If I am perfectly honest I did had my doubts this day will come as the guy has donated too much money to important figures and he has probably the best lawyers that his money can afford him.

But at least this is a step on the right direction, as someone like him needs to face charges for what he did, still even if he is eventually found guilty from the charges that are brought against him this is not going to help people to recover all the money they lost, but at least it will bring them some justice.

It won't be easy to get full refunds to all customers after a bankruptcy occurs. Maybe customers will get refund partially for their capital on the collapsed exchange but I am sure they will not get a full one. The leftover of collapsed exchange does not have enough money to fully refund all users.

Even refund happens, it would take very long time, maybe take years. We have an example of Mt. Gox exchange and years after the CEO was arrested, a lot of lawsuits, until now, that case has still been ended and customers who have lost money on Mt. Gox have yet received any refund.

What funds? They were spending everything everywhere. Everyone will be lucky if they get a few pennies on the dollar. If there is even that much left.


For the most part he did not donate to people he donated to groups. And it's unclear how much money he has left.


Bank fraud, securities fraud, and a few others.

-Dave

When the Enron scam erupted, the next day the perpetrators are handcuffed.  But with FTX, it took a month, and was just arrested for trial.

I have some doubts that he is actually going to jail for this. He had paid politicians and his parents are with the people in the government. You can say, he is backed by a big crime family who had put DOJ inside thier pockets.

I think it's rather the opposite. Too many big creditors lost their money trusting Sam, and that played a big part in making the arrest decision so quickly. As much as Sam hopes and plans for a new business that could justify him in the future, he will have to dream while in prison for a significant time. At least, I really want to believe it.

the enron scam had total different timeline
so charging SBF within a month of allegations/bankruptcy is actually very quick response.. in comparison

but for comparisons..

enron
by the beginning of November 2001. That month Enron attempted to avoid disaster by agreeing to be acquired by Dynegy. However, weeks later Dynegy backed out of the deal. On December 2, 2001, Enron filed for Chapter 11 bankruptcy protection.

On July 7, 2004, Lay was indicted by a grand jury in Houston, Texas, for his role in the company's failure.

The trial of Kenneth Lay and Jeffrey Skilling commenced on January 30, 2006, in Houston.

On May 25, 2006, Lay was found guilty on six counts of conspiracy and fraud by the jury. In a separate bench trial, Judge Lake ruled that Lay was guilty of four additional counts of fraud and making false statements. Sentencing was scheduled for September 11, 2006, and rescheduled for October 23, 2006

The money is used to fund political parties on a donation basis^[1], so there is absolutely no return I think. lol
Anyway I wonder if there are some people who didn't expect this arrest especially FTT token holders, however the next crash is imminent.

1. https://www.theguardian.com/technology/2022/nov/30/ftx-billionaire-sam-bankman-fried-dark-money-republicans

If explained, there are many violations committed by the SBF. He uses user assets for investment and trading without thinking of a clear strategy going forward, fraud under the guise of crypto investment, conspiracy, wire fraud, money laundering, and few others. But it seems that he has hired a lawyer who is quite competent in cases like this, moreover we know that the parents of SBF are quite well-known figures in Stanford and the government, they certainly will not let their child get caught in a criminal case and as best they can they will pass the SBF of all the charges against him with the resources at their disposal.

It seems that SBF's case will be quite long and if we expect him to be charged with the maximum penalty, the chances of that happening are quite small.

This is truly a piece of good news, but never the news that would give justice to the victims of SBF's fraud. The perpetrator might be tried and jailed for so long for all I care, but will it bring back the money that has gone? The real justice is when this money is given back to those who invested with FTX, but I know that would not happen.

I hope more regulations could be put in place among the centralized exchange since they are within the reach of the world government. This is another justice that could be served to avoid the repetition of this ugly event!