Breaking: U.S. Regulators Seize $700 Million Belonging To FTX’s Sam Bankman-Fried
According to documents filed in court on Friday, federal authorities have seized more than $697 million in cash and assets associated with Sam Bankman-Fried. The majority of these assets were in the form of Robinhood shares that were owned by the founder of FTX. Bankman-Fried disclosed in May that he had acquired a 7.6% stake in Robinhood which at that time appeared to be an “attractive investment.”
$700 Mn Of SBF’s Assets Seized
The 55 million or more Robinhood shares are at the center of a heated legal dispute that involves multiple parties, including claimants from the Caribbean, representatives of defunct cryptocurrency lender BlockFi, Bankman-Fried himself, and the leadership of FTX’s bankruptcy proceedings. Federal prosecutors have made the claim that these Robinhood shares were purchased with the money that was allegedly stolen from FTX customers.
Read More: Check Out The Top Crypto Telegram Channels Of 2023
Over $6 million was taken from three accounts at Silvergate Bank that was in the name of FTX Digital Markets. These assets, which were formerly owned by a Bahamian company, were later acquired by the U.S. government on January 11. Silvergate recently reported that in the fourth quarter of 2022, it witnessed a net loss of $1 billion due to the FTX collapse. In addition, the court petition claimed that about $50 million were stored at Moonstone Bank, a financial institution in the United States that has connections to the FTX administration.
SBF’s Binance Accounts
On the other hand, the total worth of the funds and valuables held in one Binance account and two Binance.US accounts were not disclosed by federal prosecutors. These three Binance wallets were the only assets that had been seized which did not have any monetary worth associated with them.
John J. Ray III, who took over as the new CEO of FTX when Bankman-Fried resigned, is currently focusing on the company’s reorganization while working to recover funds that were lost by the firm’s depositors. The 30-year-old Bankman-Fried was later taken into custody in December on allegations of criminal fraud, and he is presently under house arrest upon paying a $250 million bail. SBF has pleaded not guilty and is currently awaiting trial which is slated to be on the 2nd of October.
Also Read: Is Bitcoin (BTC) Price Gunning For $35,000 In Coming Months?
- Expert Explains Pi Network–Sign Meeting, Says It Could Trigger Binance Listing
- Is Trump Family, Mr. Beast Buying ASTER Token? Rumors Gain Strength
- Solana ETF Update: Grayscale, Fidelity, Others Files S-1 With Staking, Approval Expected in Two Weeks
- Cyber Hornet Seeks SEC Nod for S&P 500 and XRP ETF
- Cathie Wood’s Ark Invest Eyes Stake in Tether as USDT Issuer Targets $500B Valuation
- Solana Price Set for Q4 Surge as Canary Capital ETF Filing Meets Wyckoff Accumulation
- Avalanche Price Could Surge to $50 as Transactions Jump 200%
- CHMPZ Price Prediction:Will This Net-Zero Community Token be the Next Gem?
- Ethereum (ETH) Price Set for a rebound as Whales Accumulate $1.6B ETH and Outflows Hit $622M
- HYPE Price Prediction As Bitwise Files For Hyperliquid ETF – Is $55 In Sight?
- Shiba Inu Price Eyes Recovery From Demand Zone With Burn Rate Soaring Nearly 400%
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
