Equity The FTX co-founder and Alameda CEO didn’t hold back at SBF’s trial (Chain Reaction)
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Oct 14, 2023 This week, insiders from FTX and Alameda offer stunning courtroom revelations. Both Caroline Ellison and Gary Wang plead guilty, potentially facing decades in prison. Ellison spills secrets about how FTX concealed losses and mishandled funds. The trial reveals shocking financial ties, including $150M payments to Chinese officials. Tension mounts as the defense struggles against pivotal testimonies. Expect twists as the case evolves, with all eyes on the dramatic unfolding of the crypto scandal.
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Lucky Number Seven
- Caroline Ellison created seven different balance sheets for Alameda Research.
- They chose "lucky number seven," which hid the fact that FTX used customer deposits, to present to lenders.
Bribing China
- Alameda Research allegedly paid Chinese officials $100-150 million in crypto to regain access to locked trading accounts.
- These accounts, held on OKEx and Huobi, contained about $1 billion.
Directed Actions
- Caroline Ellison's testimony frequently emphasized that Sam Bankman-Fried directed her actions.
- This suggests a potential power dynamic influenced her decisions at Alameda.