BNB
by BSC News
January 12, 2023
Facing U.S. criminal fraud charges, Sam Bankman-Fried (SBF) blamed the collapse of his FTX/Alameda empire on the market and a tweet from Binance CEO CZ.
Sam Bankman-Fried (SBF) has published a blog post containing his take on the spectacular collapse of his FTX and Alameda Research empire. In it, he pins the blame for the multibillion-dollar failure generally on crypto market conditions in 2022, and acutely on a “fateful tweet” by Binance CEO Changpeng Zhao (CZ).
SBF, who was arrested in the Bahamas in December on U.S. fraud charges and now awaits criminal trial in the U.S., admits that “Alameda failed to sufficiently hedge its market exposure.” But that’s about the extent to which he takes responsibility or admits any mistakes or wrongdoing.
“I didn’t steal funds, and I certainly didn’t stash billions away,” SBF claims.
Instead, he passes the the blame on market events in 2022 like the crash of Three Arrows Capital and Luna, and criticizes advice from lawyers, subsequent actions from FTX International and FTX US, and even the timing of his arrest by law enforcement.
Most pointedly, he directly attributes the collapse of his FTX empire to Binance CEO CZ.
“In November 2022, an extreme, quick, targeted crash precipitated by the CEO of Binance made Alameda insolvent,” SBF said.
It is extremely unusual for a sitting U.S. criminal defendant to make public statements about the offenses that have been alleged against them. After all, the standard Miranda warning states: “You have the right to remain silent and refuse to answer questions. If you give up the right to remain silent, anything you say can and will be used against you in a court of law.”
It doesn’t appear that conventional advice will be followed by SBF, however.
“I have a lot more to say–about why Alameda failed to hedge, what happened with FTX US, what led to the Chapter 11 process, S&C, and more. But at least this is a start,” he concluded.
His criminal trial is scheduled to begin in October.
Binance positions itself as the world’s leading blockchain ecosystem and crypto-asset infrastructure provider with a financial product suite that includes the largest digital asset exchange by volume. The Binance platform aims to increase the freedom of money for users and features a comprehensive portfolio of crypto-asset products and offerings, including trading and finance, education, data and research, social good, investment and incubation, decentralization, and infrastructure solutions.
Latest News
1h : 41m ago
Weekly Article Recap: 5/13-5/17
May 17, 2024
Kraken Considering Terminating USDT Support in Europe
May 17, 2024
Nigerian Court Denies Bail to Binance Exec Tigran Gambaryan on Money Laundering Charges
May 17, 2024
All You Need to Know About The Pump.Fun Exploit
May 16, 2024
French Regulator Hints at Legal Action Against Bybit, Citing Illegal Operations
May 16, 2024
What is MakerDAO’s Upcoming PureDai and NewStable?
May 16, 2024
Morgan Stanley Reports $270M Bitcoin ETF Investment in Grayscale’s GBTC
May 16, 2024
What is pSTAKE Finance?
More News