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☆ We just learned the names of the 2 people secretly guaranteeing Sam Bankman-Fried's $250 million bond
▼ + stars: | 2023-02-15 | by ( Jacob Shamsian | Sindhu Sundar | ) www.businessinsider.com time to read: +5 min

Larry Kramer and Andreas Paepcke are the two previously anonymous sponsors of Samuel Bankman-Fried's $250 million bond. A federal judge sided with Insider and other media organizations and made their names public. Larry Kramer, a former dean of Stanford University's law school, contributed $500,000 to the bond, according to court records unsealed Wednesday afternoon. Bankman-Fried's parents, Joseph Bankman and Barbara Fried, who are both professors at Stanford University's law school, have also contributed to the bond. He also said he had no business interest in the $500,000 he contributed towards Bankman-Fried's bond.

☆ FTX has chased politicians like Nancy Pelosi to return donations given before the crypto giant's collapse. They now have a deadline of February 28 to pay.
▼ + stars: | 2023-02-06 | by ( Pete Syme | ) www.businessinsider.com time to read: +3 min

In total, FTX employees donated $90 million to politicians, per The New York Times, and the debtors are trying to claim that back to reimburse customers. After Bankman-Fried, the former CEO of FTX's Bahamas company, Ryan Salame, donated $23 million – making him the 15th top donor in the US, per OpenSecrets. The lawyers handling FTX's bankruptcy first requested the donations be returned in December. But in January, CoinDesk reported that just five of the 196 politicians who received money from FTX said they had successfully returned it. CoinDesk reports that Vance donated the money to a non-profit, but FTX has warned that this "does not prevent the FTX debtors from seeking recovery."

Ellison and FTX co-founder Gary Wang both pleaded guilty and are cooperating with prosecutors as part of their plea agreements. Roos said Bankman-Fried carried out a "fraud of epic proportions" that led to the loss of billions of dollars of customer and investor funds. Bankman-Fried has acknowledged risk-management failures at FTX but said he does not believe he has criminal liability. A flurry of customer withdrawals in early November amid concerns about commingling of FTX funds with Alameda prompted FTX to declare bankruptcy on Nov. 11. Bankman-Fried was arrested in the capital Nassau on Dec. 12 and arrived in the United States on Wednesday after consenting to extradition.

Companies Ledgerx LLC FollowNEW YORK, Dec 22 (Reuters) - Sam Bankman-Fried was released on a $250 million bond package on Thursday while he awaits trial over the collapse of the FTX crypto exchange, which a U.S. prosecutor called a "fraud of epic proportions." His defense lawyer, Mark Cohen, declined to comment after the hearing in Manhattan federal court. U.S. Magistrate Judge Gabriel Gorenstein set Bankman-Fried's next court date for Jan. 3, 2023, before U.S. District Judge Ronnie Abrams, who will handle the case. The bond is meant to ensure that if Bankman-Fried flees, the government could confiscate the family's assets - including their Palo Alto home - up to $250 million. Details of their cooperation were kept under wraps until Bankman-Fried left the Bahamas, according to court papers filed on Thursday.

☆ Sam Bankman-Fried and FTX execs received billions in hidden loans, ex-Alameda CEO says
▼ + stars: | 2022-12-23 | by ( ) www.nbcnews.com time to read: +3 min

Sam Bankman-Fried and other FTX executives received billions of dollars in secret loans from the crypto mogul’s Alameda Research, the hedge fund’s former chief told a judge when she pleaded guilty to her role in the exchange’s collapse. Ellison and FTX co-founder Gary Wang both pleaded guilty and are cooperating with prosecutors as part of their plea agreements. Bankman-Fried has acknowledged risk-management failures at FTX but said he does not believe he has criminal liability. A flurry of customer withdrawals in early November amid concerns about commingling of FTX funds with Alameda prompted FTX to declare bankruptcy on Nov. 11. Bankman-Fried was arrested in capital Nassau on Dec. 12 and arrived in the United States on Wednesday after consenting to extradition.

Bankman-Fried left the courthouse, surrounded by guards with assault weapons, and entered a vehicle, according to Reuters Video. The Ministry of Foreign Affairs in The Bahamas said in a statement that the foreign minister had signed off on allowing Bankman-Fried's extradition to the United States. Bankman-Fried was arrested on a U.S. extradition request last week in The Bahamas, where he lives and where FTX is based. [1/10] Sam Bankman-Fried, the founder and former CEO of crypto currency exchange FTX, is escorted out of the Magistrate Court building in Nassau, Bahamas December 21, 2022. This rule, which is in The Bahamas’ extradition treaty with the United States, says a person can be tried only on the charges for which they are extradited.

Bankman-Fried left the courthouse, surrounded by guards with assault weapons, and entered a vehicle, according to Reuters Video. Bankman-Fried was arrested on a U.S. extradition request last week in The Bahamas, where he lives and where FTX is based. [1/10] Sam Bankman-Fried, the founder and former CEO of crypto currency exchange FTX, is escorted out of the Magistrate Court building in Nassau, Bahamas December 21, 2022. This rule, which is in The Bahamas’ extradition treaty with the United States, says a person can be tried only on the charges for which they are extradited. Bankman-Fried has acknowledged risk-management failures at FTX, but has said he does not believe he has criminal liability.

It paves the way for the founder of the FTX cryptocurrency exchange to be flown to the United States as early as Wednesday afternoon. Bankman-Fried was arrested on a U.S. extradition request last week in The Bahamas, where he lives and where FTX is based. [1/8] Sam Bankman-Fried, the founder and former CEO of crypto currency exchange FTX, is escorted into the Magistrate Court building in Nassau, Bahamas December 21, 2022. This rule, which is in The Bahamas’ extradition treaty with the United States, says a person can be tried only on the charges for which they are extradited. Bankman-Fried has acknowledged risk-management failures at FTX, but has said he does not believe he has criminal liability.

NASSAU, Dec 21 (Reuters) - Sam Bankman-Fried left a Bahamas correctional facility and arrived in court on Wednesday morning, a source said, a day after the founder of the FTX cryptocurrency exchange signed papers paving the way for his extradition to the United States, where he faces fraud charges. Bankman-Fried is expected to sign additional papers in court finalizing his waiver of rights to fight extradition, another person close to the matter told Reuters. Bankman-Fried was arrested on a U.S. extradition request last week in The Bahamas, where he lives and where FTX is based. [1/6] Sam Bankman-Fried, founder and former CEO of crypto currency exchange FTX, leaves the Magistrate Court building in Nassau, Bahamas December 19, 2022. Wednesday's hearing will follow a confusing sequence of events this week that left the status of Bankman-Fried's expected extradition unclear.

NASSAU, Dec 21 (Reuters) - Proceedings are set to resume on Wednesday in Sam Bankman-Fried's Bahamas court case, after the founder of the FTX cryptocurrency exchange signed papers paving the way for his extradition to the United States, where he faces fraud charges. Bankman-Fried was arrested on a U.S. extradition request last week in The Bahamas, where he lives and where FTX is based. He initially said he would contest extradition, but Reuters and other outlets reported over the weekend that he would reverse that decision. Wednesday's hearing will follow a confusing sequence of events this week that left the status of Bankman-Fried's expected extradition unclear. [1/6] Sam Bankman-Fried, founder and former CEO of crypto currency exchange FTX, leaves the Magistrate Court building in Nassau, Bahamas December 19, 2022.

A hearing in Bankman-Fried's case will take place on Wednesday at 11 a.m. EST (1600 GMT), a court official told Reuters. Wednesday's proceeding could set the stage for the 30-year-old cryptocurrency mogul to depart the Caribbean nation, after several days of confusion about the status of Bankman-Fried's extradition. A person familiar with the matter said Bankman-Fried intends to consent to extradition. He initially told a Bahamas court he would contest extradition, but Reuters and other outlets reported over the weekend that he would reverse his decision. [1/2] The Founder and former CEO of crypto currency exchange FTX Sam Bankman-Fried leaves the Magistrate Court building in Nassau, Bahamas December 19, 2022.

☆ Bankman-Fried hearing to resume on Wednesday as extradition decision looms
▼ + stars: | 2022-12-20 | by ( Maria Alejandra Cardona | Industry Insight | Saw Law Firms Move Past The Pandemic Into A More Client-Focused Service Environment | ) www.reuters.com time to read: +3 min

[1/2] The Founder and former CEO of crypto currency exchange FTX Sam Bankman-Fried leaves the Magistrate Court building in Nassau, Bahamas December 19, 2022. Tuesday's events mark the latest episode in what has become a confusing, back-and-forth saga over Bankman-Fried's extradition. Last week, he initially told a Bahamas court he would contest extradition, but Reuters and other outlets reported over the weekend that he would reverse his decision. During a court hearing on Monday at which Bankman-Fried appeared, Roberts said he had not been informed of the purpose of the proceeding. The person familiar with the matter told Reuters after Monday's hearing that Bankman-Fried would indeed consent to extradition.

☆ FTX's Bankman-Fried, facing extradition, due back in Bahamas court
▼ + stars: | 2022-12-20 | by ( Industry Insight | Saw Law Firms Move Past The Pandemic Into A More Client-Focused Service Environment | Thomson Reuters Institute | ) www.reuters.com time to read: +3 min

[1/2] The Founder and former CEO of crypto currency exchange FTX Sam Bankman-Fried leaves the Magistrate Court building in Nassau, Bahamas December 19, 2022. It was not immediately clear if Bankman-Fried had arrived at the court in Nassau. On Monday, Bankman-Fried appeared in court in capital Nassau after Reuters and other outlets reported over the weekend that he had decided to agree to extradition. But during the tumultuous hearing, a Bahamas lawyer for Bankman-Fried, Jerone Roberts, said his client was not yet ready to consent. Upon arrival in the United States, Bankman-Fried would enter a plea in federal court within a day or two.

☆ FTX's Bankman-Fried, facing extradition, to appear in Bahamas court -source
▼ + stars: | 2022-12-20 | by ( Industry Insight | Saw Law Firms Move Past The Pandemic Into A More Client-Focused Service Environment | Thomson Reuters Institute | ) www.reuters.com time to read: +3 min

[1/2] The Founder and former CEO of crypto currency exchange FTX Sam Bankman-Fried leaves the Magistrate Court building in Nassau, Bahamas December 19, 2022. On Monday, Bankman-Fried appeared in court in capital Nassau after Reuters and other outlets reported over the weekend that he had decided to agree to extradition. But during the tumultuous hearing, a Bahamas lawyer for Bankman-Fried, Jerone Roberts, said his client was not yet ready to consent. Roberts said Bankman-Fried had seen an affidavit outlining the U.S. charges against him, but that he wanted to see the full indictment, which was unsealed in Manhattan federal court on Dec. 12. Upon arrival in the United States, Bankman-Fried would enter a plea in federal court within a day or two.

Days before FTX’s bankruptcy filing last month, co-CEO Ryan Salame told Bahamian authorities that founder Sam Bankman-Fried may have committed fraud by sending customer money from the crypto exchange to his other firm, Alameda Research. According to a filing on Wednesday tied to FTX’s bankruptcy proceedings, Salame disclosed “possible mishandling of clients’ assets” by Bankman-Fried. FTX declared bankruptcy on Nov. 11. The indictment, unsealed on Tuesday, charged Bankman-Fried with eight criminal counts related to fraud, money laundering and improper use of customer funds. Like Bankman-Fried, Salame was a significant political donor, donating $20 million to Republican causes.

☆ The SEC is bringing charges against Sam Bankman-Fried – here are the key takeaways from the filing
▼ + stars: | 2022-12-13 | by ( Pete Syme | ) www.businessinsider.com time to read: +6 min

The SEC has filed charges against FTX founder Sam Bankman-Fried. It alleges that he was "orchestrating a massive, years-long fraud" by misusing customer funds. It alleges that the FTX founder violated the Securities Act by misusing customer funds for his own benefit, and hiding debts from investors. It alleges Bankman-Fried "used Alameda as his personal piggy bank to buy luxury condominiums, support political campaigns, and make private investments, among other uses." Bankman-Fried misled investors by saying "assets are fine"On November 7 – just four days before FTX filed for bankruptcy – Bankman-Fried tweeted "FTX is fine.

CNBC's Andrew Ross Sorkin reported that the charges against Bankman-Fried include wire fraud, wire fraud conspiracy, securities fraud, securities fraud conspiracy and money laundering. Neither the Attorney General of the Bahamas nor the Royal Bahamas Police Force would confirm the nature of the charges against Bankman-Fried. "I didn't ever try to commit fraud," Bankman-Fried said. The CFTC and lawmakers have begun their probes into FTX and Bankman-Fried, who told Sorkin he was down to his last $100,000. Failed lender BlockFi sued Bankman-Fried in November, seeking unnamed collateral that the FTX founder provided for the crypto lending firm.

☆ Sen. Warren demands answers from Silvergate Bank about its business dealings with FTX
▼ + stars: | 2022-12-06 | by ( Gretchen Morgenson | Gretchen Morgenson Is The Senior Financial Reporter For The Nbc News Investigative Unit. A Former Stockbroker | She Won The Pulitzer Prize In For Her | ) www.nbcnews.com time to read: +13 min

“Life as a crypto firm can be divided up into before Silvergate and after Silvergate,” Bankman-Fried gushed in a testimonial featured recently, and prominently, on Silvergate Bank’s website. But in a conversation with an investment manager, a former top FTX employee said Silvergate was FTX’s primary banking partner. As a regulated bank, Silvergate has a duty to monitor clients’ accounts for suspicious activities that could signal fraud, money laundering or tax evasion, the filings note. FTX frequently used the Silvergate Exchange Network, according to the former FTX employee with direct knowledge of the transactions. A Silvergate spokeswoman said the change reflected a shift in functions taken on by a new president at the bank.

☆ Sam Bankman-Fried just explained what happened at FTX: Everything to know
▼ + stars: | 2022-12-01 | by ( Phil Rosen | ) www.businessinsider.com time to read: +6 min

While the world's most powerful finance official took the lunchtime billing, it was Sam Bankman-Fried who held the primetime slot. Sam Bankman-Fried, FTX CEO, at a digital assets hearing in 2021. Within minutes of starting, Sorkin asked Bankman-Fried directly if there was a commingling of funds between the two now-bankrupt companies he founded, FTX and Alameda Research. When Sorkin asked whether Bankman-Fried feels he has any criminal liability, Bankman-Fried said that's not what he's focused on right now. Earnings on deck: Toronto-Dominion Bank, Bank of Montreal, and Dollar General Corporation, all reporting.

☆ As BlockFi becomes the latest victim in crypto contagion, experts share 4 tips to safely gain exposure to the market
▼ + stars: | 2022-11-30 | by ( Laila Maidan | ) www.businessinsider.com time to read: +5 min

BlockFi has become the latest victim caught up in the crypto market's contagion. Crypto platforms that are managing and holding client deposits really need to be run with the same rigor and transparency as traditional financial institutions, he noted. A traditional exchange just executes transactions and matches the buyers and sellers, he added. In some instances, crypto platforms that mimic broker activity in exchange for providing their customers yield must fully disclose their practices. Hyman says another option for investors is to gain exposure to crypto through the heavily regulated futures market.

☆ Finding bright spots in the bitcoin bear market
▼ + stars: | 2022-11-16 | by ( Kevin Schmidt | ) www.cnbc.com time to read: +4 min

Despite a tumultuous year for cryptocurrencies and their trading platforms, there remains a bright spot in the space: bitcoin futures ETFs. The ProShares Bitcoin Strategy ETF (BITO) hit a trading record on Nov. 8, surpassing its previous record by 64%. And volume for ProShares Short Bitcoin Strategy ETF (BITI) also on Nov. 8 spiked 366% higher than any day since its launch, according to ProShares. Hyman said the lack of segregation among bitcoin exchanges underlines the need for maturation. "You hold enough cash, such that the return should be approximately spot bitcoin.

☆ Business owners have an IRS payment coming due well before April federal income tax deadline
▼ + stars: | 2022-11-15 | by ( Cheryl Winokur Munk | ) www.cnbc.com time to read: +6 min

New business formation has boomed, and that means more new business owners than ever are dealing with tax season and potential tax nightmares. For starters, there's a big tax bill coming due for many business owners related to the pandemic, well ahead of the April 2023 federal income tax deadline. Here are a few more tips to stay ahead of the IRS this income tax season. Expect a new tax form related to Venmo, PayPal incomeFor tax year 2022, many business owners may be receiving a form they haven't in the past. The Wave State of Small Business Study for 2022 found that 35% of small businesses are blurring the lines between personal and business accounts.

☆ U.S. securities regulator says crypto events underscore industry risks
▼ + stars: | 2022-11-09 | by ( Chris Prentice | ) www.reuters.com time to read: +1 min

WASHINGTON, Nov 9 (Reuters) - The turmoil in the cryptocurrency industry of the last few days underscores the risks inherent in the industry as intermediaries handle so many core functions, the head of the top U.S. markets regulator said on Wednesday. Securities and Exchange Commission (SEC) Chair Gary Gensler used the events of the last few days - centered on concerns over the financial healthy of major cryptocurrency exchange FTX - to emphasize the risks of a crypto industry that has been operating outside of traditional financial markets' oversight. "I've been saying this for well over a year now in this job: come in, get registered, come within the securities laws," Gensler said during a Healthy Markets Association event. Gensler noted risks from the "commingling" of key intermediary functions in the cryptocurrency world, in which the same firms serve multiple roles, such as exchanges and market makers. The SEC, which is investigating FTX's handling of client funds, has ratcheted up scrutiny of the crypto industry under Democratic leadership.

☆ EU considers tighter rules for commodity houses after margin turmoil
▼ + stars: | 2022-11-09 | by ( Huw Jones | ) www.reuters.com time to read: +2 min

Commodity markets have long been governed by relatively light regulation, but the EU document seen by Reuters said waivers for big commodity players from rules that govern banks could be scrapped. The European Commission, the EU executive, is expected to set out proposals next month to update its European Market Infrastructure Regulation (EMIR) to 'incentivise' clearing in euro swaps to move from post-Brexit London. "Recent events in commodity markets have highlighted targeted areas where there may be merits in improving the EMIR framework," the European Commission informal document prepared for a meeting on Tuesday of EU member state officials said. Ideas include clearing houses having separate accounts for financial and non-financial customers to avoid "commingling of risk", though this could be costly to implement. Clearing houses, which stand between buyers and sellers to ensure completion of a trade and collect margin, could also be required to have a separate default fund for their commodities business.

☆ Coinbase criticizes Singapore's crypto regulations, urges city-state to embrace retail trading
▼ + stars: | 2022-11-04 | by ( Sheila Chiang | ) www.cnbc.com time to read: +3 min

It comes after Coinbase received in-principle approval from MAS to offer digital payment token services in the city-state. "Those two things are incompatible in my mind, and I would like to see Singapore embrace retail trading and self-hosted wallets," Armstrong added. The city-state has repeatedly warned that cryptocurrencies are highly speculative and volatile after many retail investors lost large chunks of their savings. SINGAPORE – Co-founder and CEO of U.S.-based crypto exchange platform Coinbase , Brian Armstrong, said that Singapore wants to be a forward-looking regulator, but is not welcoming toward crypto trading. "Crypto should not be treated at a disadvantage; they should be treated equally with other financial service regulations."

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