Skip to content
  • Facebook
  • X
  • Linkedin
  • WhatsApp
  • YouTube
  • Associate Journalism
  • About Us
  • Privacy Policy
  • 033-46046046
  • editor@artifex.news
Artifex.News

Artifex.News

Stay Connected. Stay Informed.

  • Breaking News
  • World
  • Nation
  • Sports
  • Business
  • Science
  • Entertainment
  • Lifestyle
  • Toggle search form
  • Access Denied Sports
  • CAS Delivers Justice, Strips American Athlete Of Bronze Medal, Gives It To Romanian Gymnast
    CAS Delivers Justice, Strips American Athlete Of Bronze Medal, Gives It To Romanian Gymnast Sports
  • Finnish Nobel Peace laureate Ahtisaari dies at 86
    Finnish Nobel Peace laureate Ahtisaari dies at 86 World
  • Pakistan Defence Minister Khawaja Asif on Rajnath Singh’s remarks: ‘Response to any attack would be ‘swift, calibrated and decisive’
    Pakistan Defence Minister Khawaja Asif on Rajnath Singh’s remarks: ‘Response to any attack would be ‘swift, calibrated and decisive’ World
  • Access Denied Sports
  • 30 Girls Fall Sick After Having Meal In Tripura Hostel, Probe Ordered
    30 Girls Fall Sick After Having Meal In Tripura Hostel, Probe Ordered Nation
  • KCR’s Party Promises Cheaper LPG Cylinders, Scheme For Farmers In Manifesto
    KCR’s Party Promises Cheaper LPG Cylinders, Scheme For Farmers In Manifesto Nation
  • Robert Kennedy Jr Suspends US Presidential Campaign, Endorses Donald Trump
    Robert Kennedy Jr Suspends US Presidential Campaign, Endorses Donald Trump World
Inside Sam Bankman-Fried’s Multi-Billion Dollar FTX Fraud

Inside Sam Bankman-Fried’s Multi-Billion Dollar FTX Fraud

Posted on March 29, 2024 By admin


Sam Bankman-Fried got into the world of cryptocurrency at the age of 25. (File)

Former cryptocurrency billionaire Sam Bankman-Fried, 32, has been sentenced to 25 years in prison for his involvement in a major financial scam related to the collapse of the FTX crypto exchange. He was found guilty in November on seven counts, including fraud, conspiracy, and money laundering.

How Sam Bankman-Fried pulled off the scam

Bankman-Fried got into the world of cryptocurrency at the age of 25. He founded a company called Alameda Research and soon realised he could make a lot of money by exploiting differences in Bitcoin prices between different countries.

This strategy, called arbitrage trading, earned him $20 million in just three weeks, according to BBC. He launched FTX in 2019, a crypto exchange in Hong Kong that attracted investors due to his charismatic personality and promises of big returns.

His ex-girlfriend, former CEO of Alameda Research, Caroline Ellison, described him as an extreme risk taker, saying, “He would be happy to flip a coin, if it came up tails and the world was destroyed, as long as if it came up heads, the world would be more than twice as good.”

Read | Sam Bankman-Fried Deserves 40-50 Years In Prison For FTX Fraud: Prosecutors

Bankman-Fried, known for his casual dressing style and disorganisation, had a loyal following within FTX, prompting some to compare their loyalty to him as almost cult-like. Even external observers, like venture capital firm Sequoia Capital, saw him as a visionary striving to make a positive impact.

But cracks began to appear in Mr Bankman-Fried’s empire when reports revealed conflicts of interest between his companies, raising doubts about their integrity. The confidence in Bankman-Fried’s ventures further dropped when a rival announced plans to sell off holdings in FTX’s crypto token.

Despite claiming to have altruistic motives, Mr Bankman-Fried was slammed when it was revealed that Alameda, his company, had a large investment in FTT, the token issued by FTX. This sparked concerns about conflicts of interest between the two companies.

FTX ultimately collapsed in November 2022.

Sam Bankman-Fried’s downfall

The downfall began on November 7, 2022 when a rival executive tweeted about FTX’s financial stability, triggering panic among customers and sparking a massive bank run that drained billions from the platform. Despite efforts to stem the bleeding, the damage was irreversible, resulting in over $8 billion in missing customer funds and the bankruptcy of the company.

Read | From Sam Bankman-Fried To Do Kwan, Crypto Kings Humbled By Law

During Mr Bankman-Fried’s trial, two conflicting narratives emerged about his involvement, with some calling him a brilliant but unwitting CEO, while others accusing him of knowingly siphoning billions of dollars of customer money.

Regardless, the collapse revealed the extent to which FTX’s fortunes were tied to its founder.

Waiting for response to load…



Source link

World Tags:fraud, FTX, Sam Bankman-Fried

Post navigation

Previous Post: Did Hardik Pandya Push Lasith Malinga Away? Video Sends Social Media Into A Frenzy
Next Post: “Captain Can’t Bat With Strike Rate Of 120”: Ex-India Star On Hardik Pandya’s Sluggish Knock

Related Posts

  • 15 killed, 16 injured as passenger bus skids off a cliff in Sri Lanka
    15 killed, 16 injured as passenger bus skids off a cliff in Sri Lanka World
  • Access Denied World
  • U.S. lawmakers urge Trump to end tariffs against India
    U.S. lawmakers urge Trump to end tariffs against India World
  • Pakistan Afghanistan conflict: Country wary of militant attacks after Afghanistan air strikes
    Pakistan Afghanistan conflict: Country wary of militant attacks after Afghanistan air strikes World
  • Access Denied World
  • Biden Abruptly Ends Presser To Deal With Issue In Situation Room
    Biden Abruptly Ends Presser To Deal With Issue In Situation Room World

More Related Articles

Israel-Hezbollah conflict LIVE updates: Leaves nearly 100 people killed Israel-Hezbollah conflict LIVE updates: Leaves nearly 100 people killed World
Trump blames diversity hires under Obama, Biden for lowering air safety standards Trump blames diversity hires under Obama, Biden for lowering air safety standards World
Chinese financial firm’s former top official executed in 7 million corruption case Chinese financial firm’s former top official executed in $157 million corruption case World
Access Denied World
U.S. judge bars government from sending Guatemalan children back, for now U.S. judge bars government from sending Guatemalan children back, for now World
Climate change will escalate child health crisis due to malnutrition: Bill Gates Climate change will escalate child health crisis due to malnutrition: Bill Gates World
SiteLock

Archives

  • May 2026
  • April 2026
  • March 2026
  • February 2026
  • January 2026
  • December 2025
  • November 2025
  • October 2025
  • September 2025
  • August 2025
  • July 2025
  • June 2025
  • May 2025
  • April 2025
  • March 2025
  • February 2025
  • January 2025
  • December 2024
  • November 2024
  • October 2024
  • September 2024
  • August 2024
  • July 2024
  • June 2024
  • May 2024
  • April 2024
  • March 2024
  • February 2024
  • January 2024
  • December 2023
  • November 2023
  • October 2023
  • September 2023
  • August 2023
  • July 2023
  • June 2023
  • May 2023
  • April 2023
  • March 2023
  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022

Categories

  • Business
  • Nation
  • Science
  • Sports
  • World

Recent Posts

  • Congress MLA-elects make a beeline for Indira Bhavan as AICC inches closer to announcing its Chief Minister pick for Kerala
  • Woman gang-raped in sleeper bus in New Delhi
  • Lebanon, Israel to hold new talks in U.S. as ceasefire nears end
  • Lionel Messi has two goals and an assist as Inter Miami rallies for 5-3 victory over Cincinnati
  • Cuba has run out of diesel and fuel oil amid U.S. oil blockade

Recent Comments

  1. Davidcag on UP Teacher Who Asked Students To Slap Muslim Classmate
  2. OrvalMaync on UP Teacher Who Asked Students To Slap Muslim Classmate
  3. Jeffreyroure on UP Teacher Who Asked Students To Slap Muslim Classmate
  4. Stevemonge on UP Teacher Who Asked Students To Slap Muslim Classmate
  5. RichardClage on UP Teacher Who Asked Students To Slap Muslim Classmate
  • “Got 400 Messages; SRK Said…”: Ex-KKR Team Director Reveals Story Behind Sourav Ganguly Snub
    “Got 400 Messages; SRK Said…”: Ex-KKR Team Director Reveals Story Behind Sourav Ganguly Snub Sports
  • Private Dinner By King To Highest Civilian Award, Bhutan’s Special Gestures For PM Narendra Modi
    Private Dinner By King To Highest Civilian Award, Bhutan’s Special Gestures For PM Narendra Modi Nation
  • Sensex climbs 166 points in early trade amid fresh foreign fund inflows
    Sensex climbs 166 points in early trade amid fresh foreign fund inflows Business
  • Women’s T20 World Cup | Dominant Australia crush New Zealand by 60 runs
    Women’s T20 World Cup | Dominant Australia crush New Zealand by 60 runs Sports
  • ‘Was Paying Him Nice Compliment’: England Star Clarifies Old Comment On Yashasvi Jaiswal
    ‘Was Paying Him Nice Compliment’: England Star Clarifies Old Comment On Yashasvi Jaiswal Sports
  • Sri Lanka President Anura Kumara Dissanayake arrives in New Delhi for three-day visit
    Sri Lanka President Anura Kumara Dissanayake arrives in New Delhi for three-day visit World
  • Rashid Khan Clicked With Bollywood Stars Alia Bhatt, Ranbir Kapoor. Can’t Miss The Caption
    Rashid Khan Clicked With Bollywood Stars Alia Bhatt, Ranbir Kapoor. Can’t Miss The Caption Sports
  • Harshit Rana Interview | I have never been fazed about bowling against the best batters
    Harshit Rana Interview | I have never been fazed about bowling against the best batters Sports

Editor-in-Chief:
Mohammad Ariff,
MSW, MAJMC, BSW, DTL, CTS, CNM, CCR, CAL, RSL, ASOC.
editor@artifex.news

Associate Editors:
1. Zenellis R. Tuba,
zenelis@artifex.news
2. Haris Daniyel
daniyel@artifex.news

Photograher:
Rohan Das
rohan@artifex.news

Artifex.News offers Online Paid Internships to college students from India and Abroad. Interns will get a PRESS CARD and other online offers.
Send your CV (Subjectline: Paid Internship) to internship@artifex.news

Links:
Associate Journalism
About Us
Privacy Policy

News Links:
Breaking News
World
Nation
Sports
Business
Entertainment
Lifestyle

Registered Office:
72/A, Elliot Road, Kolkata - 700016
Tel: 033-22277777, 033-22172217
Email: office@artifex.news

Editorial Office / News Desk:
No. 13, Mezzanine Floor, Esplanade Metro Rail Station,
12 J. L. Nehru Road, Kolkata - 700069.
(Entry from Gate No. 5)
Tel: 033-46011099, 033-46046046
Email: editor@artifex.news

Copyright © 2023 Artifex.News Newsportal designed by Artifex Infotech.