Tag: FTX

FTX Diverted Customer Funds to Buyback Stake from Rival Company Binance

It was disclosed that FTX customers’ money was spent on business investments, political and charity donations, and real estate. Beleaguered cryptocurrency exchange FTX spent customer’s deposits for business investments, political contributions, charitable donations, real estate, and the buyback of shares from competitor exchange Binance. During a hearing on Wednesday at the ongoing Sam Bankman-Fried (SBF) trial, professor Peter Easton, an accounting officer hired by the US Department of Justice (DOJ) to investigate the company’s financial records, revealed that the exchange spent billions of dollars repurchasing its stakes from Binance. CZ…

FTX Used Customer Funds to Buy Back Binance Stake, Accounting Prof Reveals

CryptoX – Cryptocurrency Analysis and News Portal “Oh, yes,” Easton said when asked by the court whether FTX ever spent user deposits. The professor testified these user deposits were reinvested into businesses and real estate, used to make political contributions and donated to charity, as reported. Original Source The post FTX Used Customer Funds to Buy Back Binance Stake, Accounting Prof Reveals appeared first on CryptoX. CryptoX Portal

financial forensic report exposes FTX $9.3b money trail

Following evidence of political affiliations unearthed by an FBI agent, a government witness in Sam Bankman-Fried’s criminal trial provided financial analysis pointing to conspiracy and fraud based on FTX and Alameda’s bank records. An FBI analyst plus a former FTX and Alameda executive testified to Bankman-Fried’s courting of the political class which evidence suggests was funded with user deposits.  Prior testimonies from the first and second weeks of the trial backed up these claims, with additional accounts that said Bankman-Fried spearheaded fraud, conspiracy, money laundering and campaign finance violations. The…

Nishad Singh says there is ’a lot’ he doesn’t remember about FTX in 2022 — SBF trial

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Lawyers representing former FTX CEO Sam “SBF” Sam Bankman-Fried conducted their cross-examination of Nishad Singh, pressing the former engineering director on events leading to Alameda Research using funds from the crypto exchange. According to reports from the courtroom on Oct. 17, Singh admitted “there was a lot” he didn’t remember from June to July 2022 under questioning from SBF defense attorney Mark Cohen. The former FTX director reportedly said he had no knowledge of a software bug that exaggerated Alameda’s liabilities until overhearing a discussion between former FTX chief technology…

FTX Proposes Returning Up to 90% of Creditor Holdings in Amended Bankruptcy Plan

The team overseeing the bankruptcy process has put forward a new plan to distribute the remaining assets to affected creditors. The proposal aims to give creditors back up to 90% of their holdings at the time of FTX’s collapse. Cryptocurrency exchange FTX has introduced an amended proposal to return a substantial portion of funds to creditors impacted by the company’s bankruptcy last November. The Troubled FTX Exchange FTX, once one of the largest crypto exchanges, filed for bankruptcy protection after a liquidity crisis prompted mass customer withdrawals. This left FTX…

Bankrupt Crypto Exchange FTX Proposes Returning Up to 90% of Customer Funds

Binance has long been the world’s largest cryptocurrency exchange by trading volume. Still, on Monday, traders looking to buy and sell bitcoin (BTC) quickly on Binance were at a relative disadvantage to their peers on Kraken and Coinbase (COIN), according to data tracked by Paris-based Kaiko. The 0.1% ask depth on Binance, a measure of buy-side liquidity, crashed to just 1.2 BTC ($30,000) from 100 BTC as volatility exploded after an erroneous report that BlackRock’s (BLK) spot exchange-traded fund (ETF) had been approved circulated on social media. The leading cryptocurrency…

FTX Chief Engineer Reveals Reckless Spending by SBF on Deals and Sponsorships

Former FTX’s head of engineering Nishad Singh spills the beans over reckless expenditure of customers’ funds by Sam Bankman-Fried. He also admits to being part of these crimes. During his trial at the Manhattan Federal court on Monday, October 16, FTX chief of engineering Nishad Singh disclosed the reckless spending by SBF and his associates. Singh said that FTX under the disgraced founder Sam Bankman-Fried spent huge sums of money on real estate, campaign donations, celebrity endorsements, and venture investments. Nishad Singh’s testimony comes just days after SBF’s ex-girlfriend Caroline…