Sam Bankman-Fried Denies Accessing Funds, Will Plead Not Guilty
• Sam Bankman-Fried, founder and former CEO of FTX, denies accessing funds related to the Alameda cryptocurrency addresses.
• Bankman-Fried is facing criminal charges, but will likely plead not guilty at his next hearing on Jan. 3.
• Bankman-Fried is willing to cooperate with authorities to investigate the matter.
Sam Bankman-Fried, the founder and former CEO of FTX, recently returned to Twitter to deny accessing funds related to the Alameda cryptocurrency addresses. This comes after several batches of assets were moved from those addresses on Dec. 28 to crypto mixers, amounting to at least $1.7 million.
Bankman-Fried made it clear that he doesn’t have access to the funds anymore, but suggested that “various legit legs of FTX” can access them. He also offered to “advise regulators” in the investigation of the matter. Bankman-Fried’s willingness to cooperate is likely due to the criminal charges he’s facing, which could lead to a plea deal similar to those obtained by his associates Caroline Ellison and Gary Wang.
However, one former federal prosecutor believes that Bankman-Fried is unlikely to be given a favorable deal due to his lead role in FTX’s alleged fraud. Bankman-Fried’s next hearing is set for January 3, and according to sources, he will plead not guilty. This could be Bankman-Fried’s way of attempting to negotiate a plea deal that is more favorable to him.
Regardless of the outcome, Bankman-Fried’s case is a cautionary tale for those operating in the cryptocurrency space. His willingness to cooperate with authorities is a reminder that it is important to remain compliant with the law, even if the potential for large profits exists.