The former CEO of defunct crypto trading desk, Alameda Research, Caroline Ellison, reportedly felt distressed and ill-equipped for her role, according to exposed entries from her personal diary. The diary details not only her work struggles but also paints a complex picture of her relationship with the controversial figure, Sam Bankman-Fried (SBF), who founded Alameda Research and is believed by US authorities to have leaked Ellison’s diaries.
Ellison equated her diminishing enthusiasm for Alameda to her turbulent relationship with Bankman-Fried, acknowledging that his presence led her to become submissive and feel less confident in her leadership skills. In an entry from April, she wrote about regain a sense of power after a breakup with SBF by cutting off contact with him. Ellison’s Alameda was one of the few trading desks in the crypto space that managed to withstand the initial impact of Terra’s (LUNA) financial collapse in May 2022.
Despite surviving the financial fallout, Ellison’s diary reveals signs of imposter syndrome, where she doubted her suitability and effectiveness in running Alameda. It hints at the CEO’s deeper struggles, as she openly questioned her leadership ability, especially in critical financial situations.
In a recent development, the Justice Department suspects SBF of leaking Ellison’s diary entries to the media. The government has called upon the court to step in and stop Bankman-Fried from disclosing any more potentially damaging information that could obstruct a fair and impartial trial. The fear is that these leaks could potentially tamper with the potential jury pool for any forthcoming legal action against SBF.
Additionally, Bankman-Fried is facing legal backlash for his role in the financial fiasco, with over a dozen charges against him related to financial fraud and campaign misconduct already. He and other executives of the now-bankrupt trading desk are also facing litigation from FTX in an attempt to recover over $1 billion in lost customer assets.