Top Stories This Week Crypto lender Genesis files for Chapter 11 bankruptcy FTX contagions continue to spread through the crypto industry, with Genesis Capital filing for bankruptcy protection in New York, estimating liabilities in the range of $1 billion to $10 billion, and assets at the same level. The company plans a “dual track process,” which will pursue “sale, capital raise, and/or an equitization transaction” and enable the business “to emerge under new ownership.” Genesis’ derivatives, spot trading, broker-dealer and custody businesses are not included in the proceedings, according to the company. In an effort to maintain liquidity, Genesis parent company Digital Currency Group suspended dividend withdrawals. Bitzlato and its founder face enforcement actions from US authorities Uni...
Top Stories This Week Sam Bankman-Fried: ‘I didn’t steal funds, and I certainly didn’t stash billions away.’ In a “pre-mortem overview” of FTX’s bankruptcy, Sam Bankman-Fried denied allegations of improper use of customer funds stored with the crypto exchange, attributing responsibility for the company’s dramatic fall to the market crash of 2022 and Binance CEO Changpeng Zhao’s PR campaign against FTX. In Bankman-Fried’s view, a run on the bank turned illiquidity issues into insolvency. Among the latest developments in the bankruptcy proceedings, a bipartisan group of United States senators criticized one of the law firms involved in the case on the grounds of a conflict of interest, and called on the U.S. Bankruptcy Court for the District of Delaware to appoint an independent examiner int...
Top Stories This Week Sam Bankman-Fried: ‘I didn’t steal funds, and I certainly didn’t stash billions away.’ In a “pre-mortem overview” of FTX’s bankruptcy, Sam Bankman-Fried denied allegations of improper use of customer funds stored with the crypto exchange, attributing responsibility for the company’s dramatic fall to the market crash of 2022 and Binance CEO Changpeng Zhao’s PR campaign against FTX. In Bankman-Fried’s view, a run on the bank turned illiquidity issues into insolvency. Among the latest developments in the bankruptcy proceedings, a bipartisan group of United States senators criticized one of the law firms involved in the case on the grounds of a conflict of interest, and called on the U.S. Bankruptcy Court for the District of Delaware to appoint an independent examiner int...
Top Stories This Week Sam Bankman-Fried enters not guilty plea for all counts in federal court Former FTX CEO Sam Bankman-Fried (has pleaded not guilty to all charges related to the collapse of the crypto exchange, including wire fraud and securities fraud. He faces eight criminal counts, which could result in 115 years in prison if convicted. Furthemore, a petition has been filed by Bankman-Fried’s legal team asking a court to redact and not disclose certain information on individuals acting as sureties for his $250-million bond, alleging threats against his family. US Feds put together ‘FTX task force’ to trace stolen user funds A task force organized by the Southern District of New York has been formed to track and recover missing customer funds as well as investigate and prosecute the ...
Top Stories This Week Bankman-Fried may enter plea in NY federal court next week before Judge Lewis Kaplan Former FTX CEO Sam Bankman-Fried is scheduled to appear in court on the afternoon of Jan. 3 to enter a plea on two counts of wire fraud and six counts of conspiracy against him in relation to the collapse of the FTX cryptocurrency exchange. After being released on a $250 million bail bond, Bankman-Fried reportedly met with Michael Lewis, author of The Big Short: Inside the Doomsday Machine, a bestseller that was turned into a movie, spurring speculation that a film about the disgraced exchange’s saga is on the way. SBF borrowed $546M from Alameda to fund Robinhood share purchase In another headline related to Sam Bankman-Fried, an affidavit by the founder of FTX revealed that he previ...
Top Stories This Week SBF sent home after his parents put up their house to cover his astronomical bail bond Sam Bankman-Fried will spend the holidays with his family in Palo Alto, California, after his parents secured $250 million in bail funds with the equity in their home. Among the conditions of the bail are home detention, location monitoring and his passport surrender. The former FTX CEO signed surrender documents on Dec. 20, allowing his extradition from the Bahamas to the United States, where he faces eight charges that could keep him behind bars for the rest of his life. Bankman-Fried will now wait for his sentence at home with his family. Caroline Ellison and Gary Wang plead guilty to fraud charges Former Alameda Research CEO Caroline Ellison and FTX co-founder Gary Wang have ple...
Top Stories This Week FTX founder Sam Bankman-Fried arrested, set to be extradited to US Sam Bankman-Fried was taken into custody by the Royal Bahamas Police Force and is likely to stay there until February, after his application for bail was denied in Bahamian court. A second application for bail has been reportedly filed by SBF in the Supreme Court of the Bahamas. His arrest came after the United States government officially filed criminal charges against him — including eight counts of fraud. If convicted, Bankman-Fried could face 115 years in jail, but legal commentators have told Cointelegraph there is a “lot to play out” in the case. The domino effect resulting from FTX’s meltdown has also impacted the professional lives of Bankman-Fried’s parents, resulting in their courses a...
Top Stories This Week 7 class action lawsuits have been filed against SBF so far, records show Former FTX CEO Sam Bankman-Fried has been named in seven class action lawsuits filed since the fall of his crypto empire. These lawsuits, however, are separate from the numerous probes and investigations examining the crypto exchange and its founder, including a reported market manipulation probe by federal prosecutors. Another headline shows the United States House of Representatives has called on SBF to speak at a hearing on Dec. 13. Amid investigations by lawmakers and a flurry of civil litigation, SBF hired former federal prosecutor Mark Cohen to act as his defense attorney. A team of financial forensic investigators was also hired by FTX’s new management to track down the billions of dollars...
Coming every Saturday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link. Top Stories This Week BlockFi files for bankruptcy, cites FTX collapse for its troubles Digital asset lending company BlockFi announced on Nov. 28 that it has filed for Chapter 11 bankruptcy in New Jersey. The bankruptcy filing revealed, among other details, that BlockFi aims to restructure and keep specific employees on board. BlockFi has eight daughter companies that are also included in the bankruptcy motion. Later news revealed bankruptcy proceeding details, including BlockFi’s attorney reporting that $355 million of the organi...
Coming every Saturday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link. Top Stories This Week SBF received $1B in personal loans from Alameda: FTX bankruptcy filing Documentation related to FTX’s bankruptcy proceedings revealed the firm was mismanaged on multiple levels. FTX Group was reportedly composed of multiple companies categorized into four silos. A $1 billion personal loan was reportedly allocated to former FTX CEO Sam Bankman-Fried from one of those silos. The documentation also revealed many other holes and oddities relating to the function of FTX. Several regulators are reportedly looking in...
Coming every Saturday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link. Top Stories This Week JPMorgan executes first DeFi trade on public blockchain A cross-border currency swap was carried out on a public blockchain by JPMorgan as part of a pilot program involving the Monetary Authority of Singapore’s (MAS) Project Guardian, SBI Digital Asset Holdings, Oliver Wyman Forum and DBS Bank. The Polygon blockchain hosted the swap between tokenized deposits of the Japanese yen and the Singapore dollar, helped by smart contract technology from Aave. UnionBank of the Philippines launches Bitcoin and Ethereum t...
Coming every Saturday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link. Top Stories This Week Twitter’s top brass gutted as Elon Musk’s takeover begins Elon Musk’s purchase of Twitter became final this week, after which he reportedly fired three top-level executives: CEO Parag Agrawal, head of legal and policy Vijaya Gadde and chief financial officer Ned Segal. Musk reportedly claims the three were dishonest about Twitter spam accounts — an issue that almost caused Musk to abandon the Twitter deal. On a more positive note, Musk said he has big plans for Twitter, including ensuring free speech on the pl...