If a firm is incapable of scaling back a $3m/year AWS bill or even tracking whether or not millions of dollars’ worth of payments have arrived or not, what are the chances they have accurate tracking of their PnL, let alone a clear view of the state of their assets and liabilities at any given moment?

so that’s why their “balance sheet” was sooo badly done.

What did they submit to Bahamas regulators though? :thonk:

Autism Capital recently shared an account from an ex-FTX employee recounting how SBF encouraged extreme use of stimulants

Overall, it seems very likely that SBF’s propensity to take extreme levels of risk was elevated to preternaturally high levels via heavy, habitual usage of amphetamines and selegiline, causing him to rationalize nonsensical strategies as optimal via convoluted “linear wealth utility” reasoning.

:data-laughing:

The article mentions the “balance sheet” later:

One cannot help but wonder if this general deficit in intellectual ability is why the FTX balance sheet (provided by SBF earlier last week) is so farcically simplistic

Frankly, this can barely be considered a serious attempt at accounting. It is so absurd that one’s initial assumption is that it is some sort of insane attempt at the financial equivalent of “making up an answer when the teacher calls on you.” But what if this is actually reflective of the quality of his thought.