Accusations of Fraud and Misappropriation
Charles Hoskinson, the founder of Cardano, has drawn parallels between former FTX CEO Sam Bankman-Fried and notorious fraudster Bernie Madoff. Hoskinson accused the media of giving Bankman-Fried a 'free pass', despite evidence of misappropriation and stealing of customer funds involving FTX.
Hoskinson Calls Out Media and Authors
Hoskinson took to X (formerly Twitter) on Oct. 9 to criticize the media frenzy surrounding Bankman-Fried after the collapse of FTX. He specifically singled out author Michael Lewis, whose book on Bankman-Fried gained significant media attention just days before the former CEO's trial, labeling it an 'apology tour'.
FTX's Downfall and Investigations
FTX was the third largest crypto exchange when it crashed in November 2022, with allegations of external market conditions and liquidity crunch being blamed. However, subsequent investigations by US enforcement agencies painted a different picture. Bankman-Fried now faces seven charges of conspiracy and fraud related to the fall of FTX, to which he has pleaded not guilty.
Revelations from the Trial
The ongoing trial has revealed that Bankman-Fried spent millions of dollars on aggressive PR tactics to create a favorable image. This included paying celebrities like Tom Brady and Kevin O Leary substantial amounts for their time. Other indulgences included private jets, Super Bowl ads, and even contemplating paying Donald Trump $5 billion not to run for office.
Focus on Missing Customer Funds
The trial's first week, starting on Oct. 3, has centered around the disappearance of $8 billion of FTX customer funds. Testimony from witnesses, including discussions of a secret backdoor into FTX, has shed light on the alleged misappropriation. Cointelegraph reporters are providing real-time updates on the trial from New York.
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https://trendinginthenews.com/crypto-currency/mistake-or-money-laundering-user-pays-16-million-for-cryptoadz-nft
