Economist Podcasts The Intelligence: The fallen crypto king learns his fate
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Mar 28, 2024 
Alice Forward, a Wall Street correspondent and co-host of Money Talks, and Catherine Nixey, Britain correspondent, dive into the fallout from the dramatic FTX collapse. They discuss the legal fate of Sam Bankman-Fried and the staggering $8 billion misappropriation of customer funds. The conversation takes an intriguing turn as they explore the challenges and potentials of building new cities globally and even touch on how M&S underwear has historical significance in women’s lives. The episode connects finance, urban development, and social history in compelling ways.
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FTX's Downfall
- Sam Bankman-Fried, former FTX CEO, was convicted on seven charges, including wire fraud and money laundering.
- $8 billion of customer funds vanished after FTX's collapse, leading to SBF's arrest.
SBF's Sentencing
- SBF's sentencing marks the end of his reign, from crypto whiz kid to facing potential imprisonment.
- His lawyers argue for a six-year sentence, while prosecutors seek 40 to 50 years.
The Fraud
- SBF misused customer funds by loaning them to his trading firm, Alameda Research, for risky investments.
- The revelation of Alameda's weak balance sheet triggered a customer exodus and FTX's bankruptcy.