It’s not just investors. A number of FTX employees had much of their life savings “invested” in and on FTX. They had a huge (to them) financial risk on the line, plus access. The legal and compliance people seem not to have known, as evidenced by their mass resignations. They had huge (to them) reputational risk on the line, plus access. As far as we know, none of the invested employees nor the professionals detected the high risk of fraud.
It’s not just investors. A number of FTX employees had much of their life savings “invested” in and on FTX. They had a huge (to them) financial risk on the line, plus access. The legal and compliance people seem not to have known, as evidenced by their mass resignations. They had huge (to them) reputational risk on the line, plus access. As far as we know, none of the invested employees nor the professionals detected the high risk of fraud.