Former FTX CEO and Founder Bankman-Good friend takes the stand lately, blaming Caroline Ellison for deficient control in Alameda and admitting to political donations from buyer budget. 

Because the ancient trial of FTX continues, Sam Bankman-Fried, the accused offender and defendant, in the end took the stand lately on the Southern District of New York. Unsurprisingly, Bankman-Fried balmed his former female friend and Alameda CEO Caroline Ellison for deficient control of loans and credit score. He approved that some errors had been of his doing, but additionally denied a number of claims made through his former colleagues all through the trial.

Listed below are the important thing highlights from Bankman-Fried’s testimony:

Testimony of Sam Bankman-Fried

• Bankman-Fried denies defrauding someone.
• He to start with borrowed from Genesis, Celsius, BlockFi and Voyegar for Alameda. 
• The inner title for Alameda was once ‘Wi-fi Mouse’, Bankman-Fried denies someone calling it ‘Sam’s Crypto Buying and selling Company’ – which was once previous alleged through his colleagues within the trial.
• Bankman-Fried took a every year $200,000 wage from Alameda.
• He defined the transfer of FTX and Alameda to Hong Kong after which to the Bahamas was once for a extra versatile regulatory surroundings in comparison to the U.S.

• The competitive advertising and marketing methods for FTX had been funded through loans from Alameda, maximum of which got here from FTX buyer balances.

• Wired that Alameda was once only a marketplace maker on FTX and had a large line of credit score that grew into billions through the years.
• Bankman-Fried stated that Caroline Ellison was once a just right supervisor, however she had no center of attention on chance control.
• He claimed lack of knowledge in regards to the “Permit Adverse” code, written through FTX co-founder Gary Wang, which functioned as Alameda’s liquidation cushion.

• He admitted that political donations had been made to steer crypto laws, and Alameda loans funded those donations.

• Bankman-Fried stated that there was once a vital drop in Alameda’s liquidity from $40 billion to $10 billion through June 2022 and said inside issues in regards to the company’s solvency.