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Turkey Investigates Former FTX CEO Sam Bankman-Fried For Fraud, Seizes Assets

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Turkey Investigates Former FTX CEO Sam Bankman-Fried For Fraud, Seizes Assets

The Turkish government has launched an investigation on the former chief executive of failed cryptocurrency exchange FTX, Sam Bankman-Fried. According to local media, the authorities in Ankara have also seized assets belonging to the founder of the troubled coin trading platform.

Turkey’s Financial Intelligence Unit Initiates Another FTX-Related Probe

Financial regulators in Turkey have started to investigate the founder and former CEO of cryptocurrency exchange FTX, Sam Bankman-Fried (SBF), for alleged fraud. The move follows the initiation in mid-November of a probe into the collapse of the company, which also operated a Turkish platform.

Both investigations are led by the country’s Financial Crimes Investigation Board (MASAK), a department under the Ministry of Treasury and Finance. As part of them, the authorities have seized assets of SBF and other affiliates, the Anadolu Agency reported on Wednesday.

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Commenting on the case, Turkey’s Finance Minister Nureddin Nebati highlighted the risks that digitalization has brought along with opportunities, warning that the cryptocurrency market should be approached with “maximum caution.”

Amid skyrocketing inflation of the national fiat currency, the lira, many Turks put money into crypto assets in the past few years to preserve their savings. However, the failures of domestic trading platforms and scams, as well as the ongoing crypto winter, have hurt Turkish investors.

FTX, which was one of the world’s top crypto exchanges, filed for Chapter 11 bankruptcy protection in the U.S. on Nov. 11, after struggling with liquidity issues, and is now under voluntary administration. Bankman-Fried resigned and the group’s new management fired three other top executives.

Besides Turkey, the FTX group of companies is now under investigation in a number of other jurisdictions, including the United States, the Bahamas, where it was headquartered, and Japan. The exchange and its subsidiaries have also seen their licenses suspended in multiple markets. According to a recent report, the Bahamas authorities may extradite SBF to the U.S. for questioning.

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Bankruptcy, board, ceo, collapse, Crypto, crypto assets, crypto exchange, Cryptocurrencies, Cryptocurrency, Exchange, financial intelligence, ftx, Investigation, probe, Sam Bankman-Fried, sbf, Seizure, Turkey, Turkish, unit

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Do you expect financial authorities in other countries to investigate former FTX CEO Sam Bankman-Fried? Tell us in the comments section below.

Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

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Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Alameda Research

Former FTX Boss Speaks At Dealbook Event, Says He ‘Didn’t Knowingly Co-Mingle Funds’

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Former FTX Boss Speaks At Dealbook Event, Says He ‘Didn’t Knowingly Co-Mingle Funds’

On Nov. 30, 2022, the former FTX CEO Sam Bankman-Fried (SBF) discussed FTX’s collapse at the New York Times’ Dealbook Summit with Andrew Ross Sorkin in his first live-appearance interview since the crypto exchange’s downfall. SBF told the Dealbook Summit host that he was “deeply sorry about what happened” and further stressed that he “didn’t knowingly co-mingle funds.”

NYT Dealbook Summit Host Andrew Ross Sorkin Questions Sam Bankman-Fried, Former FTX CEO to Appear on Good Morning America

FTX co-founder and former CEO Sam Bankman-Fried (SBF) sat down for a long interview with Andrew Ross Sorkin, the host of the New York Times’ (NYT) Dealbook Summit. SBF’s Dealbook appearance followed the SBF interview published the day prior with crypto supporter and reporter, Tiffany Fong. Appearing virtually at the NYT conference, SBF was asked whether or not he was worried about criminal charges being brought against him.

“There’s a time and a place for me to think about myself and my own future,” SBF told the NYT Dealbook event host. “I don’t think this is it.” The former FTX CEO explained that he was still located in the Bahamas and that coming back to the U.S. has crossed his mind. “I’ve thought about coming to the U.S.,” the former FTX executive said.

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I can’t even begin to explain the vibes of this SBF interview at DealBook pic.twitter.com/uziar5K4bl

— nilay patel (@reckless) November 30, 2022

As far as his net worth, SBF said there are no hidden funds, he has “close to nothing” left and he was down to a single credit card. Sorkin asked when SBF realized things were going downhill and SBF replied it was Nov. 6 and at that point “we were putting together all the information.”

“Look, I’ve had a bad month,” SBF stressed. “I can’t talk about anyone else … For me, I dunno, like, I’ve been prescribed various things at various times to help with concentration.”

As far as Alameda Research is concerned, SBF seemed to shift the blame away from his role by insisting he “didn’t know the size of their position.” “I wasn’t running Alameda,” SBF said fidgeting in his chair. “I didn’t know exactly what was going on.” In the interview, SBF told Sorkin that he thought it was possible FTX customers could get their money back and cited how Bitfinex made customers whole after the exchange was hacked in 2016.

“I obviously wish that I spent more time dwelling on the downsides and less time thinking about the upsides,” SBF said. The FTX co-founder also remarked that he “didn’t knowingly co-mingle funds” and he couldn’t recall a time when he told a lie. SBF said:

I was as truthful as I’m knowledgeable to be — I don’t know of times when I lied.

Sorkin asked SBF whether or not the company had any formal corporate board structures and SBF replied that there were too many boards across the FTX empire. While FTX had a slew of board members, when it came to risk management SBF told the Dealbook attendees that he “completely failed” on that end. “There was no person in charge of positional risk on FTX,” SBF admitted. The NYT reporter also asked SBF what he thought about the idea that the FTX empire was simply “a bunch of kids on Adderall having a sleepover.” SBF responded:

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Look, I screwed up. We messed up big.

SBF also contended that his parents and his upbringing had nothing to do with the FTX collapse. When asked what he told his parents about the situation, SBF said: “Hey guys, I think there might be a problem … Looks like Alameda’s position might be imploding here.” SBF touched up on his political contributions and he said “my donations were mostly for pandemic prevention.” Bankman-Fried’s brother operated the left-leaning advocacy group Guarding Against Pandemics. “That was the primary thing that I was supporting with those contributions,” SBF told the Dealbook Summit host.

“I wasn’t spending any time or effort trying to manage risk.”

Former FTX CEO Sam Bankman-Fried tells @GStephanopoulos he “wasn’t even trying” to manage risk at the company. Watch the full interview tomorrow on GMA. pic.twitter.com/MOBBzWDlYu

— Good Morning America (@GMA) December 1, 2022

During his video call, SBF was of the opinion that all of FTX’s American customers would be made whole, but didn’t really detail how that was the case. He noted that he was “confused” why FTX US customers were not allowed to process withdrawals. “Whatever happened, why it happened, I had a duty to our stakeholders, our customers, our investors, the regulators of the world, to do right by them,” SBF remarked to Sorkin. “Clearly, I didn’t do a good job of that. I didn’t ever try to commit fraud on anyone.”

Call me crazy, but I think @sbf is telling the truth.

— Bill Ackman (@BillAckman) November 30, 2022

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In addition to the NYT Dealbook video appearance with Sorkin, Bankman-Fried also discussed the subject with the broadcast Good Morning America, and the show will air on December 1, 2022. In a video clip published by GMA, SBF tells the host George Stephanopoulos “I wasn’t spending any time or effort trying to manage risk.”

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Alameda Research, Andrew Ross Sorkin, Bankruptcy, Bankruptcy Filing, Dealbook Interview, Dealbook Summit, democratic party, Filing Bankruptcy, FTT, FTT Token, FTX boss, FTX former CEO, Good Morning America, interview SBF, Joe Bankman, kids on Adderall, New York Times, Nov. 6, NYT Report, Republicans, Sam Bankman, Sam Bankman-Fried, SBF interview, sleepover, Virtual Discussion

What do you think about the NYT Dealbook Summit interview with Sam Bankman-Fried and Andrew Ross Sorkin? Let us know what you think about this subject in the comments section below.

Jamie Redman

Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

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Image Credits: Shutterstock, Pixabay, Wiki Commons, NYT Interview, Twitter,

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Insights on Sam Bankman-Fried’s ‘dark’ Republican political donations

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Insights on Sam Bankman-Fried’s ‘dark’ Republican political donations

Insights on Sam Bankman-Fried’s ‘dark’ Republican political donations Samuel Wan · 40 mins ago · 2 min read

YouTuber Coffeezilla gives his take on a Tiffany Fong interview with Sam Bankman-Fried, in which he claimed to be a secret Republican donor.

2 min read

Updated: November 30, 2022 at 2:09 pm

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Cover art/illustration via CryptoSlate

Former FTX CEO Sam Bankman-Fried (SBF) gave his first interview with “citizen journalist” Tiffany Fong post-collapse.

The pair discussed multiple aspects of the FTX saga, including the “backdoor,” FTT as collateral, and his regrets. But of particular interest were SBF’s comments on dark money donations made to Republican politicians.

It is widely known SBF was a significant supporter of the Democrat administration. His $37 million donations made him the party’s second-biggest donor, after investor George Soros.

Some speculate this link is a factor in the lack of criminal proceedings against him. For example, lawyer John E. Deaton questioned why authorities have failed to respond, calling the criminal justice system “compromised.”

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Let me make this clear if SBF isn’t arrested and charged with fraud, wire-fraud, theft, and possibly money laundering before and instead gets to spew out his bullshit narrative, our system of justice has been compromised. @ewarren you claim to be for the little guy, where are you https://t.co/cdmOa7U0an

— John E Deaton (@JohnEDeaton1) November 23, 2022

However, based on Fong’s interview, it seems SBF has more political clout than first thought.

Sam Bankman-Fried played both sides

In recent months, Fong’s investigations into Celsius, and now FTX, have earned her a reputation for sound investigative journalism.

During the 20-minute interview, the issue of political donations cropped up, with SBF saying he donated “about the same amount” of money to both parties. Further, donations to the Republican party were “dark.”

“I donated to both parties, I donated about the same amount to both parties… All my Republican donations were dark.”

Explaining why he chose this route, SBF said it was not for regulatory reasons. Rather, it was to quell the potential backlash from left-biased news outlets.

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“It’s because reporters freak the f*ck out if you donate to Republican. They’re all secretly liberal and [I] didn’t want to have that fight, so I made all the Republican ones dark.”

Coffeezilla speaks

Chiming in on the disclosure, YouTuber Coffeezilla aka Stephen Findeisen, said there was a lot to unpack with SBF’s comments.

Firstly, referring to SBF’s now infamous tweet in which he said “FTX is fine,” Coffezilla said he is skeptical about whether the former CEO is telling the truth. Nonetheless, whether he is lying or not, it is a lose-lose situation for SBF.

Sharing his insights, Coffeezilla said it goes to show that SBF has no political agenda, only that he wanted to be powerful and to be seen to care, “that’s why he played both sides.”

“If he’s lying, this looks bad for him. But if he’s telling the truth it looks worse. It shows you how cynical Sam was. He never cared about politics. He cared about power and perception”

Coffeezilla continued by saying this mindset is about “trying to craft an image.” With the generous billionaire image in tatters, SBF is now trying to deflect the criminal narrative into one of “the smart guy who made an embarrassing mistake.”

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Crypto Exchange Bitfront Shuts Down Amid Industry Challenges

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Crypto Exchange Bitfront Shuts Down Amid Industry Challenges

Cryptocurrency exchange Bitfront has announced its intention to cease operations in the coming months, citing challenges facing the industry. The U.S. trading platform, backed by Japan’s social media giant Line, indicated the decision is unrelated to the collapse of FTX.

Line-Supported Digital Asset Exchange Bitfront Suspends New Sign-ups

Bitfront, a crypto exchange operating in the United States, has suspended new sign-ups and credit card payments while planning to cease operations in a few months’ time. The move comes despite efforts to overcome the current challenges in the “rapidly evolving” crypto industry, the company announced, quoted by Reuters and Bloomberg.

In the statement published on its website, the exchange explained it has “regretfully determined that we need to shut down Bitfront in order to continue growing the Line blockchain ecosystem and Link token economy.” The U.S.-based platform, which launched in 2020, is backed by the Japanese social media firm Line Corp.

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Bitfront also pointed out that the decision to close down is not related to the problems of “certain exchanges that have been accused of misconduct,” an indirect reference to FTX, one of the largest global players in the market before it collapsed and filed for bankruptcy protection on Nov. 11 amid liquidity issues.

Other companies in the space, like Blockfi for example, have been hurt by exposure to FTX. The crypto lender announced on Monday it has petitioned for Chapter 11 bankruptcy protection along with eight of its affiliates. When Blockfi paused withdrawals earlier this month, it specifically cited the “lack of clarity” regarding the state of FTX at the time.

With a 24-hour volume of less than $94 million, only a dozen trading pairs and six coins, according to Coingecko, Bitfront has a small share of a market with a total trading volume of almost $57 billion over the same period, the Bloomberg report noted.

The exchange informed users that new sign-ups and card payments have been suspended on Nov. 28 while deposits in cryptocurrency and U.S. dollars will be halted on Dec. 30. It also urged customers to withdraw all their assets by March 31, 2023, when all withdrawals will be suspended as well.

Tags in this story

Bankruptcy, Bitfront, Challenges, collapse, Crypto, crypto exchange, Cryptocurrencies, Cryptocurrency, Exchange, ftx, Issues, Japan, Line, operations, Services, shutdown, Social Media, suspension, U.S.

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Do you expect other crypto trading platforms to go out of business? Let us know in the comments section below.

Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

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Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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