If this isn't Ponzi, I don't know what is.
Everything you write is a giant breath of fresh air. It never ceases to amaze me how all those graduates of elite universities who work for prestige publications are so quick to fall for the latest business scam. I still remember when you couldn’t go a day without reading 10 articles about now Enron was not only the greatest company that ever existed, it was the greatest company that could ever exist. Until Theranos was.
Thanks for pointing out naked emperors when you see them!
When you’re starting from the belief that you can earn greatly outsized returns investing in a thing that doesn’t produce any goods or services, isn’t subject to regulatory oversight, and provides zero transparency, then it’s not too big of a leap to accept that there’s some boy genius at the center of it all who has “got it all figured out’, even if said boy has little to no real world experience to connect any dots in the story.
I’m sadly not particularly surprised about what SBF and the media have been doing since the FTX collapse, surreal though it is. It makes perfect sense when viewed as a continuation of the collective delusion that is crypto.
It’s funny. Bankman-Fried and others like him present themselves as a master of the universe, a protean genus in total control of their environment existing far above normal mortals. Then the indictments come and suddenly they are too stupid to find their reserved parking space.
I’ve lost count of the number of times a CEO who was getting millions suddenly had no idea what is going on their company or even how the business works.
Clearly it’s a good tactic.
The connection this piece helped me make which I hadn't made before is that the true value of crypto isn't zero because it serves a function - it provides a venue for fraudsters, shysters and con-artists to conduct their fraud. It's not a minor service that's being provided to those fraudsters, because they are legislated out of existence everywhere the government can manage it. So a venue where they can not only rip people off, but where there are no distractions like actual goods and services, is a rare and precious thing.
Aside from Wendy, everything about Billions sucks
Nothing gives me greater pleasure than your disdain for various New York Times employees.
"I cannot think of a reason to both-sides one of the largest frauds in history"
You answered your own question in the first paragraph - Sorokin writes for the NYT. QED.
Ed, you rant on about the deficiencies of the crypto industry and need for regulation. Regardless of the fact that the "industry" is divided on regulation and whether a giant ponzi or not, the other fact is that it is up to the SEC, CFTC, and largely Gary Gensler to provide the much needed regulation.....not the industry players. Where is it? So far they have done little regarding Mr. Bankman Fraud. I'd love to see you tear into the shortcomings of Mr. Gensler and his colleagues in not doing anything other than fining Kim Kardashian or suing mostly irrelevant crypto tokens for their limited transgressions due to lack of regulation. Please expose Mr. Gensler's lack of effectiveness and seeming complicity in FTX with the same fervor you apply to crypto in general.
The other narrative that web3 people are desperately trying to manifest is something like this wouldn’t happen if it were decentralized. It seems to ignore pretty much the entire site of https://web3isgoinggreat.com to make its point.
Here’s a good example: https://avc.com/2022/11/taking-a-long-term-view-of-web3/
Agree with all that you say. Especially how you so well point out that the new york times rag is in sbf's back pocket. I don't think the excessive donations will keep him out of the joint, but they have bought him a sleigh ride from the extreme left, that's for sure. Sorry, don't think the times is moderate.
What do you make of Coffezilla's brief interview with SBF? https://www.youtube.com/watch?v=AfmBdKoqq1o&t=1247s
Just wait for the movie and six-part documentary. The media industrial complex needs to burn down.