“I didn’t want to be called the Kansas City Royals of Crypto Exchanges.”
Sam Bankman-Fried, the founder of the now-defunct crypto exchange FTX, continued to testify in Manhattan federal court on Friday afternoon.
Bankman-Fried population figure
Banman-Fried has pushed back against former Alameda Research CEO Caroline Ellison, whose now-famous unkempt hair and casual style of dressing was “too busy and lazy” to wear shorts and short pants, which he says will benefit his image. Because t-shirts were “comfortable”. What's more, Banman-Fried testified that he sometimes works up to 22 hours a day as a crypto exchange on demand and takes only a few days a year.
Kalin himself “introduced in a certain way”, Bankman-Fried never intended to become an FTX figure, but it happened naturally over time.
In the past, Ellison Banman-Fried has said that they are known for their image, to the point of trading in their luxury vehicles for mid-priced cars.
SBF on Ellison
The disgraced FTX founder said Ellison and his love affair ended because she “wanted more than I was willing to give” and heard him describe Ellison as a “very good manager”.
When Alameda Research co-CEO Sam Trabuco stepped down, Banman-Fried asked Ellison if she thought another Alameda Research executive would be a good replacement. Ellison, however, rejected this proposal and continued as the sole CEO of the business, although Bahnmann-Fried was heavily involved in risk and hedging.
“It was important that she had help and support,” Banman-Fried said.
By June 2022, Alameda Research's net worth has dropped from $40 billion to $10 billion. Bankuman-Fried proposed hedging more than $2 billion to save the struggling company, but Ellison never did.
At this time, Bankman-Fried considered closing Alameda Research, stating that the business did not have the “right management” to succeed.
Bankman-Fried expense
Banman-Fried admitted that he made several political contributions, including loans from Alameda Research, that he thought “could have a huge impact on the world.” Likewise, Banman-Fried acknowledged that Congress has testified against the push to implement a stronger regulatory framework on the crypto industry.
He also argued that he felt he had made a reasonable investment for the company at the time. In one particular example, Bankman-Fried outlined a deal with the Miami-Dade Arena that would pay FTX $10 million per month for two decades, “just 1% of FTX's revenue.”
“I didn't want to be called the Kansas City Royals of crypto exchanges,” Banman-Fried said when asked why he chose Miami-Dade as opposed to other platforms.
What to expect in the future
Bankman-Fried will begin his cross-examination early next week and will conclude his testimony soon after. The trial will continue on Monday and is expected to conclude by the end of next week.
Bankman-Fried has been charged with seven counts of fraud and is being held at the Metropolitan Detention Center in Brooklyn. If convicted, he could spend the rest of his life in prison.
