The Intelligence from The Economist The Intelligence: The fallen crypto king learns his fate
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Mar 28, 2024 
Alice Forward, a Wall Street correspondent, and Catherine Nixie, a Britain correspondent, discuss the fallout from the FTX scandal, highlighting Sam Bankman-Fried's guilty verdict and the misuse of customer funds. They examine the broader impact on the cryptocurrency landscape and regulatory challenges ahead. Additionally, they explore the ambitious, yet controversial, projects in urban development, such as Saudi Arabia's Neom. Finally, an intriguing case connects Marks & Spencer's vintage clothing to a historical crime, reflecting on societal changes through fashion.
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SBF's Downfall
- Sam Bankman-Fried, former FTX CEO, was convicted of fraud after a short deliberation.
- Customer funds were misused, leading to FTX's collapse and SBF's trial.
Witness Testimony and SBF's Conduct
- SBF's former colleagues testified against him, admitting their involvement in the fraud and implicating SBF.
- This, coupled with SBF's behavior during his release, could influence the judge towards a harsher sentence.
Fund Recovery and Customer Sentiment
- FTX has recovered a significant portion of lost customer funds, partially due to the rising value of crypto assets.
- However, some customers still feel shortchanged as they calculate losses in crypto, not dollar value.