Crypto mogul and former FTX CEO, Sam Bankman-Fried, has contested his fraud verdict, alleging an unjust trial. Bankman-Fried claims to have been deemed guilty by the masses before any official charges were laid, thereby compromising his right to a fair trial.
His defence team has staunchly argued that Bankman-Fried never squandered the funds nor was the firm insolvent. Despite the liquidity crisis that brought about the downfall of the crypto exchange platform, they argue the funds were abundant, settled into illiquid investments. Expressing that FTX was enduring a solvency crisis is an unfounded statement according to them.
Featuring evidence of serious fraud and crippling management, FTX initially faced a liquidity crisis, ultimately leading to its collapse in November 2022. Shorty after the exchange’s downfall, Bankman-Fried was apprehended and later convicted of fraud, a crime worth 25 years imprisonment.
In a shocking revelation, it was discovered that customer deposits were illicitly used by Bankman-Fried and his team for risky punts via Alameda Research, a sister investment venture. This marked a swift end to the popular crypto exchange, which previously allowed customers to trade and speculate on future prices of digital assets. As scorn builds over the scandal, Bankman-Fried fights for a new trial under a new judge, maintaining his innocence.