GoKawiilSEC Subpoenas Banks Over Situational Awareness Hedge Fund Collapse
The SEC has sent subpoenas to major Wall Street banks seeking details on trades, borrowing, and lender communications tied to Situational Awareness, an AI-focused hedge fund founded by former OpenAI researcher Leopold Aschenbrenner. The fund managed over $30 billion and used heavy leverage to chase AI-driven gains, but a reversal in AI and tech stock prices last month forced it into a fire sale, dumping most of its holdings to rival Citadel at a discount.