Bankruptcy Judge Michael A. Kaplan has approved BlockFi’s third revised Chapter 11 plan during a court hearing on September 26, as indicated in a filing on the same date. This development brings the customers of the distressed cryptocurrency lending platform closer to receiving their payouts following the endorsement of its liquidation plan by a United...Read More
With SBF’s trial due to start in less than a week, the court has released guidelines for admissible evidence, both for the prosecution and the defense. The vast majority of requests from the government’s side were granted, with some notable exceptions. Meanwhile, none of the defense’s requests for preclusion were accepted. Excessive Evidence Defense Denied...Read More
Bankrupt crypto exchange FTX has filed a lawsuit against the former employees of its Hong Kong affiliate Salameda, seeking to recover more than $157 million fraudulently taken by them. According to a filing with the United States Bankruptcy Court for the District of Delaware, the defendants leveraged their connections to FTX employees and skipped a...Read More
A United States judge has approved the Justice Department’s (DOJ) motion to bar all witnesses proposed by Sam Bankman-Fried (SBF), the founder and former CEO of bankrupt cryptocurrency exchange FTX, from testifying at his upcoming trial. According to an order filed with the U.S. District Court for the Southern District of New York, Judge Lewis...Read More
SBF had previously violated his bail conditions in minor ways, such as by using VPNs to watch football games. Although the court did not constitute such relatively innocuous breaches as enough of a reason to reverse his bail, it nevertheless put them on guard against further infractions. However, it later turned out that he had...Read More
In a new turn of events, the defunct crypto exchange platform FTX earmarked September 29, 2023, at exactly 4 PM ET as the final deadline for creditors registering their proofs of claims through the designated portal. This strategizing maneuver forms part of FTX’s blueprint to streamline the claims process and ensure that all stakeholders have...Read More
Aditya Baradwaj, a former engineer at the bankrupt cryptocurrency trading firm Alameda Research, has revealed that the company was behind bitcoin’s 87% plunge in 2021. Baradwaj explained the events that led to the sudden drop, saying the incident was a result of a work philosophy established by Alameda’s co-founder Sam Bankman-Fried (SBF), which maintained that...Read More
Incoming reports indicate that Sam Bankman-Fried’s legal team is readying their arguments for a pretrial release hearing before the U.S. appeals court on Tuesday as the billionaire founder of the defunct exchange FTX prepares for his trial on Oct. 3. Bankman-Fried’s initial plea was overruled last month as the prosecutors argued that the defendant had...Read More
A weekly market report by America’s largest cryptocurrency exchange, Coinbase, has outlined several reasons why the forthcoming mass token liquidation by its bankrupt rival FTX is unlikely to cause market shocks in the ecosystem. The research report, written by Coinbase head of institutional research David Duong, disclosed that analysts at the exchange found some factors...Read More
With about two weeks to go until the start of Sam Bankman-Fried’s trial, yet another trove of documents replete with everything from his early life to unverifiable attempts at exonerating himself has surfaced. Lots of Words, Little Substance Sticking to the tone of his lengthy – yet ultimately trite – substack posts and interactions with...Read More
Bankrupt cryptocurrency exchange FTX has been approved by the bankruptcy court to liquidate its crypto assets worth $3.4 billion. Meanwhile, the company’s former CEO, Sam Bankman-Fried, may stay in prison until his scheduled trial in October after a US Judge denied his requests for a pretrial release. Judge John Dorsey of the US Bankruptcy Court...Read More
The US Judge in charge of Sam Bankman-Fried’s case has denied the former FTX CEO’s repeated requests for a temporary release from jail to make adequate preparations ahead of his upcoming trial. Sam Bankman-Fried, who maintains his not-guilty plea to all charges levied against him, is scheduled to appear in court in October. No Pretrial...Read More
With less than a month left before Sam Bankman-Fried’s court case is due to begin, DOJ officials have been rushing to put the final touches to their arguments. Since the outcome will be decided by a jury, the DOJ has spent a while formulating questions for members of the jury to ensure that they are...Read More
Over the past year, FTX has filed numerous lawsuits against previous business partners, attempting to claw back funds allegedly spent without justification or in subprime deals. Often, these funds were indeed spent on a whim, whether at networking parties or, presumably, gaming. However, LayerZero’s CEO Bryan Pellegrino argued that this could not be farther from...Read More
The world’s most valuable company – Apple, with market cap nearing $3 trillion, has reportedly secured the rights to the upcoming book about FTX’s founder – Sam Bankman-Fried. The book will likely be one of the many documentaries, including short TV series, to be released about SBF and his former empire. Apple Gets the Book...Read More
The now bankrupt crypto exchange, which actually has intentions to restart operations at some point, reportedly wants to retrieve some of the money it paid to professional athletes and teams that used to promote it. Some of those names, according to Bloomberg, include Shaquille O’Neal and Naomi Osaka, but Tom Brady has not been mentioned....Read More
Ryan Salame, a former high-ranking executive at the crypto exchange FTX, has entered a guilty plea in connection with criminal charges related to the extensive fraud case involving FTX’s founder, Sam Bankman-Fried. As part of the agreement, Salame has agreed to pay $5 million to debtors of FTX, and $6 million in fines to the...Read More
As part of FTX’s bankruptcy court proceedings, the exchange’s new management has – to the best of their ability – produced a balance sheet containing all expenses filed on behalf of the FTX Group’s C-Suite. Some of these expenses were already known to the public, such as the infamous purchase of Robinhood shares for SBF...Read More
Sam Bankman-Fried’s trial is one of the biggest cases of white-collar securities fraud in Manhattan, with billions of dollars having gone astray from the defunct cryptocurrency platform FTX, causing significant financial distress to former users (and employees). In the latest development, the lawyers representing the disgraced founder objected to the four million pages of discovery...Read More
Since his bail was revoked, Sam Bankman-Fried has been pleading for everything between “temporary” re-release, more computers, and more time to review the prosecution’s evidence. FTX’s current defense strategy is to claim he acted in good faith, taking the advice of FTX’s legal team. Naturally, this would imply a lack of knowledge regarding the misdeeds...Read More
A former engineer at Alameda Research has come forward with claims on X that his entire life savings were stolen by Sam Bankman-Fried (SBF), his former boss. Aditya Baradwaj paints a vivid picture of the rise and fall of FTX, exposing the contradictions, grand visions, and heartbreaking consequences that ensued. As an engineer at Alameda...Read More
FTX intends to initiate the sale, staking, and hedging of its crypto assets. For this purpose, the bankrupt crypto exchange is seeking to rope in Mike Novogratz and Galaxy Digital as its investment advisers as part of its ‘Digital Asset Management and Monetization Program.’ Implementing hedging strategies for Bitcoin and Ether will serve as a...Read More
The founder of FTX – Sam Bankman-Fried (SBF) – has reportedly pleaded not guilty in a Manhattan federal court to seven criminal charges in a new indictment. This was his first appearance since his bond was revoked earlier this month, leading to his imprisonment. SBF is expected to spend the days until his trial in...Read More
FTX’s sister trading firm, Alameda Research, will be allowed a general unsecured claim of $175 million against Genesis. The disgraced crypto exchange led by Sam Bankman-Fried previously sought to claw back $4 billion from DCG-owned lender Genesis which also filed for Chapter 11 bankruptcy. However, the latest court filing suggests that FTX and Genesis have...Read More
Prime Trust – a once-leading cryptocurrency custodian – filed for Chapter 11 bankruptcy protection in Delaware approximately two months after the Nevada Financial Institutions Division claimed it operates in an “unsafe and unsound manner.” The company was among the leaders in its field a few years ago, holding funds on behalf of other fallen behemoths...Read More
On the 14th of August, the prosecution in SBF’s ongoing court case produced the longest and most explicit list of charges so far. The document is 70 pages long and names legal precedents for most of the charges brought against him. However, special attention is given to the accusation of illegal political campaign contributions. It...Read More
Sam Bankman-Fried was reportedly sent to jail on Friday as US Judge Lewis Kaplan denied his lawyers’ request to delay detention. The former crypto mogul’s court date is set for October 2nd, and he could sit in a jail cell until then if the appeal is unsuccessful. CryptoPotato reported last month the allegations presented by...Read More
A group of customers of the once-prominent cryptocurrency exchange FTX has reportedly filed a lawsuit against the law firm Fenwick & West, insisting that it contributed to the alleged scam orchestrated by Sam Bankman-Fried (SBF) and the subsequent multi-billion losses it brought. The former leader of the exchange has pleaded not guilty to the fraud...Read More
Bankrupt crypto lender, BlockFi revealed that the US Bankruptcy Court for the District of New Jersey has conditionally approved its disclosure statement. The development essentially demonstrated that the reorganization process of BlockFi continues to make gradual progress eight months after filing the voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code....Read More
Bankrupt cryptocurrency exchange FTX has filed a motion to remove its Dubai unit from the ongoing bankruptcy proceedings in the United States. According to a document submitted to the U.S. Bankruptcy Court for the District of Delaware, FTX Dubai did not conduct any business activities in the United Arab Emirates (UAE) before the global entity...Read More
