Uh, coffee Zilla The mic is yours man. Hey, thanks for having me. um I Just wanted to quickly ask. So there's this big question about this eight billion dollars that went into some kind of a stub account.

if I just want to get some clarification on this. From my understanding, what you're basically claiming is is that back when FTX didn't have banking, you'd use Silvergate through to have people to wire money to Alameda research and then credit them on the FTX side. but you didn't actually account for that money going back to them. So essentially you had like eight billion dollars coming to FTX you didn't have on the book.

Technically I mean how can you explain more how that worked? Because it seems like such a key part of this whole thing. and so far we've gotten like very vague things about stub accounts. just try to be as specific as you can on how that actually happened. So um, I So and again, some of these are things I'm trying to piece together that I don't have the full answer to.

but um, uh, but I think that part of it was I believe that there was, um, you know, uh, correct. FTX accounting. um in terms of you know, the audit financials. Um, but um I but that at least I can say that when you sort of pulled up um, you know on a dashboard what? uh what? You know the accounts look like um, uh, it would not have I it wouldn't have uh displayed.

Um, you know those transfers and it wouldn't have displayed the balances related to those. Uh, Which meant that it was, um, that the sort of what you would naively see as the relevant um, uh, you know it's the relevant uh, sort of position size was quite a bit smaller than what the full position size was. eyes. Specifically, you're talking about the funds that went into Alameda that was credited to Ft on on the customer side on FTX You're saying you're saying that basically when you looked at your dashboard Alameda was using those funds to trade Perhaps, but that ultimately you couldn't see that on the Alameda side because there was some kind of an accounting problem where there was a mix up with where it was credited.

Is that the story? Yeah, it's something roughly like that. or at the very least, that the the dis the the common displays of it did not. Um, did not, just did not include that piece of the accounting. A real quick second follow-up Um, so I've talked to a few Alameda insiders and I've kind of run them by your uh story of things I think you probably are aware I'm pretty skeptical.

Um, and they one of them when I told them like sort of like, could it be that Sam wouldn't know about this somebody who worked with you and they actually like they laughed and they said there's no way he's like he's like claiming to be stupid now when he was like this genius Wonder kid and so my sense of things is, How do you explain this? How do you explain the fact that you're some of some of the people who worked with you? For years, your employees have come out and said there's no way he didn't know about these back doors. There's no way he didn't know what Caroline was doing when you guys were very close. the office is we're right next to each other I mean how do you expect us to believe this story you're spinning I mean I I don't know what to say like I I had a lot going on um and I was spread thin I was a bit less grounded than I had been before um and I lost track of a lot of important things so wild. hey, hang on one second.

I think spread thin is one thing right? Like I think you know things can get out of hand. but we're talking about a fundamental understanding of whether Alameda was co-mingling funds with. FTX I mean I saw your Stephanopoulos and Sorkin interview and you're pretty categorical that you had no idea that you were mingling fun. So that's what I'm asking about.

Not like did you know exactly what was happening on November 7th or 8th I mean I can understand sort of things getting out of control, but we're talking about the most fundamental grasp on how your business worked. You're telling us you had no idea I was not aware of a lot of what was going on, you know, was not spending much time uh and on uh. looking at you know, position risk management it was a big mistake. I I Don't know who said uh, like oh I Believe you have like good intentions here SPF has only one intention which is to save himself from jail.

Let's all, uh, keep an eye on that because any if you want to read into his statements, everything is said with the idea that he's trying to paint a narrative of himself, that he made an embarrassing mistake that although he's this genius um, who went to these top tier Ivy League schools worked on Jane Street Wooed everybody from Black Rock to Sequoia All of a sudden he's an idiot the second he's committed fraud, right? We're supposed to believe he didn't know what was going on on the company he started and ran for years. We're supposed to believe he didn't know what was going on right across the street. I mean how stupid do we have to believe be to be believe a narrative like that? It's completely insane. But people are like kissing his ass saying oh, I believe you're doing the right thing.

No, he's done enough. He's helped enough, He needs to take a sideline, he needs to go to jail, and people need to get whatever pennies they're going to get back from this whole thing. He's lied from the very beginning I'm like shocked by the credulity people have in relation to this guy. They just like suck up whatever he's saying.

Nearly everything out of this guy's mouth is a lie except where it lines up with him not going to jail and then he might tell the truth. But every single thing he says is with the aim of not going to jail and everyone needs to remember that some spicy stuff you got right there. Sam Bateman free doing a little bit of a Twitter panel.