At one level, FTX was seemingly on high of the world, with greater than 1,000,000 clients and celeb endorsements from tennis nice Naomi Osaka to comedy icon Larry David.
Sam Bankman-Fried – also called SBF – appeared at occasions with former British Prime Minister Tony Blair and US President Invoice Clinton.
However then questions began to be requested concerning the hyperlinks between FTX and Bankman-Fried’s different enterprise, Alameda.
The Securities and Trade Fee turned concerned. Main crypto agency Binance supplied after which withdrew a bailout, and prompt there is likely to be irregularities in how buyer funds had been dealt with.
FTX entered a loss of life spiral.
With no approach to pay its money owed, FTX filed for chapter in November 2022 – however it was found that $8bn in buyer funds have been lacking.
Bankman-Fried was arrested, and later discovered responsible of fraud and cash laundering following a month-long trial.
The “Crypto King’s” downfall was full. Right now, he – and the world – will discover out what his punishment will likely be.
