in this case nothing. they are not public, and they never lied to their actual investors that we know of, they were just being tongue in cheek with the press and never actually made any materially false statement. Being oblique does a lot of the heavy lifting here.
You can be charged with securities fraud for selling private company shares and still have an obligation to honesty and candor to investors. The real difference is that private companies aren’t trusted to sell to the general population and are limited to qualified investors.
It's called we're lucky we're not listed
I think it’s technically called securities fraud.
Matt Levine likes to argue everything is securities fraud. I'm not close enough to the industry but it seems true enough.
https://www.bloomberg.com/opinion/articles/2019-06-26/everyt...
in this case nothing. they are not public, and they never lied to their actual investors that we know of, they were just being tongue in cheek with the press and never actually made any materially false statement. Being oblique does a lot of the heavy lifting here.
You can be charged with securities fraud for selling private company shares and still have an obligation to honesty and candor to investors. The real difference is that private companies aren’t trusted to sell to the general population and are limited to qualified investors.