Claiming Not To Be Involved, Sam Bankman-Fried Feelings Not Suspicious Funds And Save Billions Of US Dollars

Former FTX CEO Sam Bankman-Fried has denied most of the accusations against him (photo: Twitter @SALTConference)

JAKARTA - Former FTX CEO Sam Bankman-Fried has denied most of the accusations against him in "pre-death efforts" about the bankruptcy of crypto exchange FTX.

In a January 12 post on Substack, Bankman-Fried claims there is a way forward for customers of certain companies under the FTX umbrella to be made intact after the company's bankruptcy.

According to the former CEO, FTX US was "fully able to pay" by the time the company filed for bankruptcy Chapter 11, with cash of around US$350 million (Rp5.4 trillion).

https://t.co/XVd0BPHxEU

— SBF (@SBF_FTX) January 12, 2023

Bankman-Fried added that FTX International had assets of around $8 billion at the time John Ray took over as CEO, and he promised to use his personal assets "almost all" in a bid to return user money.

After FTX filed for bankruptcy, the former CEO claimed to have only USD 100,000 (IDR 1.5 billion) in his bank account, and then relied on his parents to guarantee their homes as part of his criminal case.

In connection with allegations that Alameda has access to FTX user funds without their knowledge or consent, amid criminal charges against him, Bankman-Fried has denied involvement.

"I didn't steal funds, and of course I didn't keep billions. Almost all my assets have and can still be used to support FTX customers," he said as quoted by Cointelegraph.

Bankman-Fried appointed law firm Sullivan & Crowell and general adviser to US FTX as the party that pressured him to appoint John Ray as CEO of FTX before the firm's bankruptcy, which appears to be disrupting the way to make users affected "substantially intact". He has largely blamed the bankruptcy of FTX on falling crypto markets in 2022 and PR campaigns for months against FTX by Binance CEO Changpeng Zhao.

When Alameda became non-liquid, FTX International also did so, because Alameda had an open margin position in FTX; and the bank's escape turned liquidity into bankruptcy, said Bankman-Fried. No funds were stolen. Alameda lost money due to the inadequate fall of an unvalued market as experienced by the Three Arrows and others this year.

Bankman-Fried pleaded not guilty to eight criminal charges in his case, including alleged violations of campaign financial laws and wire fraud. Former CEO of Alameda Research Caroline Ellison and FTX co-founder Gary Wang have pleaded guilty to related charges. The SBF trial is scheduled to begin in October.