US federal prosecutors have seized nearly $700 million in cash and assets related to Sam Bankman-Fried, the disgraced founder of FTX.
At the center of the seizure are the 55 million shares of Robinhood owned by Bankman-Fried and Gary Wang, valued at more than $455 million. Ownership of the shares has been disputed even by BlockFi and FTX creditor Yonathan Ben Shimon, who has claimed them. The feds, for example, believe they were purchased with funds allegedly stolen from FTX clients.
seized assets
CNBC report identified three FTX Digital Markets accounts at Silvergate Bank, which had more than $6 million. These assets were seized around January 11. A rural Washington state bank, Moonstone Bank, also had ties to FTX management and owned nearly $50 million, which is now in US government custody.
In a recent declarationthe bank said it will exit the crypto space and instead return to its “original mission” as a community bank.
Assets from a Binance and two Binance.US account numbers were seized, but the feds have not said anything about the values. More than $20 million withheld under Emergent Fidelity Technologies was also subject to forfeiture.
FTX’s restructuring director, John J. Ray III, along with his new management, have tracked down billions of dollars in assets tied to Bankman-Fried’s crypto empire as part of bankruptcy proceedings. The former CEO has pleaded not guilty to eight criminal charges, including wire fraud and violations of campaign finance laws, following his extradition to the United States from the Bahamas.
SBF Bail Consequences
After his bail, new details surfaced regarding two anonymous individuals, other than their parents, who co-sponsored a total of $700,000 in bail for Bankman-Fried’s bail. One individual chipped in $500,000, while the other chipped in $200,000 to help get him out of jail. However, the court redacted their names after lawyers representing the FTX founder raised concerns for his safety.
The former cryptocurrency mogul previously argued that his family became the target of “intense media scrutiny, harassment, received threats of physical harm” after the exchange went bankrupt, trapping billions in investor funds.
Most recently, in a filing in federal court in Manhattan, SBF attorneys claimed that three men drove their vehicle into a metal barricade in front of their parents’ California home and even threatened the security officer stationed there.
The 30-year-old man was granted a $250 million bail accompanied by several conditions. His criminal trial is scheduled to begin in October this year.
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