well, if people decided to trust them even without the audit, then what's to say that it should be illegal? Investments have always been caveat emptor.
Investments were this way in the 1800s and early 1900s.
A lot of protections have been put into place since then. There's a reason we prosecute Ponzi schemes, offer FDIC and SIPC insurance, stress test banks, etc.
A lot of protections have been put into place since then. There's a reason we prosecute Ponzi schemes, offer FDIC and SIPC insurance, stress test banks, etc.