Ryan Salame, former co-CEO of FTX, is preparing to admit that he played a role in the crash of the FTX stock market. Such a situation will add intrigue to Sam Bankman-Fried’s upcoming trial.
Ryan Salame acknowledges his role in the FTX crash
According to the latest developments, Salame is preparing to file a criminal complaint in federal court in Manhattan. The details came from the final presentation of the ongoing hearing on FTX.
Salame’s confession comes less than a month before Sam Bankman-Fried’s trial. His confessions will spark a series of criminal and regulatory investigations involving FTX. Investigations also intensified because of Salame’s $24 million donation to political campaigns. Let’s note that the last time Salame was active on social media was November 2022.
It’s so powerful learning who your friends are! Very excited to grow with them in the long term. It’s not hard to genuinely figure out who cares about customers and who doesn’t if you look past the insanity
— Ryan Salame (@rsalame7926) November 7, 2022
Moreover, the federal government has previously scrutinized Salame specifically for violating campaign finance laws. This was associated with Michelle Bond’s role in the 2022 congressional race. As such, federal officials are trying to determine whether Salame and Bond violated government-set donation limits.
Salame will be the fourth FTX confessor
Meanwhile, Salame’s confession will be the fourth confession from FTX-related officials. Already facing federal fraud charges in December 2022, Caroline Ellison and Gary Wang pleaded guilty. Nishad Singh, FTX’s former director of engineering, also pleaded guilty earlier this year.
US District Judge Lewis Kaplan is now preparing to hear the testimony of Ryan Salame. The case against Bankman-Fried is also progressing under Kaplan’s presidency. But facing fraud and conspiracy charges associated with the stock market crash, Bankman-Fried pleads not guilty. He had become a millionaire before the collapse of FTX, with the rapid appreciation of cryptocurrencies, especially Bitcoin. As Kriptokoin.com, we have included what happened in the November 2022 FTX bankruptcy in this article.
Press Release pic.twitter.com/rgxq3QSBqm
— FTX (@FTX_Official) November 11, 2022
Ryan Salame’s confession complicates the upcoming (October 2) case for the founder of FTX. Given the extent of FTX’s collapse, Salame’s next hearing will garner a lot of attention inside and outside the crypto community.
SBF pleads not guilty
Despite the fourth confession, the notorious FTX founder continues to dispute that he played a role in the collapse. In the most recent developments, he has denied accusations of violating campaign finance laws and bribery in China. However, the new accusations increase the pressure on Bankman-Fried. The SBF faces decades in prison if found guilty at his trial, scheduled to begin October 2nd. Under US law, penalties for bribing a public official include a fine of up to three times the value of the bribe and up to 15 years in federal prison.
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