While serving his 25-year prison sentence, "convicted former cryptocurrency mogul Sam Bankman-Fried on Tuesday requested a new federal trial," reports Courthouse News, "based on what he says is newly discovered evidence concerning his company's solvency and its ability to repay all FTX customers for what prosecutors portrayed as the looting of $8 billion of his customers' money..." Bankman-Fried says evidence disclosed since his trial disproves prosecutors' case about Bankman-Fried's hedge fund running a multi-billion deficit of FTX customer funds, and instead shows that FTX always had sufficient assets to repay the cryptocurrency platform's customer deposits in full. "What it faced was a short-term liquidity crisis caused by a run on the exchange, not insolvency," he wrote...

Bankman-Fried also accuses the Department of Justice of coercing a guilty plea and cooperation deal from Nishad Singh — a close friend of Bankman-Fried's younger brother — who testified at trial as a cooperating witness... Bankman-Fried says in the motion that prior to being pressured into a guilty plea, Singh's initial proffer to investigators "contradicted key parts of the government's version of events. But following threats from the government, Mr. Singh changed his proffers to fit the government's narrative and pleaded guilty to charges carrying up to 75 years in prison, with a promise from the prosecution that it would recommend little or no jail time if it concluded that his assistance in prosecuting Mr. Bankman-Fried was 'substantial,'" he wrote in the petition...

Additionally, Bankman-Fried requested that U.S. District Judge Lewis Kaplan, who presided over his 2023 trial, recuse himself from ruling on this motion, "because of the manifest prejudice he has demonstrated towards Mr. Bankman-Fried."
"Bankman-Fried's mother, Stanford Law School professor Barbara Fried, filed his self-represented bid for a new trial on his behalf in Manhattan federal court..."

"The collapse of FTX will likely give rise to a number of criminal and civil actions against the exchange and its executives, like former FTX CEO Sam Bankman-Fried," reports CoinDesk, citing a number of legal experts. "It's also likely to push forward actual regulatory changes, either via lawmakers or through federal agencies themselves." An anonymous reader shares an excerpt from the report: FTX filed for bankruptcy last Friday, days after halting withdrawals and a little over a week after CoinDesk first reported that the balance sheet of FTX sister company Alameda Research held a surprisingly large amount of FTT, an exchange token issued by FTX. FTX was "fine," Bankman-Fried said in response to questions about his exchange's solvency, before a series of events showed otherwise. As a result, several state and federal agencies launched or expanded investigations into the company, including the U.S. Department of Justice, the U.S. Securities and Exchange Commission, the Securities Commission of the Bahamas and the Bahamas' Financial Crimes Investigation Branch. Members of the U.S. Congress from both political parties are also calling for further action as a result of the collapse. Some lawmakers are even talking about holding hearings, potentially by the end of the year, said Ron Hammond of the Blockchain Association.

The fact that regulators apparently had no view into some of the major projects that fell apart this year -- such as Celsius, Three Arrows, Luna and now FTX -- is "precisely the problem," said an industry participant who works closely with policymakers. Still, the individual told CoinDesk that they don't expect any major legislative action to occur this year. Most likely, Congress will look at bills like the Digital Commodities Consumer Protection Act, a bill that Bankman-Fried supported but was written prior to that, in the upcoming year. According to an attorney who requested anonymity, the SEC may have an easier time kicking off the investigation just due to its mandate. "The SEC is in a much better position to go to court and get a freeze [on assets] if they believe there's a reason to do that," the attorney said. "The SEC also has a less cumbersome process for subpoenaing testimony and freezing documents." The SEC and DOJ are likely to cooperate though, to the extent that DOJ investigators may sit in on SEC interviews.

FTX has various U.S. connections, which is all the SEC and DOJ need to assert jurisdiction for their investigations. FTX appears to be preparing for these investigations, with FTX US General Counsel Ryne Miller having already told the entire company to preserve documents. A former federal prosecutor told CoinDesk that the bankruptcy court may also shed light on the situation, thus assisting government investigators with their probes. "The bankruptcy court has the ability to now oversee the company and to obtain information from the company that, let's say the DOJ might not have been able to obtain as easily pre-bankruptcy, and they'll likely have access to a new trustee or an examiner and be able to learn in essentially real-time what's going on," the former prosecutor said. Executives like Bankman-Fried may also "be in a tough spot with respect to" deciding whether to cooperate or assert Fifth Amendment rights against self-incrimination, the former prosecutor added. "A complicating factor -- for FTX anyway -- may be the fact that Bankman-Fried has tweeted his way through his company's collapse," adds CoinDesk.

"It's a complete nightmare," said Ken White, a former federal prosecutor and a partner at the Brown White & Osborn law firm. "This is a situation where all sorts of agencies are going to be looking at this, the SEC, the FTC, and probably the Department of Justice. There are all sorts of potential criminal and civil consequences -- lawsuits. Civil lawsuits are a certainty. And here he is sort of tweeting out his thoughts about it. It's every attorney's nightmare of what a client might do."

The main issue being that Bankman-Fried repeatedly took to Twitter to reassure users that everything was fine. "It creates new bases for criminal or civil claims against him just based on those tweets," White said. "So if he says that everything's fine, that their assets are real assets, and that's not true, then that can be securities fraud, and wire fraud, all sorts of other stuff, not to mention all sorts of civil causes of action ... It is just disastrously reckless."

Prominent crypto hedge fund Three Arrows Capital has defaulted on a loan worth more than $670 million. Digital asset brokerage Voyager Digital issued a notice on Monday morning, stating that the fund failed to repay a loan of $350 million in the U.S. dollar-pegged stablecoin, USDC, and 15,250 bitcoin, worth about $323 million at today's prices. From a report: 3AC's solvency crunch comes after weeks of turmoil in the crypto market, which has erased hundreds of billions of dollars in value. Bitcoin and ether are both trading slightly lower in the last 24 hours, though well off their all-time highs. Meanwhile, the overall crypto market cap sits at about $950 billion, down from around $3 trillion at its peak in Nov. 2021. Voyager said it intends to pursue recovery from 3AC (Three Arrows Capital). In the interim, the broker emphasized that the platform continues to operate and fulfill customer orders and withdrawals. That assurance is likely an attempt to contain fear of contagion through the wider crypto ecosystem. "We are working diligently and expeditiously to strengthen our balance sheet and pursuing options so we can continue to meet customer liquidity demands," said Voyager CEO Stephen Ehrlich.

"There are simply too many points of uncertainty for us to move forward with confidence right now," explains a FAQ addressing this year's cancellation for the annual Burning Man festival.

"The physical, psychic, and emotional impacts of this pandemic are real and the recovery from this experience will happen at different rates of speed," organizers said in an announcement. "This is the time to gather with our friends, crews, families and communities..." They also argued that in an abstract sense, "Burning Man is happening right NOW, all around you," urging people to create experiences, opportunities and connection at the local level. (Their suggestions include planning to join a mass "Burn Night" livestreaming event on September 4, or preparing for "Virtual Burning Man" from August 21 to September 5, 2021.)

Last year's virtual event drew 165,000 participants, reports NPR, adding that this year's cancellation of a mass real-world gathering "has put many people in the event's host community at ease." Wary of a trend of rising coronavirus cases in some parts of the region, Washoe County's district health officer Kevin Dick said "the right call was made," in order to lower the risk of spreading infection.
And SFist also notes the festival's "Invitation to the Future" program "where $2,500 buys you a reservation to buy tickets whenever they do announce the event — but that $2,500 does not get you a ticket." "This is a reservation that will guarantee someone the ability to purchase a regular priced ticket for the next two editions of Black Rock City," the Burning Man Project communications team says in an email to SFist...

Per the fine print of this arrangement, there will be only 1,000 of these $2,500 reservations that are essentially tickets to buy tickets... "It's going very well!," Burning Man's communications team tells us. "We're so grateful for our generous community. As of this writing, we have only a few hundred left...."

Burning Man has to get creative, and maybe perks for big spenders is an acceptable one-time trade-off to ensure its ongoing solvency. The project has gone nearly two years since its last infusion of direct ticket revenue, and the permits and attorney fees necessary to pull off this event on federal land have not gotten any cheaper despite the pandemic.

"Despite its own solvency concerns, NPM Inc on Tuesday deployed code changes that add a 'funding' command to the latest version of the npm command-line tool, namely v6.13.0," reports the Register: Henceforth, developers creating packages for the JavaScript runtime environment Node.js can declare metadata that describes where would-be donors can go to offer financial support. Doing so involves adding a funding field to package.json, a file that lists various module settings and dependencies. The funding field should be a URL that points to an online funding service, like Patreon, or payment-accepting website....

In a phone interview with The Register, NPM Inc co-founder and co-CTO Isaac Schlueter said: "The problem we're solving is open source projects need funding and there are very few ways people can get that information in front of people using their code...." Schlueter allowed that NPM Inc's funding mechanism may reward good marketers more than it rewards good developers. But he believes it will work against that. "One thing nice about this approach is that it does take some of the marketing skill out of the equation," he said. "Because all you really have to do is set up a payment URL and then put that in your packages. You don't have to craft the message expertly, you'll show up on that list at the end of the install."
"At the end of August, we made a promise to the community to invest time & effort to better support package maintainers," explains an announcement on the NPM blog.

"This work is just the first, small step toward creating a means/mechanism for a more sustainable open source development ecosystem."

Lucas123 writes: Toshiba, which invented NAND flash, plans to sell off an as-of-yet undisclosed portion of its memory business, including its solid-state drive unit, to Western Digital. Toshiba is spinning the business off to WD, a business ally, because it hopes in the long run the Toshiba-WD alliance will enable an expansion in NAND flash production capacity and increased efficiency in storage product development... Currently, Toshiba and WD together represent 35% of global NAND flash production; Samsung leads that market with 36% of production. "Toshiba wants to put its memory business in a more stable financial position," said Sean Yang, research director of DRAMeXchange. "Facing mounting operational and competitive pressure, the spun-off entity will be more effective in raising cash to stay afloat or expand"...

Toshiba's solvency and fundraising ability are also in trouble because of a $1.9 billion accounting scandal and a multi-billion dollar loss related to a nuclear plant purchase. Last week, Toshiba announced its share price had tumbled 13% after reports that its nuclear power business had lost $4.4 billion.

SpankiMonki writes "Following on the heels of the Mt Gox bankruptcy, the Monetary Authority of Singapore (MAS) plans to impose new regulations on currency exchanges dealing in bitcoin and other virtual currencies. Virtual currency exchanges would need to verify their customers' identities and report any suspicious transactions under the new rules.

The MAS said its regulation of virtual currency intermediaries — which include virtual currency exchanges and vending machines — was tailored specifically to the money-laundering and terrorism financing risks they posed. However, the new regulations would do nothing to ensure the solvency of virtual currency intermediaries or the safety of their client's funds."

Hugh Pickens writes "The Washington Post reports that the U.S. birthrate is at its lowest since 1920, the earliest year with reliable records. The rate decreased to 63.2 births per 1,000 women of childbearing age — a little more than half of its peak, which was in 1957. The overall birthrate decreased by 8 percent between 2007 and 2010, but the decline is being led by immigrant women hit hard by the recession, with a much bigger drop of 14 percent among foreign-born women. Overall, the average number of children a U.S. woman is predicted to have in her lifetime is 1.9, slightly less than the 2.1 children required to maintain current population levels. Although the declining U.S. birthrate has not created the kind of stark imbalances found in graying countries such as Japan or Italy, it should serve as a wake-up call for policymakers, says Roberto Suro, a professor of public policy at the University of Southern California. 'We've been assuming that when the baby-boomer population gets most expensive, that there are going to be immigrants and their children who are going to be paying into [programs for the elderly], but in the wake of what's happened in the last five years, we have to reexamine those assumptions,' he said. 'When you think of things like the solvency of Social Security, for example, relatively small increases in the dependency ratio can have a huge effect.'"

Slashdot readers both contributed and helped moderate questions for the New Voters Project Presidential Youth Debate. You can read the answers below, but if you'd like to see an expanded introduction, thumbnails of the candidates, and different formatting, go to the Youth Debate page. And that's not all: We're supposed to get candidates' rebuttals on or about October 17, so don't touch that dial!