Weird that people are only focusing on whether or not the consumers justifiably lost their money.
What about the blatant fraud? Yotta was being fradulent by saying their funds were FDIC insured, and I have a really hard time believing that synapse wasn't involved in fraud/embezzlement. Keeping records was their only job and they didn't do it at all.
At the very minimum they told their customers (yotta ) they said they would keep track of the money and they didn't. That feels pretty clear to me.
People don't "deserve" to be lied to. No one "deserves" to have their money stolen. That's the kind of thing rapists say about people they rape.
Also
Fraud is bad. Technically not fraud doesn't buy you any good boy points, it just keeps you from losing lawsuits.
Whether or not the consumers "should have known" is pretty irrelevant to whether or not people got scammed. But if that makes everyone feel better about the high amount of scaming that goes on in SV, then do what you are going to do.
And to add, if any customer funds are gone that’s also theft on top of the fraud. It may be hard to figure out who is owed what, but the money should not be gone.
What about the blatant fraud? Yotta was being fradulent by saying their funds were FDIC insured, and I have a really hard time believing that synapse wasn't involved in fraud/embezzlement. Keeping records was their only job and they didn't do it at all.
At the very minimum they told their customers (yotta ) they said they would keep track of the money and they didn't. That feels pretty clear to me.
People don't "deserve" to be lied to. No one "deserves" to have their money stolen. That's the kind of thing rapists say about people they rape.
Also
Fraud is bad. Technically not fraud doesn't buy you any good boy points, it just keeps you from losing lawsuits.
Whether or not the consumers "should have known" is pretty irrelevant to whether or not people got scammed. But if that makes everyone feel better about the high amount of scaming that goes on in SV, then do what you are going to do.
/rant