SBF Trial, Day 4: SBF's Lawyers Annoy Judge Kaplan, While Wang Reveals Alameda’s Special Privileges

This podcast episode delves into the special privileges enjoyed by Alameda Research on the FTX platform, which contributed to the exchange's collapse. These privileges, programmed into the code as early as 2019, enabled Alameda to have a negative balance, borrow from FTX without collateral, and evade liquidation. Alameda's preferential treatment, while concealed from the public and investors, eventually led to an $11 billion deficit at FTX, exacerbating the crisis. Bankman-Fried's directive to repay Alameda's lenders using FTX customer deposits further exemplified the interconnectedness and risks within the FTX ecosystem.