![\"Stop](\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/10\/checkin-cryptoslate-600x500-d-1.jpg\")
<\/a><\/div>\nFTX founder Sam Bankman-Fried<\/a>\u00a0once again took the stand in his ongoing criminal trial in New York on Oct. 30<\/a>, this time to face cross-examination by prosecutors.<\/p>\n Assistant U.S. Attorney Danielle Sassoon began by determining the extent to which Bankman-Fried was involved with FTX\u2019s sister firm, Alameda Research<\/a>.<\/p>\n Bankman-Fried admitted to owning 90% of Alameda. However, he largely denied that he was involved in Alameda trading in 2022, stating:<\/p>\n \u201cDepends on how you define trading \u2026 I would not say I was not involved in any way.\u201d<\/p>\n<\/blockquote>\n Bankman-Fried otherwise said that he was \u201cnot involved as a general principle\u201d in Alameda\u2019s daily trading but took part in high-level discussions. He said that he provided Caroline Ellison<\/a>, then the CEO of Alemeda, with some input on trading; specifically, he admitted that he gave Ellison some instructions related to Japanese government bonds.<\/p>\n Another section of the cross-examination largely focused on whether Bankman-Fried had promised to provide customers with a safe trading service. Despite those assurances, he also made statements suggesting a disregard for user protections \u2014 with Sassoon highlighting the fact that Bankman-Fried said \u201cf\u2013ck regulators\u201d in one interview.<\/p>\n Sassoon raised the question of whether FTX treated Alameda Research differently from its other customers.<\/p>\n Previous testimony from former FTX associates suggested that Alameda was allowed to have special privileges such as a negative balance and unlimited credit line. Bankman-Fried admitted that most customers would not be allowed a lasting unlimited negative balance. He also did not deny that Alameda could withdraw billions of dollars from FTX using a line of credit without falling under FTX\u2019s automatic liquidation procedures.<\/p>\n He also said that customers were only \u201csometimes\u201d allowed to use outside investments as collateral, identifying Three Arrows Capital<\/a> affiliate Crypto Lotus as one example. Alameda often used FTX\u2019s FTT token as collateral, according to other reports.<\/p>\n Though he identified those instances of special treatment, Bankman-Fried often testified that he was unable to recall whether he had previously said that Alameda was treated the same as other customers. Sassoon asked several questions to that effect.<\/p>\n Bankman-Fried nevertheless admitted to stating, at one point prior to his company\u2019s collapse, that Alameda \u201chad the same access as other customers.\u201d<\/p>\n Bankman-Fried remained under cross-examination at the time of writing.<\/p>\n FTX founder Sam Bankman-Fried\u00a0once again took the stand in his ongoing criminal trial in New York on Oct. 30, this time to face cross-examination by prosecutors. Assistant U.S. Attorney Danielle Sassoon began by determining the extent to which Bankman-Fried was involved with FTX\u2019s sister firm, Alameda Research. Bankman-Fried admitted to owning 90% of Alameda. However, […]<\/p>\n","protected":false},"author":2,"featured_media":184017,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-184016","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/184016","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=184016"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/184016\/revisions"}],"predecessor-version":[{"id":184023,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/184016\/revisions\/184023"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/184017"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=184016"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=184016"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=184016"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
SBF on Alameda\u2019s special treatment<\/h2>\n