Share this @internewscast.com

Prosecutors cross-examined FTX co-founder Sam Bankman-Fried on Monday after the former crypto billionaire testified in his own defense.

Bankman-Fried is facing decades in prison on seven federal charges, including wire fraud, securities fraud and money laundering. He has pleaded not guilty to all charges.

The trial is expected to conclude in the next few days.

Several times during cross-examination Monday, prosecutors asked Bankman-Fried questions, then displayed exhibits that disputed his answers.

In one instance, Assistant U.S. Attorney Danielle Sassoon asked Bankman-Fried if he had assured people that Alameda Research played by the same rules as others on the FTX exchange. Bankman-Fried said he was not sure he had done so.

The government then showed a tweet where he had directly addressed the topic, then an email where he wrote that the account of Alameda Research, FTX’s “sister” hedge fund, was like everyone else’s.

FTX co-founder Gary Wang and senior executive Nishad Singh both testified that Alameda was allowed to have a negative balance and a $65 billion line of credit with FTX.

Bankman-Fried completed his testimony for the defense earlier in the day. In that testimony, he tried to rebut charges that were levied against him by FTX insiders like Wang, Singh and former Alameda CEO Caroline Ellison.

For example, Bankman-Fried testified he did not go to the Middle East in October 2022 to raise funds to fill holes in FTX’s balance sheet. He said he viewed Alameda and FTX as solvent and made the trip to speak at a conference and meet with investors, regulators and employees.

He was also asked about a now-infamous, and since deleted, tweet he sent last Nov. 7: “FTX is fine. Assets are fine.”

Bankman-Fried said that at the time, he thought that Alameda had some $10 billion in assets and that FTX’s balance sheet was fine.

“My view was the exchange was OK and there was no holes in the assets,” he told the court.

However, customers began withdrawing their money faster and faster after some of Alameda’s financial liabilities and its close ties to FTX became public.

Alameda’s assets were cut in half as digital currencies plunged in value. FTX didn’t have enough assets available to handle the $4 billion in daily withdrawals.

Bankman-Fried testified that the hedge trades the firm had used to protect itself from market downturns did not work. He testified earlier that Ellison did not follow instructions to hedge some of its bets. He also testified that he realized on Nov. 8, 2022, that Alameda Research would have to be shut down.

Both FTX and Alameda filed for bankruptcy on Nov. 11.

Bankman-Fried is scheduled to face additional charges at a separate trial in March and has also pleaded not guilty to those allegations.

Share this @internewscast.com
You May Also Like
Simple act can lower risk of early death by 45%: new study

Discover the Simple Habit That Could Slash Your Risk of Early Death by 45%

Participating in elections might just be your ticket to both civic responsibility…
Oklahoma tornado barrels through Enid, damaging homes and shutting down roads

Tornado Strikes Enid, Oklahoma: Homes Damaged and Roads Closed

On Thursday, a devastating tornado tore through Oklahoma, ripping the roofs off…
Gunman arrested more than 30 years after shooting bound couple in front of their 3-year-old son in NYC apartment: feds

Decades-Old NYC Cold Case Solved: Gunman Arrested for 1980s Double Shooting in Front of Child

After more than three decades, justice has caught up with the gunman…
City manager 'begged' fired Cincinnati police chief for more officers on street as crime skyrocketed

City Manager Urgently Requested Additional Officers from Dismissed Cincinnati Police Chief Amid Rising Crime Rates

Cincinnati’s former police chief, Teresa Theetge, who previously faced a lawsuit from…
Former North Carolina police officer accused of threatening mass shooting at New Orleans festival

Ex-North Carolina Police Officer Faces Allegations of Threatening Mass Shooting at New Orleans Festival

A former police officer from North Carolina was taken into custody late…
Elite school teacher known as 'Mr Wonderful' accused of heinous crimes against students

Esteemed Educator ‘Mr. Wonderful’ Faces Serious Allegations of Crimes Against Students

A former educator at a private institution, once known by the moniker…
Curses, Foiled Again: The FBI Thwarts a Potential Terror Plot Directed at a Texas Synagogue

FBI Successfully Intercepts Planned Terror Attack on Texas Synagogue

On Thursday, FBI Director Kash Patel revealed the collaborative efforts of the…
Odds for California governor sway massively after snorefest debate

California Governor Race Heats Up as Debate Shifts Betting Odds Dramatically

Last night’s gubernatorial debate in California appears to have shifted the momentum…
Nolte: Saudis Back Out of Metropolitan Opera’s $200 Million Blood-Money Bailout

Metropolitan Opera’s $200 Million Lifeline Withdrawn as Saudi Support Vanishes

In a striking turn of events, the very progressive elites who once…
California ‘basic income’ experiment fails to provide ‘financial independence,’ study finds

California’s Basic Income Trial Falls Short on Promised Financial Independence, Study Reveals

A recent study by researchers at the University of California, Davis, reveals…
ICE nabs illegal aliens convicted of child sex crimes and meth trafficking in nationwide enforcement sweep

ICE Cracks Down: Nationwide Sweep Captures Convicted Child Predators and Meth Traffickers

In a concerted effort aligning with National Crime Victims Week, U.S. Immigration…
Russian attack on Odesa, Ukraine, kills married couple, officials say

Tragic Russian Strike on Odesa Claims Lives of Beloved Couple: Ukrainian Officials Report

Ukrainian authorities reported that a Russian drone assault on the southern city…