• Federal prosecutors have requested that Sam Bankman-Fried’s bail be revoked due to alleged witness tampering.
• Prosecutors believe that Bankman-Fried leaked the personal writings of Caroline Ellison, FTX’s former sister firm CEO, to the New York Times.
• Bankman-Fried is currently set to act as a witness at his own trial and his lawyer has stated that he pleads not guilty.
Federal Prosecutors Request Bail Revocation for Sam Bankman-Fried
Federal prosecutors have requested that Sam Bankman-Fried’s bail be revoked due to alleged witness tampering. This request comes as the former FTX CEO awaits trial.
Allegations of Witness Tampering
Prosecutors believe that Bankman-Fried leaked the personal writings of Caroline Ellison, FTX’s former sister firm CEO, to the New York Times. Ellison was briefly in a relationship with Bankman-Fried and is set to act as a witness at his trial. Accordingly, prosecutors argued that Bankman-Fried’s alleged information sharing constituted witness tampering. Initially, prosecutors pursued a gag order to prevent further disclosures; however, they now believe that no bail conditions can prevent him from influencing witnesses and have demanded his imprisonment.
Bankman-Fried Pleads Not Guilty
Bankman-Fried’s lawyer Mark Cohen has stated that his client pleads not guilty and said that prosecutors told him they would not seek detention before trial if he agreed not to speak publicly about it while out on bail.
Implications for Crypto Industry
The implications of this case remain unclear for the crypto industry since many investors were affected by Alameda Research’s collapse earlier this year and much speculation remains around why it happened in the first place. It will be interesting to see how this case unfolds in light of recent regulatory developments surrounding cryptocurrencies in France and other countries around the world.
Conclusion
It remains uncertain what will happen with Sam Bankman Fried’s case as he awaits trial but regardless of the outcome it could have major implications for both himself and the entire crypto industry moving forward