THE world's second largest cryptocurrency exchange, FTX, collapsed at the hands of its founder and CEO \- Sam Bankman-Fried last week. Bankman-Fried's net worth has plummeted from an estimated $26billion to approximately $0 \- but will he face jail time for his actions?
AlamySam Bankman-Fried resigned from FTX as the company filed for bankruptcy on November 11 '/ ' As of November 15, 2022, Sam Bankman-Fried has not been arrested, however people are wondering whether he might be. Federal prosecutor, Samson Enzer, said: ...What this will boil down to is, were there deliberate lies to convince depositors or investors to part with their assets?... He added, ...Were there statements made that were false, and the maker of those statements knew they were false, and made with the intent to deceive the investor?.... What criminal charges could be taken upon Sam Bankman-Fried? If it is determined that Bankman-Fried used customer's money for a purpose that was not communicated to them prior, this can be the basis of a fraud or embezzlement charge. Read more on Crypto
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CRYPT-NO Hacker steals $160million worth of crypto - but the victim might REWARD the thief It could also be argued that the former FTX CEO intentionally misled customers when he tweeted that SFX was ...fine... just a week before it's collapse. This might be particularly important, given that he later deleted his claims. Reuters also revealed that a back door was written into the code at FTX that allowed Bankman-Fried to move customer's money from that platform to his own hedge fund, Alameda Research. It was reported that $1billion was missing. Most read in News RAPPER BUSTED Shock vid shows rapper tackled by cops in 'surprise arrest' in front of crowd 'HE TOOK HER' Casey Anthony breaks silence on daughter's death to blame dad in shock twist DEADLY PLAN UVA 'shooter waited until return to campus before fatal attack killing three' LAST WORDS Eerie post from student shared hours before 4 pals killed in 'crime of passion' DEATH RIDDLE Chilling call linked to deaths of Idaho students killed in 'crime of passion' COPS SLAMMED JonBenét Ramsey's dad breaks silence after major update pageant queen's murder If true, this is considered a crime as customer deposits are subject to a myriad of protections and are not allowed to be played with by the CEO. Why did the FTX collapse? It is alleged that SBF moved $10billion of customers money into trading company, Alameda Research and that between $1billion and $2billion of that money has vanished. Then, a rush of customers withdrew their money from FTX and the company was forced to file for bankruptcy. Rival cryptocurrency exchange Binance then pulled out of their rescue deal. Bankman-Fried tweeted, taking responsibility for the collapse of his cryptocurrency exchange. The former FTX CEO wrote: ...I'm sorry. That's the biggest thing. I fucked up, and should have done better.... He explained that he should have been ...communicating more....
