Fun

FTX victims will ‘never’ be whole thanks to SBF’s ‘dumpster fire’ — John Ray

News Feed - 2024-03-21 03:03:24

Martin Young2 hours agoFTX victims will ‘never’ be whole thanks to SBF’s ‘dumpster fire’ — John RayFTX chief John Ray III wrote a scathing victim impact statement on the exchange’s co-founder, Sam Bankman-Fried, ahead of his sentencing date.1315 Total viewsListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksFTX restructuring officer and CEO John Ray III has slammed an attempt from Sam Bankman-Fried’s lawyers to reduce his sentence, arguing victims “have suffered and continue to suffer.” 


Ray wrote to Judge Lewis Kaplan on March 20 in a victim impact statement on behalf of FTX and its “millions of creditor victims” to “correct material misstatements and omissions in the sentencing submission” from Bankman-Fried.


The letter comes after Bankman-Fried’s lawyers argued on March 19 that the 40-to-50-year sentencing guide from United States government prosecutors was too harsh.


Ray argued that Bankman-Fried’s claims that FTX was solvent at bankruptcy and that no money was lost were “categorically, callously, and demonstrably false.”“Customers still will never be in the same position they would have been had they not crossed paths with Mr. Bankman-Fried and his so-called brand of ‘altruism.’”


Ray stated he has led an extensive team that has spent over a year “stewarding the estate from a metaphorical dumpster fire” to a company approaching a plan “that will return substantial value to creditors.”


“Mr. Bankman-Fried’s victims will never be returned to the same economic position they would have been in today absent his colossal fraud,” he added in another part of the letter.Screenshot of letter from John Ray III to Judge Kaplan. Source: Courtlistener


Ray took over the embattled exchange in November 2022 and detailed the extensive work done by an army of lawyers to recover assets, cooperate with investigations, and position the firm, which now plans to return all value to creditors.


This recovery doesn’t erase the immense harm caused by Bankman-Fried’s crimes, however, Ray said.


He stated when he took over as CEO that there were only 105 Bitcoin (BTC) left on FTX, against customer entitlements of nearly 100,000 BTC.


“Why were the Bitcoins missing?” he questioned before stating that a jury has “concluded beyond a reasonable doubt that Mr. Bankman-Fried stole them and converted them into other things.”


Ray claimed that Bankman-Fried considered conflicting public relations strategies after bankruptcy, including blaming the restructuring team while also claiming to want to work with them to repay creditors.


Related:SBF says proposed 50-year sentence casts him as ‘depraved super-villain’


Ray said that it was only because of the Chapter 11 bankruptcy case that the firm had assets that could rebound in value, referring to the recent crypto market rally.


“Make no mistake; customers, non-governmental creditors, governmental creditors, and non-insider stockholders have suffered and continue to suffer,” he concluded.


Bankman-Fried’s lawyers argued that a 40-to-50-year sentencing proposal for a “non-violent offense” was “medieval” while requesting that it be reduced to around five to six and a half years.


Bankman-Fried was found guilty of seven charges relating to various fraud and money laundering brought against him by the United States government, almost a year after the collapse of the crypto exchange.


He’s set to be sentenced on March 28.


Magazine:Can you trust crypto exchanges after the collapse of FTX?# Law# Business# Court# Sam Bankman-Fried# FTXAdd reactionAdd reactionRead moreLayerswap overrides website hack that drained $100KPundits worry SEC’s Ethereum probe could be used to hold back ETFsHonduras gains new support in $11B tussle with crypto island Próspera

News Feed

Hacker Sent to Prison for Robbing Vietnamese Crypto Exchange
Hacker Sent to Prison for Robbing Vietnamese Crypto Exchange Authorities in Vietnam have caught and sentenced a hacker who stole money and data from a local cryptocurrency exchange
Bitcoin, Ethereum Technical Analysis: ETH Above $1,600 as ‘Bellatrix’ Hard Fork Commences
Bitcoin, Ethereum Technical Analysis: ETH Above $1,600 as "Bellatrix" Hard Fork Commences Ethereum rallied on Tuesday, as founder Vitalik Buterin confirmed a part of the “Me
Biggest Movers: DOGE Down 10%, Falling to Lowest Point Since October
Biggest Movers: DOGE Down 10%, Falling to Lowest Point Since October Dogecoin fell to its lowest level since October, as cryptocurrency prices plunged during Friday’s sessio
DeFi pump-and-dump schemes rake in millions, harm industry credibility
Francisco Rodrigues9 hours agoDeFi pump-and-dump schemes rake in millions, harm industry credibilityOver 90,000 Ethereum-based projects were likely involved in pump-and-dumps schemes, damaging the industry’s reputation
William Suberg12 hours agoBitcoin is in ‘new bull cycle’ — Metric that bottomed before 70% gainsBitcoin Realized Cap HODL Waves signal that the current bull market launch is a classic repeat of BTC price history.88
Brayden Lindrea6 hours agoBlockchain Capital’s X account hacked to promote token claim scamThe account made multiple posts promising a token giveaway and ushered users to a copycat website to connect their crypto walle
William Suberg1 hour agoBitcoin analysis agrees BTC price may stall at $35KBTC price will have trouble breaking above $35,000, various analysts warn, as major resistance appears on Binance.699 Total viewsListen to articl
Analysts Suspect the Fed Will Bump Federal Funds Rate by 75 bps Next Week, Others Predict the ‘Biggest Hike in Decades’
Analysts Suspect the Fed Will Bump Federal Funds Rate by 75 bps Next Week, Others Predict the "Biggest Hike in Decades’ Following the recent U.S. consumer price index report that
SEC, DOJ Investigate FTX — Regulators Suspect Crypto Exchange Mishandles Customer Funds
SEC, DOJ Investigate FTX — Regulators Suspect Crypto Exchange Mishandles Customer Funds The U.S. Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) are
Bitcoin indicators flash ‘greed and FOMO’ as ETF inflows top $300M
Tom Mitchelhill2 hours agoBitcoin indicators flash ‘greed and FOMO’ as ETF inflows top $300MKey Bitcoin sentiment indicators have quickly flipped into “greed” territory amid a sharp uptick in the crypto market an
Upland Sustains Mass Market Readiness With All-Inclusive Economy
Upland Sustains Mass Market Readiness With All-Inclusive Economy sponsored Upland is a mobile-first blockchain metaverse that allows users to buy virtual properties based on real wo
Ana Paula Pereira5 hours agodYdX founder claims targeted attack led to $9M insurance claimdYdX founder Antonio Juliano said that the decentralized exchange as well as the Yearn.Finance token (YFI) are victims of a target