Sam Bankman-Fried, the founder of cryptocurrency exchange FTX, has been charged with stealing customer funds for political campaign donations. Prosecutors claim that Bankman-Fried used funds stolen from FTX sister company Alameda Research to make campaign contributions before the 2022 US midterm elections.
He allegedly directed the money into the personal accounts of FTX executives, who then made the donations in their names. The charges filed against Bankman-Fried include wire fraud, securities fraud, commodities fraud, and money laundering. It is alleged that he attempted to use his political influence to lobby for legislation favorable to FTX.
Bankman-Fried is believed to have donated over $40 million to political figures in 2022, making him one of Washington’s largest donors. He has been jailed and had his bail revoked after being accused of tampering with witnesses. Bankman-Fried was arrested in the Bahamas in December 2022 on fraud charges related to the collapse of FTX. He maintains his innocence and has pleaded not guilty to all charges. The trial is scheduled for October 2.
Read Now: Superpowered All-In-One Crypto Newsletter: Milkroad, Defiant, Messari, Bankless And CoinDesk