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Comment by Animats | Hacker News Reader

He may never see the world outside of a jail again.

Most white-collar criminals are released on bail. But after extradition, it's different.[1]

"The Bail Reform Act ... and the attendant presumption in favor of bail for persons facing trial, apply only to criminal defendants and are inapplicable to fugitives facing extradition proceedings. Because of the potential harm to the country's international relations that could result from flight, there is a presumption against bail in international extradition cases"

This is a downside of operating offshore to try to evade regulation.

[1] https://www.justice.gov/archives/jm/criminal-resource-manual...

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That’s about fugitives being extradited from the U.S.

Hence the mention of international relations.

1. Incorporating a company in another country and abiding by its rules and regulations is not and should not, in and of itself, be considered "evasion" of US regulation.

2. The US has refused to draft clear legislation regarding how to operate a crypto company in the US, effectively forcing all interested parties to take the route described in point 1.

New York State licenses crypto companies.[1] There's a list of the licensed companies on that page. It includes Gemini and Coinbase.

A crypto company could set itself up as a stock broker/dealer. Robinhood has done that.

There's clear legislation. It's just that the marginal players don't like it. They wouldn't get past the initial requirements.

[1] https://www.dfs.ny.gov/virtual_currency_businesses

Permissionless protocols are essentially outlawed, which defeats the purpose of building on chain.

He is not a fugitive. There was no warrant out for his arrest until now.

Those are, I think, unrelated sentences.

"fugitive" assumes he is/was 'running from the law', which I don't believe he is/was.

> There was no warrant out for his arrest until now.

I think there was, if not in the United States then in the Bahamas. From https://www.wsj.com/articles/ftx-founder-samuel-bankman-frie...:

> FTX founder Sam Bankman-Fried has been arrested in the Bahamas after the U.S. filed criminal charges that it expects to unseal Tuesday morning, the authorities in the two countries said Monday evening.

Sounds like that clause applies pre-extradition, not post.

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