Sam Bankman-Fried denies defrauding FTX users at trial

The jury overseeing the felony trial of Sam “SBF” Bankman-Fried listened to the previous FTX CEO’s testimony for the primary time, which concerned largely denying information of fraudulent actions at the crypto alternate.

According to stories from the New York courtroom on Oct. 27, Bankman-Fried suggested Wang, the previous chief know-how officer at FTX, had been partly answerable for creating the “allow negative” button for Alameda Research. The function gave the crypto hedge fund the power to commerce extra funds than it had accessible.

“At the time, I wasn’t entirely sure what was happened,” Bankman-Fried reportedly mentioned concerning Alameda’s line of credit score. “I thought the funds were being held in a bank account, or sent to FTX in stablecoins. If Alameda was keeping it, I figured it would be reflected as a negative number on FTX.”

On former Alameda co-CEOs Caroline Ellison and Sam Trabucco, Bankman-Fried reportedly mentioned they had been “a good team” however criticized Ellison’s expertise: 

“Caroline was a good manager, empathetic. She was not a software developer. She was good at doing research. She had not focused on risk management.”

This is a growing story, and additional data shall be added because it turns into accessible.