According to bankruptcy court filings made by the new management, FTX founder and former CEO, Sam-Bankman Fried (SBF), received $2.2 billion during his time as the exchange’s CEO. SBF and five people in his immediate circle, reportedly transferred $3.2 billion in total to their accounts. These funds were distributed in the form of “loans and payments.” The majority of the funding came from Alameda Research, FTX’s sibling company that was also established by SBF.
However, the $240 million for “luxury property in the Bahamas,” “political and charity gifts,” and “substantial transfers” to subsidiaries, according to the new management, were not included in the $3.2 billion sum.
Other Executives received capital while at FTX?
FTX and Alameda Research executives, Nishad Singh, Gary Wang, and Caroline Ellison, were sent more than $800 million. However, former Alameda Research head, Ellison, received $6 million. Alameda had access to “an unlimited line of credit on FTX.com” from 2019 to 2022, According to Ellison.
Ryan Salame and John Samuel Trabucco, two former FTX executives, were said to have gained more than $100 million collectively.
At its peak, the exchange was valued at more than $40 billion. John Ray, the current FTX CEO, has been attempting to locate assets, including several cryptocurrencies which remain out of reach. If found, the money can eventually be returned to the millions of clients whose accounts have been frozen since the company’s bankruptcy. SBF is currently facing up to a dozen charges in regard to the exchange’s fall. He is charged with robbing the firm for personal benefit and also with securities fraud.
At one point, SBF was practically the face of the cryptocurrency industry. He is currently being held in custody at his parents’ California home while awaiting a trial, scheduled to start in October. SBF has entered a “not guilty” plea to the federal charges.