The Pressure Increases on Sam Bankman-Fried
New YorkerDec 17, 2022
On Wednesday, Caroline Ellison, the former CEO of Alameda Research, and Gary Wang, co-founder of crypto exchange FTX, pleaded guilty to several charges, including wire fraud, securities fraud, and commodities fraud.
Both Ellison — whose charges collectively carry a maximum prison sentence of 110 years — and Wang — facing up to 50 years — struck a plea deal with the US Dept. of Justice (DOJ) earlier this week.
According to the government's account, Bankman-Fried's corruption was baked into FTX's processes from the very start of its operation. Whether he was dishonest, deluded, or both, the US government is rightfully conducting the most thorough investigation and prosecution of this fraudulent crypto billionaire.
Both Bankman-Fried and Ryan Salame donated tens of millions to establishment Republican and Democratic politicians and campaign committees. There's a reason for the silence on this issue from both sides of the aisle in Washington; the collapse of FTX exposed the dirty US campaign finance underworld, and the hushed tone from the political elite tells it all.