Despite taking numerous steps to avoid this situation, Sam Bankman-Fried, founder of the crypto exchange platform, FTX, finds himself once again in custody. He faces the prospect of a two-month detention, pending a trial scheduled for October. But what exactly happened to bring this about?
SBF fails to meet bail conditions
After his arrest in the Bahamas, Sam Bankman-Fried (SBF) has been authorized to return to the United States to live with his family, subject to payment of a 250 million deposit just a few days after his extradition. However, his release was tarnished by his numerous breaches of the conditions set by the judge at the time of his release on bail.
Last month, the New York Times reported allegations that SBF allegedly tried to pressure former Alameda Research executive Caroline Ellison, one of the key witnesses in his legal battle with the US authorities.
At the recent hearing, the judge cited other transgressions committed by SBF, including the use of a VPN to connect to the Bahamas and watch a soccer game while at home in Palo Alto. The request from his attorney, Marc Cohen to delay his detention was rejected by the judge.
Sam Bankman-Fried in jail on bribery charges of witnesses
Faced with these numerous infractions, the American judge Lewis Kaplan took the decision to send him back to prison, arguing that that he could not be considered trustworthy while living with his parents.
Therefore, SBF has been transferred to Putnam prison, where he will probably remain until the start of his trial scheduled for October 2. In the meantime, he will have access to a laptop computer with an Internet connection to prepare his defense.
The ongoing story of FTX’s founder, which has been unfolding since last year, is finally beginning to take shape. The determination with which the judge acted to impose a penalty could play a crucial role in the final denouement that awaits Sam. We can only hope that SBF will finally answer in court for all his actions.
Coming from a journalism university background, I came across Bitcoin and cryptocurrencies not long ago.
The potential of the Blockchain seduced me and I made it my research topic.