FTX Crisis: Can SBF’s Political Lobby Rescue FTX?

Sam Bankman-Fried (SBF), CEO of FTX Trading Limited has been allegedly personally lobbying in Washington, D.C over the past year. However, Now experts have claimed that the U.S. SEC and other watchdog groups might be helping him to get away from this FTX Crisis.

FTX Crisis to be resolved soon?

Ron Hammond, Director of Government Relations at Blockchain Associations has shared some insights from SBF’s attempt to gain regulatory benefits. He mentioned that no other CEO be it related to Crypto or not has been personally lobbying in DC to this extent.

He highlighted that SBF donated money to members while aggressively lobbying for the much disputed Digital Commodity Consumer Protection Act (DCCPA). The controversial bill is led by the Senate Agriculture committee lead D and R.

Eleanor Terrett, Fox Business Journalist reported that an Ex CFTC commissioner who served under Gary Gensler, SEC Chair is now FTX U.S. Head of Policy and Regulatory Strategy.

She mentioned that a source has revealed that he was the key person who led SBF’s lobbying efforts in DC. Terrett added that it is interesting to note the MIT ties between FTX/Alameda and SEC Chair.

Tom Emmer, Congressman for Minnesota commented that the SEC chair always to the media while reports allege that he was helping SBF and FTX. He was working on the legal loopholes to obtain a regulatory monopoly.

Earlier, Coingape reported that crypto leaders are alleging that SEC has been responsible for FTX Crisis.

What next for SBF?

However, Ron Hammond further highlighted that DCCPA is still not finished yet. It will likely be iced out till next year. Congress feels compelled to act during a such crisis.

The hearing in the house and senate will happen by next week. There are major possibilities that there will be hearing just focused on FTX crisis and crypto regulation.