21 pointsby jxmorris1211 hours ago11 comments
  • glerk10 hours ago
    > whistleblower

    This is… an interesting spin.

    • mingus8810 hours ago
      Yeah, cooperative testimony after the fact does not a whistleblower make

      > She has agreed to a 10-year ban from holding executive roles in public or crypto companies.

      Yeah, I don’t think this will be hard for her. Anyone involved in FTX is radioactive. Whoever negotiated this for her as a concession is brilliant.

    • Aurornis10 hours ago
      I’ve never seen invezz.com before, but this whole article feels oddly favorable to Caroline Ellison
      • fruitworks10 hours ago
        the pic they use also seems AI generated
  • runjake10 hours ago
    The image header appears to be an AI-generated and certainly doesn't look like Ellison, despite the image's name.

    It doesn't bode well for the rest of the article.

    • pants29 hours ago
      Yep, aside from the fact that photography isn't allowed in US Federal Court, the most obvious sign is that she and the microphone are facing away from the judge - the positioning makes no sense.

      That's the classic AI photo issue where "man looking at the moon" is a man looking at the camera with the moon behind him.

      • achille8 hours ago
        I ran some analysis on the source image — this is almost certainly AI-generated. In addition to the visual markers others noted (no photography in federal court, nonsensical positioning), here's what comes up in the original image:

          Filename: ..._simple_compose_01kdcxamjmekery2m9tay43szn.png
            - "simple_compose" + LSB common (e.g ideogram) output 
        
          Resolution: 1536x1024
            - Exact native output of GPT-image-1, Gemini/Imagen, Flux models
        
          PNG encoder fingerprint: 0x78 0xDA | single IDAT | 94.7% Average filter
            - Matches PIL/Pillow with optimize=True
        
          Steganographic watermark:
            - LSB entropy: 3.0/3.0 (maximum)
            - Bits 0-3 of RGB channels filled with encrypted payload
            - ~1.77 MB of pseudorandom data embedded
        • dfajgljsldkjag7 hours ago
          Thanks for letting us know what your chatgpt told you
          • achille7 hours ago
            The analysis and tools were most definitely ai-aided, but this was done with homegrown forensics tooling, and about an hour of labor that involved cc, gemini (to check for synthid), chatgpt + a lot more. I also signed up for ideogram and generated more images to try and replicate the output: - e.g: https://ideogram.ai/g/fcqp-qTlQV-moS-OuhebhQ/1 (although I refused to pay for ideogram so I could not get a png output, only jpg)
      • tim3336 hours ago
        She also looks a bit better than in real life. Compare with Daily Mail version https://www.dailymail.co.uk/news/article-15416669/Sam-Bankma...
    • mingus889 hours ago
      Could be, but I’m sure the past few years have aged her pretty severely. She’s 31 now and the later ones are city miles.
  • chollida110 hours ago
    > She has agreed to a 10-year ban from holding executive roles in public or crypto companies.

    Judging by how Alemeda research was provided with as much money as they wanted with zero interest rate attached and she still ran the company into the ground, I don't think the ban will hurt her too much.

    This really goes to show that most hedge funds are successful because of the infrastructure built around them rather than the people.

    You need both to be successful, but good systems and infrastructure trump good people most of the time. RenTech is the best example of this.

    No one is going to trust her to run a Baskin Robbins, much less put her in a role with any responsibility now.

    • kirubakaran10 hours ago
      > No one is going to trust her to ...

      I wish I had your optimism:

      > Adam Neumann’s Flow raises over $100M at $2.5B valuation Backed by a16z, the ex-WeWork CEO's real estate platform targets global expansion. (2025)

      https://www.calcalistech.com/ctechnews/article/h1uevrw1xe

      • JumpCrisscross9 hours ago
        I feel like it’s still debatable whether Neumann committed fraud or stupidity. Bankman-Fried, on the other hand, cooked the books.
    • daft_pink9 hours ago
      I feel like in Crypto world, they value how high you were able to get the plane flying and don’t care if you crashed and burned in the end.
      • inhumantsar2 hours ago
        not all that different from the VC funded startup world then
    • dheera10 hours ago
      > She has agreed to a 10-year ban from holding executive roles in public or crypto companies.

      So you can hold an executive role in a wholly owned private subsidiary of a public company, or hold a role in a Cayman Island company instead of a US company and have the Cayman entity buy the US entity. Rules like this don't actually do anything.

  • tptacek10 hours ago
    She was a model cooperator and was sentenced only to 2 years, so this isn't a surprising outcome.
    • rasz10 hours ago
      But she was never a whistleblower. Whistleblower is someone who goes to feds, not someone forced in court to cooperate.
      • tptacek10 hours ago
        No, of course not; she was a felon, and was convicted of felonies and sentenced to federal prison.
        • michaelt9 hours ago
          Once again proving that stealing $20 carries a longer sentence than white collar criminals stealing $200,000,000.
          • JumpCrisscross9 hours ago
            > proving that stealing $20 carries a longer sentence than white collar criminals stealing $200,000,000

            Who has been prosecuted for stealing $20?

          • tptacek9 hours ago
            It in fact does not.
            • allyouseed9 hours ago
              It in fact does, but this fact appears outside your sphere of interest in defending.

              > suspected that Floyd had used a counterfeit $20 bill

              https://en.wikipedia.org/wiki/George_Floyd#Murder

              • tptacek9 hours ago
                Floyd was never charged, let alone convicted, for stealing $20, and we're talking about federal crimes here.
                • allyouseed9 hours ago
                  Polish that turd all you want.

                  Why you want to remains a mystery to me.

                • lowmagnet8 hours ago
                  he was just murdered instead
    • skullone10 hours ago
      But it shows that there's really no penalties for the rich to commit billions in fraud
      • mikkupikku10 hours ago
        Bankman-Fried is doing 25 years in prison. That's the average prison sentence for murder. The message being sent is that you should turn on your partners in crime now and save yourself a lot of suffering in the long run.
        • jahnu10 hours ago
          I think people have no handle on what years and decades of life lost to prison means. The numbers are just abstract to them.
      • JumpCrisscross10 hours ago
        > it shows that there's really no penalties for the rich to commit billions in fraud

        She’s a felon, banned “from holding executive roles in public or crypto companies,” penniless and probably fighting lawsuits for the rest of her life.

      • amanaplanacanal10 hours ago
        Not as long as you are willing to roll on the other guy. This has always been the way.
      • ralph8410 hours ago
        It's more about who you defrauded. Bernie Madoff died in prison because he defrauded other rich people.
      • Rebelgecko10 hours ago
        As long as they have someone "worse" to snitch on
  • whycome10 hours ago
    Whistleblower?
  • hamonrye5 hours ago
    >outstanding liabilities
  • SilverElfin10 hours ago
    I don’t see her as any less guilty than Sam. If I recall, she directly was involved in the movement of people’s funds into Alameda - that was not something she got tricked into by some separate criminal mastermind. That’s her. Even if she cooperated, she should be serving 10+ years. Otherwise what’s the deterrent when you can mostly get away with large white collar crimes.

    While we’re at it, Musk should also face charges for related fraudulent claims about self driving, battery tech that went nowhere, robotaxis, and other things. But he likely won’t. In general, these crimes are treated far too leniently for the rich and connected.

    • bragr9 hours ago
      The counter argument is if you don't incentivize flipping enough, it is the prisoners' dilemma: the option of everyone keeping their mouth shut and potentially going free is too attractive compared to flipping.
      • NoToP8 hours ago
        Umm, I think you may have been misinformed what the Nash equilibrium is in the prisoners dilemma
  • zoklet-enjoyer10 hours ago
    >FTX fraudster Caroline Ellison set for early release next month

    Fixed it

  • constantcrying10 hours ago
    It is just so insane that the web is just full of 100% AI generated slop.

    The title image is AI and presumably the text is AI generated, this appears to be true for everything on that website. Just 100%, everything AI generated, likely zero human oversight and fully automated.

    And it even has auto translation which turns the whole page into literal nonsense, but surely looks good for SEO.

    • dfajgljsldkjag7 hours ago
      I don't know why nobody has figured out a way to block all this slop automatically. Instead we have to waste time flagging junk like this off the frontpage and sorting through it in the google results.

      Sites like this have literally zero value for all society and shouldn't exist let alone make money for the owners.

  • 10 hours ago
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  • draw_down10 hours ago
    [dead]