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FTX founder and former CEO Sam Bankman-Fried has spoken out again to defend himself while awaiting trial on federal charges related to the collapse of his crypto empire, laying out his version of what led to the platform’s downfall in what he called a “preliminary – Death Review.

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In a Substack article published Thursday morning, Bankman-Fried blamed the collapse of FTX International — the Bahamas-based arm known as FTX Digital Markets Ltd. — on a combination of market crashes, mismanagement at his hedge fund Alameda Research, and sabotage by Changpeng. CZ” Zhao, head of FTX competitor Binance.

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Bankman-Fried said he “hadn’t been in charge of Alameda for the past few years,” distancing himself from the FTX subsidiary he co-founded and pointing to the setbacks in 2022 that led to its collapse.

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Although Bankman-Fried did not mention them by name in the Substack article, Caroline Ellison and Sam Trabucco were named co-CEOs of Alameda in October 2021. Trabucco stepped down last August, leaving Ellison as the sole chief executive of hedge. fund during its collapse in November.

Alameda Research CEO Caroline Ellison

Ellison is reportedly cooperating with prosecutors against Bankman-Freed and has pleaded guilty to several federal charges. Bankman-Fried maintains his innocence on all counts.

Bankman-Fried reiterated his repeated statement that FTX US was solvent at the time of filing for Chapter 11 bankruptcy and today “remains fully solvent and should be able to return all customer funds.” He wrote that “it’s ludicrous that FTX users in the US have yet to recover and get their funds back.”

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He said that FTX International still “has many billions of dollars worth of assets” and that “even now I believe that if FTX International reboots, there is a real possibility of a significant customer recovery.”

Bankman-Fried emphasized in his message on Thursday: “I did not steal funds and certainly did not hide billions.”

Sam Bankman-Fried

The company has recovered more than $5 billion in liquid assets so far, according to current FTX management. Bankman-Fried claims that FTX International’s assets were about $8 billion when it went bankrupt. At its peak, the cryptocurrency exchange was valued at around $35 billion.

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The former CEO also criticized the law firm Sullivan & Cromwell, which represented FTX US prior to the Chapter 11 filing and, according to Bankman-Fried, bankrupted the exchange while “forcing and threatening” him to name the new FTX. Chief John J. Ray III as his successor. The firm also represents FTX in its bankruptcy case, with billing rates that can be as high as $2,165 an hour.

FTX CEO John Ray III Testifies Before House Financial Services Committee

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Bankman-Fried has been far from silent since FTX filed for bankruptcy and reiterated several assertions he made in an affidavit he planned to present to Congress but was unable to appear due to his arrest the previous day. He was released from custody on $250 million bail and is under house arrest at his parents’ home in California. His trial is scheduled for October.