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On Wednesday, a judge in New York approved a $250 million bail bond for Sam Bankman-Fried, the founder of crypto exchange FTX, allowing him to return to his parents’ home in California while awaiting trial. Bankman-Fried had previously claimed to have only $100,000 left in assets. The judge implied that Bankman-Fried poses no danger to the public in terms of future financial crimes. The FTX founder will be under house arrest and required to wear an electronic monitoring bracelet.
Bankman-Fried Waived Extradition Rights to Fight for Bail
Bankman-Fried’s possibility of getting bail was a major factor in his decision to waive his right to fight extradition to the U.S. from the Bahamas. He will now be able to return home and have some degree of comfort while awaiting trial.
Bankman-Fried’s former employees, Caroline Ellison, the CEO of FTX affiliate Alameda Research, and Gary Wang, the CTO of FTX, have both pleaded guilty and are cooperating with authorities. This could increase the pressure on Bankman-Fried to take a similar deal and acknowledge wrongdoing.
Awaiting Details on FTX Founder’s Trial
It remains to be seen how Bankman-Fried will plead and what the outcome of his trial will be. The $250 million bail bond and the cooperation of former FTX employees suggest that the case against Bankman-Fried may be strong, but more details about the trial and its potential implications for the FTX founder and the crypto industry as a whole are still to come.