I’m going to go out on a limb here, and assume he wasn’t a customer service manager in any of his previous jobs… add that to people constantly coming at him accusing him of selling fakes, and complaining about wait times… I’d probably be grumpy too ¯\_(ツ)_/¯
4. Unrealized straw that broke the camels back
This is one is even further on the speculation spectrum, but as others have suggested, something external had to have happened. Did something happen to the cannabis business that required cash to burn? Did he lose on bad bet - Crypto? Stocks? We don't know what his portfolio looks like.
any questions? let's talk
Little by little, and word of mouth… he had a successful eBay account prior to this. I didn’t know of him (that I recall) back then, so I can’t comment on that, I’m sure others can chime in… but I’d assume he was getting hit with too many fees, so he decided to go his own route to put more money in his pocket instead of eBay’s. Start selling to people via social media, person X told person Y that they came across a legit seller, and it snowballed… to what we see now, with what seemed to be a legit/successful business somewhere in between.
down for a reason and it ain't because he couldn't fulfill some shoe orders
The only reason why he would do that, is because he probably thought he could keep the gravy train rolling. "Oh man, Zadeh is actually legit, cos Reseller was able to cop a FSR and flip X shoe on StockX for a profit of $XXX ea"
Seeing that, guys like me who were initially on the fence or against Zadeh then sign up to give Zadeh 0% interest free loans (lol yeah yeah i know, GOTEM you's a clown har har har, lol granted i only did it cos my brother really wants the Chi's and thought at worst I'll just ask my CC to reverse the charges nbd)
Let's break it down with a speculative example and analysis:
Let's say Joe preordered 10 pairs of TS1 lows for $500 ea. On that purchase Zadeh now has $5000 cash. We're going with this shoe as an example because that's what your question is seeking.
Sometime 6 months later, Zadeh hopes that the TS1 low drops below $500 but he's SOL cos the fiends gobble up the TS1 lows from resell markets and even his plugs don't have any spare pairs. He waits and waits but they settle on $2K on resell. What are his options then?
A. Issue $5K as store credit, +impact on "working capital"B. Refund $5K back to Joe and ban Joe, -impact on working capitalC. Buy back order for more store credit, +impact on working capitalD. Fulfill partial order, +impact on working capitalI say working capital, because it's money that he can use to fund his other business or investments, or use to actually conduct the business of fulfilling orders.
All of the +impact scenarios leave his pockets flush with cash, but arguably the best scenario would be to try to keep customer hush hush so complaints won't spook future buyers. That option would be best done with D. By buying at least 1 pair at $2K, Zadeh still gets to keep $3K here while looking like he's trying his best to fulfill orders.
How it falls apart
But this all falls apart by a few things:
1. Too many complaints and orders where he is underwater
If he has way too many TS1 low orders to fulfill with too many people threatening to do a chargeback, and not enough preorder money on hand to cover the people complaining, then he has no choice but to buy something or refund money from his own pocketbook since there's not enough working capital from new+existing buyers.
2. Walls closing in
Whats dubl was saying, with shops reopening/closing up after covid, Zadeh has even less legit pairs to obtain orders from, forcing him to buy from StockX Goat. This trend appears to be from archived StockX data from Mar 2020 to Nov 2020, increasing market value and # of items in StockX portfolio during that time. Data for 2021-2022 is not available but if it shows a tapering of buying, then you know he was basically just pocketing preorder money. The ability to read and predict sneaker valuations over time would be critical here.
3. To some degree, Nike has been putting out garbage
Nike releases (rumored and not) were straight up garbage so less new money coming up to help him keep the train going.
4. Unrealized straw that broke the camels back
This is one is even further on the speculation spectrum, but as others have suggested, something external had to have happened. Did something happen to the cannabis business that required cash to burn? Did he lose on bad bet - Crypto? Stocks? We don't know what his portfolio looks like.
any questions? let's talk
That would be ironic, his greed for not capping preorders probably enabled resellers to be even more greedy about TS1 preorders. $500K order is insane. Like someone was saying in here; greed begets greed.
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lol rather than discuss my lack of post count, feel free to provide an opinion or speculation to subject of this thread.Name to post ratio =
Go to your email inbox and search “Your SNKRS Draw Results”
Hype kills man.
Lol bro it’s all good. I laughed at your joke too Geeze.You wrote a novel (a theory). I made a joke. Take it like a man and move on.
And who said anything about post count??
I still can’t believe that ****ing moron who made that video saying he’s seen plenty of Wall Street scams and he figured this was one too but it possibly could work
just looking at him. The V neck with the baby chain. The typical hypebeast setup in the background. The guy tried to sound smart saying he knows all types of scams while also sounding completely stupid for falling for this one 
.I think some people are really hoping he sold fakes so they can say "I told you so"
How come no one can get to the bottom of this? lol
I speculate neither: It’s straight-forward fraud. I wasn’t really watching this thread page-by-page (thank lawd), but the site offered “preorders”? The intent of a preorder -in general- is so a business can get a headcount of how much inventory to order: that’s why they’re dominant in the video game industry and game retailers: so a store isn’t purchasing 200k of soft/hardware no one will buy. Not really a preorder when you’re using buyers fund on a chance to get the shoes your buyer ordered, then only offering a credit on another chance and no full refund if he doesn’t procure the order.
