FTX Founder Sam Bankman-Fried Undeterred By Prison, Shares What Happened To Users’ Crypto

Through a monitored X social media account managed by a buddy, FTX founder Sam Bankman-Fried has shared new particulars about what occurred to customers’ crypto after he was incarcerated for misusing funds, which led to the lack of roughly $10 billion in buyer deposits. SBF claims that almost all buyer property had been by no means misplaced and that almost all official claims have already been repaid. His statements have sparked renewed discussions about FTX’s collapse, the controversial chapter course of, and his position within the occasions that adopted.

FTX Founder Claims Customer Funds Were Never Lost

In his newest X posts, SBF addressed the query on many minds about the place clients’ cash went. He said that the funds by no means left, and about 98% of all allowed buyer claims have been absolutely reimbursed, with curiosity calculated in petition-date US {dollars}. The FTX founder additionally famous that when chapter legal professionals took over the corporate, there have been ample property to repay everybody in type. According to him, sufficient funds stay to cowl all the $6.5 billion disputed claims reserve. 

SBF’s remarks come as pressure continues round FTX’s insolvency proceedings and the crypto founder’s ongoing 25-year prison sentence for fraud and conspiracy. He defined that beforehand, clients with disputed claims, many from China, had received a small victory when a brand new choose rejected a movement by the chapter legal professionals to withhold repayments in 49 international locations. He criticized the legal professionals for paying themselves and the US government billions of dollars whereas delaying funds to customers. 

The court docket’s resolution was praised by an FTX creditor who goes by “Will的折腾纪.” He leads a gaggle representing Chinese creditors and has persistently referred to as for extra consideration and unity till each claimant receives cost. Notably, SBF has agreed with the group’s strategy and insists that FTX has remained solvent each earlier than and after chapter. He blamed the present Debtors for withholding funds that would have already got been distributed. His statements present that even behind bars, he intends to proceed defending his model of occasions. 

Crypto Sleuth Confronts SBF Over Controversial Transfers

While Bankman-Fried made his claims, not everybody accepted them with out pushback. Renowned crypto investigator ZachXBT shortly reacted to the FTX founder’s put up, questioning how he may assert solvency and transparency whereas allegedly concealing a $40 million switch to Chinese authorities. The allegation pertains to a 2023 incident the place SBF was accused of authorizing a bribe in an try to entry buying and selling accounts held by his subsidiary agency, Alameda Research. 

Those accounts had been frozen by Chinese authorities and contained almost $1 billion in cryptocurrency. ZachXBT additionally referenced an earlier investigation by @DeFiSquared on X, who claimed to have traced the $40 million cost to pockets addresses linked to the Multichain exploiter.

Responding to the put up, the FTX founder dismissed the accusation, claiming that Chinese exchanges had offered $1 billion price of cryptocurrencies and later agreed to return $960 million. He implied that the switch was a part of efforts to recover user funds, not a bribe. In flip, ZachXBT countered with a pointed comparability, asking whether or not the general public would forgive the founding father of a Bahamian alternate that allegedly stole $8 billion however solely returned a portion of it to its customers.