| It seems like whenever there's a scandal in crypto, someone involved has a degree from an Ivy League university or some other elite school. Just this week, Nader Al-Naji, a Princeton University graduate, was arrested for wire fraud in connection to an alleged scheme involving the BitClout crypto social-media platform he founded. Anton and James Peraire-Bueno, brothers and graduates of the Massachusetts Institute of Technology, were arrested in May for allegedly exploiting a bug in a software program used on the Ethereum blockchain to steal $25 million.
Do Kwon, a Stanford University graduate, is in jail in Montenegro for his role in the 2022 collapse of the TerraUSD stablecoin. Su Zhu and Kyle Davies, whose hedge fund caused the bankruptcy of several crypto lenders, both attended Columbia University.
And of course there's Sam Bankman-Fried, an MIT alumnus who assembled a team of young professionals from other top schools, including Stanford. It begs the question: Is the crypto industry so desperate for talent that it gives a pass to those from elite schools? Or is there something inherent in these institutions that encourages their alumni to take excessive risks and, in some cases, break the law? Perhaps it's just a mix of them thinking they're too smart to fail, as a friend of mine (and Princeton alum!) suggested. Of course, criticism of elite universities is nothing new. Such institutions, in general, are often seen as ivory towers, disconnected from reality. The emphasis on prestige can lead students to overvalue their status and believe they are superior, or so critics say.  MIT grad Sam Bankman-Fried Photographer: Angus Mordant/Bloomberg But should the culture of the crypto industry be absolved of any responsibility? The industry seems to have leaned heavily toward elevating people with perfect resumes, often from the best schools. Yes, there are technological challenges in the crypto industry that require talent from prestigious schools. Yet for a big part of the industry, it's not technology. It's finance, it's games, it's art and it's culture. Crypto's attraction to elite schools also highlights a dramatic cultural shift in the industry since Bitcoin's invention in 2008. What began with cypherpunk roots and libertarian, anarchist ideals has evolved into a culture increasingly dominated by elites and Wall Street. And even for influential figures who haven't been accused of wrongdoing, CVs in the industry resemble those from Silicon Valley or Wall Street more than the grassroots culture of crypto's early days. Galaxy Digital's Michael Novogratz, ConsenSys' Joseph Lubin and Pantera Capital's Dan Morehead went to Princeton. Cameron and Tyler Winklevoss went to Harvard University, where Ripple Labs' Brad Garlinghouse got his master's degree. Paradigm's Matt Huang and MicroStrategy's Michael Saylor went to MIT. Arthur Hayes went to the University of Pennsylvania …The list goes on. However, perhaps the fault lies not in the schools, but the industry itself — and its often lazy approach to due diligence. "It's the broader lack of due diligence in crypto" that's the problem, said Shuyao Kong, co-founder of blockchain startup MegaETH, who went to Harvard Business School. "During bull markets, founders of all backgrounds get funding too easily, and those from top schools naturally attract more attention, liquidity, and mindshare. When they blew up, they blew up big time." | 
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