Disgraced FTX founder Sam Bankman-Fried has come under scrutiny for receiving an astonishing sum of close to a billion dollars in cash payments in the lead-up to the crypto exchange’s dramatic collapse.
A recent court filing has brought these eye-popping revelations to light, indicating that Bankman-Fried commenced the collection of substantial cash payments from FTX as early as January 2022, continuing until October of the same year – a mere month before the exchange’s catastrophic implosion.
The documents further shed light on the fact that the former FTX CEO received staggering cash payments totaling $200 million on not one, but two separate occasions. In total, Bankman-Fried amassed an astounding $905 million from FTX over a span of just nine months.
Currently awaiting trial, Bankman-Fried faces grave charges of defrauding investors and mishandling billions of dollars in customer funds, ultimately contributing to FTX’s collapse in the previous year. If convicted, he could potentially face decades of imprisonment.
However, Sam Bankman-Fried is not the sole former executive to have benefitted from the wealth of the now-defunct FTX empire. Court documents reveal that FTX authorized a jaw-dropping $2.513 million payment for the purchase of a yacht for Sam Trabucco, the former co-CEO of FTX’s trading arm, Alameda Research. Remarkably, this transaction occurred just six months prior to Trabucco’s departure from the company.
In a parallel revelation, Caroline Ellison, another former co-CEO of Alameda, received an equally substantial $3.5 million in cash payments in September 2022.
The list of individuals who amassed millions in cash payments from the bankrupt crypto exchange does not stop here. It also includes former FTX executives such as Gary Wang, Ryan Salame, Nishad Singh, and Jonathan Cheesman.
These astonishing revelations have cast a glaring spotlight on the financial dealings within the FTX ecosystem and the alleged improprieties that contributed to the exchange’s dramatic downfall.