Evidence presented in court during the ongoing criminal trial against Sam “SBF” Bankman-Fried, former CEO of FTX exchange, has revealed his belief that Binance leaked an Alameda balance sheet to the media in 2022. The evidence includes a memo created by SBF on November 6, 2022, which outlined potential investors and parties to reach out to for a bailout. In the memo, Bankman-Fried accused Binance of engaging in a PR campaign against Alameda Research. He claimed that Binance leaked the balance sheet, shared it with Coindesk, and publicly announced the sale of $500 million worth of FTT in response to it, while also warning customers to be cautious of FTX. CoinDesk subsequently released a report based on the leaked balance sheet, which contributed to the run on the exchange and its eventual bankruptcy. The document also revealed that Justin Sun, founder of the TRON network and Huobi advisor, was a potential investor, but it was later discovered that he had a close relationship with CZ, the founder of Binance. Caroline Ellison, former CEO of Alameda Research, testified that she was stressed when CZ tweeted about liquidating his share of FTX Token (FTT), as it highlighted their financial difficulties. Ellison confirmed that the tweets in question were indeed from CZ of Binance. The trial is currently in its second week, with Bankman-Fried facing seven charges of conspiracy and fraud related to the collapse of FTX. A second trial is scheduled for March 2024, during which SBF will face six additional charges, including bank fraud and foreign bribery conspiracy. Ellison has been a key witness in the trial and is set to undergo cross-examination by the defense’s attorneys. Cointelegraph reporters are providing live coverage of the trial in New York.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | |
| Sentiment | negative |
| Relevance Score | 1 |
| People | Justin Sun, CZ, Sam Bankman-Fried, Caroline Ellison |
| Companies | TRON network, CoinDesk, Alameda Research, FTX exchange, Binance |
| Currencies | FTX |
| Securities | None |
