FTX CEO Cashed Out $905 Million Before Collapse
The founder of FTX, Sam Bankman-Fried, was reported to have received nearly one billion dollars in cash payments during the period leading up to the crypto exchange's bankruptcy.
As revealed in recent court filings, Bankman-Fried accumulated substantial cash payments from FTX as early as January 2022, continuing until October of the same year, just a month before the exchange’s collapse.
These documents further detail that the former FTX CEO received cash sums amounting to $200 million on two distinct occasions. In total, Bankman-Fried amassed over $905 million from FTX over a span of nine months.
Bankman-Fried is presently awaiting trial, facing charges of defrauding investors and mishandling billions of dollars in customer funds connected to FTX’s collapse in the previous year. If found guilty, he could potentially be sentenced to decades in prison.
It’s worth noting that Bankman-Fried is not the sole former executive who benefited from the now-defunct FTX empire’s funds.
Court records indicate that FTX disbursed $2.513 million for the purchase of a yacht belonging to Sam Trabucco, the former co-CEO of FTX’s trading arm, Alameda Research. This transaction occurred less than six months before Trabucco’s departure from the company.
Similarly, Caroline Ellison, another former co-CEO of Alameda, received $3.5 million in cash payments in September 2022.
Several other former FTX executives, including Gary Wang, Ryan Salame, Nishad Singh, and Jonathan Cheesman, also received multi-million-dollar cash payments from the bankrupt crypto exchange.