The only conflict of interest I see here is that lambda school could increase their student body within a single year by admitting worse students to sell the ISAs and then close up shop to run away with the money. The biggest victims would be the investors. Although it's possible it sounds very unlikely. You'd expect this from a Bitcoin exchange.
They also engage in puffery misrepresenting mixed-to-bad student outcomes.[3]
I know Austen Allred can only fall up into more money, but my read on Lambda by this point is that it is a predatory institution.
[1] https://www.theverge.com/2020/2/12/21135134/lambda-school-st...
[2] https://news.ycombinator.com/item?id=22313474
[3] https://nymag.com/intelligencer/2020/02/lambda-schools-job-p...