FTX founder Sam Bankman-Fried testifies in his fraud trial over the collapse of the bankrupt cryptocurrency exchange, at federal court in New York City October 27, 2023 in this courtroom sketch. — Reuters picNEW YORK, Oct 30 — FTX founder Sam Bankman-Fried testified today that the collapse of the cryptocurrency exchange was precipitated by the head of his Alameda Research trading firm failing to adequately hedge against a downturn in the market.
Ellison is one of three of Bankman-Fried’s former close confidantes who pleaded guilty and testified for the prosecution. Prosecutors are expected to challenge his assertion that he did not steal billions of dollars in customer funds during cross-examination, which could come as early as this afternoon after his direct testimony concludes.