Bankman-Fried directed special FTX privileges for Alameda: Testimony

  • 📰 ChannelNewsAsia
  • ⏱ Reading Time:
  • 42 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 66%

Coin Coin Headlines News

Coin Coin Latest News,Coin Coin Headlines

NEW YORK: Sam Bankman-Fried asked two executives of his FTX cryptocurrency exchange to tweak the exchange website\u0027s computer code to let his hedge fund withdraw unlimited funds just months after FTX was launched in 2019, a former executive testified on Friday (Oct 6) at the fallen crypto wunderkind\u0027s fraud trial.

Sam Bankman-Fried listens as Assistant U.S. Attorney Nicolas Roos questions Gary Wang during Bankman-Fried's fraud trial over the collapse of FTX, the bankrupt cryptocurrency exchange, at Federal Court in New York City, U.S., October 6, 2023, in this courtroom sketch. REUTERS/Jane Rosenberg

Gary Wang, FTX's former chief technology officer, said a feature letting the fund, Alameda Research, run a negative balance on the exchange was one of the fund's special privileges that were not disclosed to the public and ultimately let it withdraw US$8 billion in FTX customer funds by the time of the exchange's November 2022 bankruptcy.

Bankman-Fried has pleaded not guilty to two counts of fraud and five counts of conspiracy. His lawyer said during opening statements on Wednesday that FTX was a startup, and that Alameda was not just an ordinary customer on the exchange but a market maker, which generated supply and demand in the exchange's early days.

Wang testified that when Alameda's account went below zero, that meant it was taking money from other FTX customers.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 6. in COİN

Coin Coin Latest News, Coin Coin Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Disgraced crypto king Sam Bankman-Fried pleads \u0027good faith\u0027 in US fraud trialNEW YORK: The trial of Sam Bankman-Fried, former CEO of one of cryptocurrency\u0027s biggest exchanges, began on Tuesday (Oct 4) with a jury set to determine if he committed massive fraud by stealing billions of dollars from clients. The 31-year-old - once one of the most respected figures in crypto - now
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »

Sam Bankman-Fried\u0027s onetime roommate Gary Wang takes stand at trialNEW YORK : Sam Bankman-Fried\u0027s college roommate and ex-colleague at the now-bankrupt FTX cryptocurrency exchange, Gary Wang, took the stand at the 31-year-old former billionaire\u0027s fraud trial on Thursday. Wang, FTX\u0027s former chief technology officer, is the first of three former close associates of Bankman
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »

Sam Bankman-Fried\u0027s onetime roommate Gary Wang takes stand at trialNEW YORK : Sam Bankman-Fried\u0027s college roommate and ex-colleague at the now-bankrupt FTX cryptocurrency exchange, Gary Wang, took the stand at the 31-year-old former billionaire\u0027s fraud trial on Thursday. Wang, FTX\u0027s former chief technology officer, is the first of three former close associates of Bankman
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »

Disgraced crypto king Sam Bankman-Fried pleads \u0027good faith\u0027 in US fraud trialNEW YORK: The trial of Sam Bankman-Fried, former CEO of one of cryptocurrency\u0027s biggest exchanges, began on Tuesday (Oct 4) with a jury set to determine if he committed massive fraud by stealing billions of dollars from clients. The 31-year-old - once one of the most respected figures in crypto - now
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »