Sam Bankman-Fried, co-founder and former head of cryptocurrency exchange FTX, was arrested in the Bahamas on Monday. The platform, which was valued at $32,000 million and fouls as of Nov. 11, it owes its top 50 unsecured creditors a total of $3.1 billion.
His detention was confirmed by the government of that island. Its prime minister, Philip Davis, said “The Bahamas and the United States have a common interest in holding accountable all individuals associated with FTX who may have betrayed public trust and violated the law.”
“As the United States files criminal charges against Sam Bankman-Fried individually, the Bahamas will continue its regulatory and criminal investigations into the FTX crash, with continued cooperation from its regulatory and enforcement partners. enforce the law in the United States and elsewhere“, the statement continued.
Bankman-Fried’s capture followed a notice from the U.S. attorney for the Southern District of New York, who had filed criminal charges against him, the Bahamian attorney general said in Nasau in a statement cited by Bloomberg.
It is estimated that more than a million creditors from all over the worldFrom German banks to Chinese and Vietnamese investors, they are part of those involved in the collapse of the FTX group, according to data from court documents filed in the courts of Delaware, in the United States, where the bankruptcy of the cryptocurrency company is pending.
The company, which until just over a month ago it was part of the top 3 cryptocurrency exchange platforms largest in the world, now faces claims from hundreds of thousands of users who were never able to withdraw funds or cryptocurrencies deposited on its platform, after freezing withdrawals on November 7 and filing for bankruptcy days later .
Delaware courts have not disclosed the identity of any of the plaintiffs, and the top 50 claims come from clients owing $21 million or more, according to a telegram from Bloomberg.
However, the data of small-value creditors is among the most varied and involves more than a million companies and individuals, so the lawsuit can take years to conclude.
The creditors attached screenshots of company accounts or emails they had received from FTX as proof of what they were owed.
These include a Frankfurt-based German bank, which says FTX owes it $2.3 million for deposits that include Bitcoin, Ethereum and dollars, according to the documents; a creditor of Chinese origin, with a claim of just over US$21,000; and a large number of complaints from investors based in Taiwan.
It is unclear how much money will be generated from the liquidation of FTX e many creditors can receive only fractions of what they owe, in any case. The process can take months in minor cases and years for large multimillion-dollar bankruptcies.
This is because alleged debts, which are generally unsecured, are subject to a process designed to eliminate any false, inflated or duplicate claims.
The company collapsed within days of their appearance doubts about your solvencywhich has led many users to rush to withdraw their money, leaving it illiquid and revealing a very incorrect management of its users’ funds.
FTX is believed to have used billions of dollars from its clients to fund risky bets through its investment firm Alameda Research, which is why authorities in the Bahamas and the United States are investigating possible crimes committed by the company founded by Sam Bankman-Fried .
Bankman-Fried: ‘I am deeply sorry’
Bankman-Fried, one of the youngest billionaires in the world at $22.5 billion, apologized to his employees in a letter saying he would do whatever he could to “put things back as they were.”
“I am deeply sorry for what happened. I’m sorry for everything that happened to you and what happened to our customers.Bankman-Fried wrote in text reproduced by cryptocurrency site CoinDesk and other specialized media outlets in the last few weeks of November.
In the letter to his employees, which he calls “family,” Bankman-Fried attributed the failure in part to the massive sale of cryptocurrencies that occurred earlier this year, but made no mention of any disappearance or theft of assets, or the allegations that client funds were redirected to its associated investment firm, Alameda.
With information from Telam.
IS
Source: Clarin
Linda Price is a tech expert at News Rebeat. With a deep understanding of the latest developments in the world of technology and a passion for innovation, Linda provides insightful and informative coverage of the cutting-edge advancements shaping our world.