SBF Expected to Plead Not Guilty

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t his upcoming arraignment, Sam Bankman-Fried (SBF) founder of the now defunct cryptocurrency exchange FTX, is expected to publicly deny all fraud and other related accusations against him.

According to a source close to the situation, as reported by The Wall Street Journal, Bankman-Fried is expected to enter an official plea of not guilty during their court appearance in Manhattan on Tuesday January 3rd. 

As is customary for criminal defendants, the not guilty plea was thoroughly anticipated. However, this does not necessarily have to be their final decision as they are allowed to modify it at any point in time.

The Southern District of New York has been scrutinizing Bankman-Fried and the fall out of FTX and its related trading firm, Alameda. The investigative findings unveiled eight criminal charges against SBF including wire fraud and conspiring to manipulate customer funds. In addition, the Securities & Exchange Commission also charged SBF with further violations "orchestrating a scheme to defraud equity investors in FTX."

Before his detention, SBF blamed faulty bookkeeping and a banking account issue for the gaping $10 billion deficit in FTX funds. Alameda Research, its associated trading firms, was able to cover up large losses with resources from FTX users due to this bank-account dilemma

Jonathan

An editor at Coincrop

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Jonathan is a Coincrop staff writer based in the UK, covering the best rates for cryptocurrency earning and borrowing products. When not at work, he's likely sailing.