The US Federal Prosecutor's Office decided to release the former CEO of FTX cryptocurrency trading, Sam Bankman Fried, on bail of $ 250 million.
According to Arabiya.net, the New York federal prosecutor had filed eight charges against the founder of the FTX stock exchange, including the illegal use of customer deposits to fund his other cryptocurrency company and the purchase of real estate.
The former CEO of Alameda Research admitted that she partnered with FTX founder Sam Bankman Fried to mislead lenders about the amount of money the company was borrowing from the platform.
During a public hearing in Manhattan, Carolyn Ellison reported, Alameda was granted access to FTX borrowing facilities without the need to provide collateral.
She indicated that she and Sam Bankman Fried agreed to hide this matter from the lenders, and they drafted false financial statements to hide the amount of Alameda's borrowing.
This comes as investors in the crypto industry are already reeling from a crypto winter triggered by the collapse of Terraform Labs in May, and an even larger collapse of cryptocurrency exchange FTX, which declared bankruptcy in November. And its founder, Sam Bankman Fried, was arrested in the Bahamas this week after US prosecutors filed criminal charges against him.
