FRAUD IN CODE With FTX | Prime Reacts

[@SikadaSorel]

Showing my code at court would only play into my insanity defense.

[@conanstuart7904]

😂😂

[@lowwastehighmelanin]

💀

[@beneditomauroo]

😂😂

[@jesustyronechrist2330]

"As you can see, your honor: The defendant clearly is mentally unhinged. Why would they write a 1000 line React component with 4 nested JSX maps?"

[@abhishekchoudhari3207]

🤣🤣🤣

[@blancfilms]

My favourite quote was: "if you’re going to write code to do fraud, make it messy and unreadable to reduce the chances it’s later put in front of a jury as evidence." Top tier tip

[@XfStef]

So I'm good then :D

[@TheAcidFruitmanArt1]

So all fraud should be written in Perl

[@marketsmoto3180]

THIS IS WHY I'M WRITING MY NEXT UNICORN STARTUP IN BQN!!!! GOOD LUCK READING HIEROGLYPHICS!!

[@Andrew-wu1xd]

Oh so they weren't using Clean Code? This would have never been grokked or be grokkable by jury, just make it "Clean Code" :) 🥲🤮

[@Dekharen]

this is why banks use Cobol, and why my next banking platform will be done in Haskell. :D

[@mikapeltokorpi7671]

Not a prison nickname I would want: "Backdoor Wang".

[@TeslasMoustache419]

I would not want to be a cellmate. 😁

[@Jiftoo]

"Commit fraud" in the context of committing code which facilitates fraud is rather amusing to me.

[@_jaime.]

More like "fraudulent commit" 😂

[@robertm5855]

git commit -m “Fraud Begins Here”

[@irjensen]

git commit -m "added fraud"

[@clementdato6328]

git commit -m "fraud"

[@replicadse]

The lengths people go to to not have to write SQL but rather add a huge ORM and 30 lines of boilerplate for a simple select will never cease to impress me.

[@MsBukke]

At least ORMs are typesafe

[@Wurstfinger-rl1zi]

ORMs >>>

[@thewhitefalcon8539]

​@@MsBukkenothing in python is typesafe

[@ekfliu]

unfortunately the giant SQL statements in this stored procedure that was written 20 years ago by a guy retired don't work in this new cloud db we are migrating to. So forced to move everything to ORM by managers and now your db response time is 2 seconds instead of 2 ms.

[@martijnb3381]

This is so true! just turn a simple select query to a chained statement for some abstraction layer where you also can have bugs and inefficient query generation. Just write the simple select query !

[@theondono]

The true power of Lisp, no one will be able to explain how your code commits fraud to a bunch of normies

[@ea_naseer]

In Haskell, the fraud would be pure

[@vikramkrishnan6414]

APL

[@hypergraphic]

Rofl 😂

[@stevenhe3462]

Imagine explaining what macros are in front of court.

[@isodoubIet]

"Your honor, this here is a monad, which is a monoid in the category of endofunctors..."

[@Nil-js4bf]

AUSA: Is it a real number? Wang: Yes. AUSA: So it's a fake number? Wang: Yes. AUSA: What? Wang: It's a fake number that's an element of real numbers.

[@thewhitefalcon8539]

I knew i shouldn't have asked a mathematician

[@stevenhe3462]

It is also an integer. :D

[@kahnfatman]

Also an imaginary number with 0i

[@TalkingDonkeyz]

I’m scared my github code quality might be a crime in itself

[@robertluong3024]

"Explain this to the jury." "I'm too ashamed!! 😢"

[@russelllapua4904]

@@robertluong3024 "actually do you think they could explain it to me?"

[@beatnixnthings]

Came for the FTX rundown, stuck around for the "Backdoor Wang."

[@bigdum_bape]

Molly White is unfathomably based. She does excellent work.

[@AlexandraDeas]

The ultimate code review: a jury deciding if your code should have been added to the code base or not

[@bwestbro]

I've been cycling between Prime, Coffeezilla, and Patrick Boyle videos. My worlds are colliding.

[@judahmatende3769]

the algorithms are converging

[@ambuj.k]

I was watching this video on my second monitor and just glanced over to the chat and at around 12:10 , Someone comments "Imagine him explaining it in haskell". LMAO. W Twitch Chat.

[@zahash1045]

It's not every day that you see a software developer get arrested

[@thewhitefalcon8539]

Hans Reiser

[@asdfghyter]

@@thewhitefalcon8539 for their software development

[@nooalovern]

I'm so old, I didn't even realize people prefer ORM's nowdays. I personally raw dogged SQL for over a decade before trying "the best" ORM at the time some 7 years ago. It was difficult AF and performed like shit, so I ended up to raw doggin within the ORM. This was 7 years ago, so I suppose things have evolved since then.

[@emptystuff1593]

9:09 - ThePrimeTime "What's the other option here ?" Well, it could be a complex number xD.

[@Winnetou17]

Yes! I was searching for this. Or a rational number :))

[@kenneth_mata]

They were so smart that they overflowed their i64 brains

[@JGComments]

"Backdoor" Wang should get credit for time served after all this extra code review!

[@belogpolos]

Backdoor Wang is his official nickname, now.

[@T33K3SS3LCH3N]

So FTX gave customers huge credits to gamble with, and if those customers went bankrupt they just merged the customer accounts' hugely negative account balance with Alameda to keep these losses out of their own books? Then claimed that Alameda was not in the negative and would be liquidated from their system like any other account if they were, when it actually was WAY in the negative and had received a custom-made protection from the automated liquidatio system? While also claiming that they had an insurance fund that could easily cover their trading volume, but that fund was actually just a RANDOMLY GENERATED NUMBER that was hardcoded to always be a few thousand times above the trading volume? Wow.

[@cryptogenik]

Dude the RANDOM number in the code to show how much insurance they had and it BLEW my mind

[@sub-harmonik]

the reason you don't get the intern to do it is they have very little to lose if asked to snitch.

[@geob0324]

When your handle in prison is "Backdoor Wang," ...

[@wesleyoliveira6570]

7:12 Damn, he actually got pretty close he said 65536000000 wich is very close to the database value

[@inDefEE]

This is gonna sound really dumb but it is fascinating to me seeing banking and financial data being manipulated in code. Like I know that’s what is of course happening but the fact that my bank account balance is just a row in a MySQL table somewhere and it could easily be updated to $65B just cuz is kinda fun.

[@MrC0MPUT3R]

Before that it was just a number on a physical piece of paper, and (way) before that people just had verbal agreements. Credit is cray cray.

[@inDefEE]

@@MrC0MPUT3R that’s a good point. I guess in reality it’s just a note of how much the bank is in debt to me. It’s just fun to see it in code and recognize how stupidly easy it is to change those numbers from a technical standpoint. Just like how here it’s basically a boolean of “if alameda then do fraud”. Just really funny to me haha

[@GuyFromJupiter]

AUSA: "Is it a real number?" Wang: "No" AUSA: "So it's a fake number?" Wang: "No" AUSA: "What? How can it be neither real nor fake?" Wang: "It's complex"

[@ThePrimeTimeagen]

Backdoor wang strikes again

[@ranrubin2833]

I love the fact that they didn't draw a positive random number. They could have had bad luck and put out a negative sum in their insurance fund...

[@mintx1720]

All financial code has to be written in COBOL. That's called readable code.

[@stevenhe3462]

Yeah, found it weird that they didn't even use fixed-point math but used floats.

[@chrisvinciguerra4128]

@@stevenhe3462Well, it looks like they used Decimal(), which has arbitrary precision

[@GravitoRaize]

It's readable because we type it in ALL CAPS so people can better hear what we are saying. We should also use clearly understood English terms to "divide" our code like "IDENTIFICATION", "ENVIRONMENT", and "DATA"

[@monocledmanatee6355]

Oi, but that's different - that's CRYPTO! It's web3! It's AI... right? It's all other buzzwords! And COBOL is for all those boring centralized government fiat money!

[@noredine]

Lukewarm IQ is the funniest thing i heard today

[@ThePrimeTimeagen]

its the best argument ever

[@Play_Streams]

Let's appreciate how appropriate "Backdoor Wang" is.

[@kuhluhOG]

9:07 Doing this has actually a reason: It makes people nervous. And nervous people are way more likely to accidentally say the truth than people who aren't.

[@MrC0MPUT3R]

Idk why they didn't set the credit limit to the max of a 64-bit unsigned integer. If you're committing fraud why limit yourself?

[@br3nto]

7:15 tip #75: add fraudulent flags via one or more table joins

[@Suhov]

So now it way more clear why Rust got so much push in cryptoscams.

[@stevenhe3462]

Not a good one. Rust is also pretty readable in that regard. Unless they truly embrace proc macros and generics.

[@MichaelCampbell01]

That random number isn't from python, it's from numpy (eg: a library), and every language has some sort of stats library to do that.

[@dephonnelzy5536]

You: "Don't spam 'backdoor wang' in chat" Aldo you: *proceeds to spam it in video 20 plus more times* In all seriousness great vid man

[@Xeraga]

Sounds like there's now a business case to write your code in PHP.

[@katrinabryce]

Do a Perl one-liner surely? Then it will just look like line noise.

[@NithinJune]

molly white has had some great coverage lol

[@spicynoodle7419]

You are sentenced to 25 years of whiteboard code reviews

[@chillphil967]

11:30 in the comments “theGauge42: code review by jury is the newest Agile trend” 🤣💀💯

[@samjovii]

Tom Brady was also an FTX promoter. I believe he was paid $55M for doing just 20hrs of work with them. He took his money and bounced. Dude just knows how to win. A true Legend!

[@franzandr2152]

I'm not super knowledgeable about this, but wasn't Brady the one who was "friends" with SBF and believed in ftx (even got part of this 55 mil in ftx "coins")? And it was other celebrities who promoted ftx and withdraw their sum almost instantly (Shaq) or even did super bowl commercial where they not even once said that they "believed in ftx" (Larry David)

[@ChamplooMusashi]

ngl its your dumbass fault for taking endorsement from a football player as validation of a financial investment. you can say that sort of stuff for people who you have something to back it up, but yea that's on you if you take finance from football players

[@glidersuzuki5572]

If he did promote then he's not a legend. Just a selfish and scamy dude

[@ansalali7456]

11:33 that is a well constructed react component 😅

[@elsolem]

They OOPed all the evidence into existence... hilarious

[@bombadilo3686]

I don't know if it's worse to have a light theme or to code straight SQL without the SQL syntax in all caps

[@sergeyshandar]

BTW, generating normal distribution numbers is simple, just count `1` bits in a uniform distribution number.

[@nnm711]

Fraud as a Service.

[@ThePrimeTimeagen]

i think this is going to be a good silicon valley start model

[@isodoubIet]

Normal distribution in cpp: auto rng = std::default_random_engine(std::random_device{}()); auto x = std::normal_distribution(0, 1)(rng); ez-pz (if you care about statistical quality the above can be improved in various ways but it'll do for the illustration)

[@bary450]

you don't need the btw EDIT apparently you do need it to explicitly instantiate the template so that the integer constructor arguments get implicitly converted to floats. without the , compiler tries to instantiate normal distribution with integer fields and this makes some sfinae/concept checks fail as a sidenote, it's pretty funny how that specific thing is built into c++ standard library, whereas in python you need to import a library

[@isodoubIet]

@@bary450 Personally, I think about it this way: either I want the distribution result to be a double (for accuracy), a float (for perf), or to track the type of its arguments (e.g. in generic code). If I want specifically double or float, I'll purposefully write them in (except double is the default so is all I need). The "tracking" case is the only one where I'd consider using CTAD in this particular situation. I mean yeah technically I could write std::normal_distribution(0., 1.) but it's the same number of characters and those two easily missed periods are doing a lot of heavy lifting. More seriously, I could imagine someone making a change like std::normal_distribution(0.5, 1.5) -> std::normal_distribution(0, 1) and being confused when it doesn't work. Note, python _does_ have a random module in its standard library, all you need to do is import random x = random.normalvariate(mu=0, sigma=1) But chances are if you need random numbers you're already using numpy anyway, and with that you can generate random arrays of arbitrary shapes, which is much more convenient.

[@bary450]

@@isodoubIet yeah I first wrote that you could drop the , but of course that doesn't work for the example you gave so I edited the comment just to correct my mistake, sorry! also for the python part, I should've known (or checked) that they'd have that built in too haha

[@ryanleemartin7758]

"Backdoor Wang made the changes himself" bruh. lmao

[@ben97864]

def fraud(amount): embezzle(amount)

[@thegreatbambino3358]

I do believe that income tax is unconstiutional. Yes I know about the 16th amendment, but when they drafted the 16th they didn't properly figure out how to work with the 5th amendment. Lie on your taxes? Jail. Choose to take silence and not file taxes? Jail. The mere act of filing tax forms is effectively compelled testimony for which you have no right to refuse.

[@wyfyj]

Backdoor Wang. What a solid name. He should make a yt channel

[@PinakiGupta82Appu]

Code review by the accused. The jury is out.

[@KvapuJanjalia]

There is a non-zero probability that my GPG-signed Git commits will be reviewed at court someday. I hope "just following orders" defense is going to work.

[@thefrener794]

Every single fraudster is a clear legs.

[@daltonyon]

Damn it!! Let's make a movie about this history

[@hypergraphic]

How could someone so smart not see that this could not end well? Yeah, you may be making a lot of money for committing fraud, but why not be happy on a normal dev salary and do without the risk?

[@chpgmr1372]

because billions

[@guidodinello1369]

Yo that was not very... PYTHONIC

[@steamer2k319]

Yeah, even if you are familiar with Python, that syntax is a bit uglied.

[@Definesleepalt]

i swear if chat spammed "Backdoor Wang" i would of lost it

[@itsinphy]

"Caught by Python in 4K", meanwhile the JPEG looks like an Atari 2600 screenshot 🤣

[@bbsara0146]

imagine if they had to switch it to be a 32 bit number since they lost too much money to fit in the 16 bit field

[@porky1118]

10:15 Isn't normal distribution just as simple in every language? I just looked it up for Rust and already found a library.

[@FarSam25]

Thanks for streaming this please do more code reveal 🙌🙌

[@_stix]

code review under oath of perjury, i'll plead the fifth 😂

[@officialraylong]

Code reviews are fine. Just embrace the discomfort. It's fun!

[@tylermfdurden]

If people are going to prison for 5 years for stealing $50,000 then these guys should go to prison for like billions of years, right? How can you steal that much money and then "cooperate" and get off with an ankle bracelet living large in a stolen mansion?

[@diretnandomnan6060]

Backdoor Wang ... nahhh youre wild bruh😂😂

[@-xeL]

what did he eat @ 12:38? i'm dying :DDDD

[@porky1118]

4:30 Maybe you just shouldn't commit fraud. It should just be a local change on the system, which does the build, so it will be easy to revert it.

[@paintdry84]

this must be why jane street is using ocaml

[@codeman99-dev]

7:49 That is called "winning" LOL

[@user-krnujdp]

Makers get paid, yes. Makes sense imo if you want to want to encourage traders to keep liquidity available for taking on your platform.

[@jamesrussell-ui6gd]

"the real crime is on the else" hahaha

[@BigBahss]

12:38 what was that lmao, you picked something off of your mic and ate it?

[@ElderTitanOfficial]

Why is nobody talking about that? This should be the main discussion in this comment section.

[@BigBahss]

@@ElderTitanOfficial spread the word, #MicGunkGate is real

[@Whatthetrash]

I love Python (it's my favorite language). That's some of the most unreadable Python I've ever seen. Like, what in the world. >_

[@everynametaken]

It’s pretty readable and easy to me. What’s so wrong with it?

[@Entropy67]

Lol so silly, its almost like they didn't know that they were committing fraud 🤣

[@thewhitefalcon8539]

Probably didn't. Banks do allow negative balances under certain conditions. Very common. And FTX is a bank, even if Sam says it isn't.

[@seasn5553]

My code is enough for a jail sentence. I’d plead the 5th

[@diegolikescode]

Do you mean "Fraud as a Code"?

[@TheCanBakis]

11:02 we have to do Primogen anime finger spin gif

[@siveroo7493]

classic backdoor wang

[@CGunterPortfolio]

Pray for the regular Jane and Joe who lost all or most of their money and tried to their lives like my friend. burn in hell Sam and company!!!

[@EdwardDijk]

That's numberwang!

[@ez_krk]

**pretends to be shocked**

[@arturomarquez6898]

rnorm(1, mean=7500, sd=3000) in R, easy like in python

[@NuncNuncNuncNunc]

Hoist by their own Python

[@HoorayforOranges]

imagine sitting down and writing fraud

[@pdougall1]

I've wanted python expressiveness in a language I could imbed so many times! Like, I'll just compile a binary and execute it in my thing but... I ain't gonna write it in C

[@russelllapua4904]

Code reviews from a screenshot. God damn.

[@OMorningStar]

He wrote it in understandable code. No F-ing way. This way the one time: when committing fraud to write bad unreadable code, lmao.

[@noredine]

I can't believe people lied on the internet

[@sebsefyu]

Wait. FTX platform was written in Python? What? Best candidate would be Rust, Go or C. Etherium blockchain should be deprecated. There is already blockchain written in Rust, although it went down 5 times😂but is written by Russian so should be good long term!😁

[@chipredacted]

God I love me some raw SQL in the mornings

[@UrbanFury12]

If they weren't doing bad things with their customer's money would FTX still have been a viable business model?

[@bluehorizon9547]

Of course! But it is already covered by competitors I guess

[@thewhitefalcon8539]

Yes. You basically can't lose money running an exchange unless you get hacked. FTT token was also a fraud

[@Evilanious]

I guess not. If they had been able to pay back the money they loaned (loaned without informing the creditors) nobody would have noticed. I'm guessing they started stealing customer funds because they were spending or investing more than they could get through legitimate means. This could just be a big exit scam because this whole thing was collapsing anyway for a while. Or it was a gamble with other people's money that didn't pay off.

[@lashlarue7924]

No, and all of the previous comments are wrong, probably made by born-yesterday kids that don't understand anything about actual finance and economics. It is impossible to have a viable business model based around selling carnival ride tickets and Beanie Babies. That is what crypto "currencies" are: fungible fraud tokens. ALL OF THEM. "Oh, but my Buttcoins are not fraudy, they are kewl." You know not. Sovereign governments (the smart ones anyway, not El Salvador's moron president) will never give up the right to mint their own coin. It's a national security thing. Ask Greece how borrowing in a currency that it couldn't devalue worked out for it. Even the smart finance minister they got in the end was some delusional leftist kookwad who believed in quasi-religions millenarian victimhood mythologies. ALL crypto is worthless. Even toxic waste might be able to be turned into fuel one day. Crypto has no value whatsoever, and the central bankers of the world are neither about to give up their power nor turn a bunch of first-movers into rich men overnight at the expense of the public; they will just expropriate the technology and make their own "coin" and then pass a law that says you have to use theirs. Morons all of you.

[@michaelharrington6698]

If you are going to do a fraud, do it in C++ template meta programming

[@HrHaakon]

I mean, Java literally has Random#nextGaussian(), which doesn't seem unreasonably hard to me. I'm sure every other language has something approximately equally simple.

[@muhwyndham]

Good luck doing that in Go LOL.

[@HrHaakon]

@@muhwyndham Isn't Go supposed to be Java-but-easy?

[@muhwyndham]

@@HrHaakon who told you that lol. If anything, it's more like C with Garbage Collector

[@HrHaakon]

@@muhwyndham Just random people on the internet. But C + unicode actual strings + GC + lightweight threading sounds like a good combo tbh.

[@muhwyndham]

@@HrHaakon yep. And that's why I use it every day. Both for my work and personal project. It honestly sweet little language that can do. But I won't be disillusioned by its weaknes. Just like C sometimes complained for being too simple, Go is the same.

[@bbsara0146]

imagine if the judge commented on his use of an if statement inside the if statement.. super cringe

[@Kiba114]

caroline for sure is also guilty

[@_randombob]

Raw dogging squirrels

[@schneuler]

Yo why don't you do a video on Elm? Pretty cool alternative to React.

[@kesoBJJ]

BACKDOOR WANG! hahaha

[@comosaycomosah]

Lol no shit.....they couldn't even be liquidated