Sam Bankman-Fried says he wants to testify before Congress on FTX collapse

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The disgraced billionaire Sam Bankman-Fried has said helium wants to attest earlier Congress astir what caused the illness of the cryptocurrency speech helium founded – but archetypal helium wants to afloat recognize the concatenation of events and isn’t definite however agelong that mightiness take.

Bankman-Fried’s pledge, made Sunday connected Twitter, came aft the US House fiscal services committee scheduled a 13 December proceeding astir the nonaccomplishment of FTX and invited him to participate.

“Once I person finished learning and reviewing what happened, I would consciousness similar it was my work to look earlier the committee and explain,” Bankman-Fried tweeted. “I’m not definite that volition hap by the 13th. But erstwhile it does, I volition testify.”

Rep. Waters, and the House Committee connected Financial Services:

Once I person finished learning and reviewing what happened, I would consciousness similar it was my work to look earlier the committee and explain.

I'm not definite that volition hap by the 13th. But erstwhile it does, I volition testify. https://t.co/c0P8yKlyQt

— SBF (@SBF_FTX) December 4, 2022

Bankman-Fried’s lawsuit is of peculiar involvement connected Capitol Hill successful portion due to the fact that helium has acknowledged that helium donated wealth successful arsenic ample amounts to some the Democratic and Republican parties.

FTX filed for bankruptcy extortion successful November aft the nonaccomplishment of a imaginable merger with rival crypto speech Binance. The determination near investors and creditors facing billions of dollars successful losses, and Bankman-Fried resigned arsenic FTX’s main enforcement officer.

He has since denied allegations of imaginable fraud successful a bid of media appearances arsenic instrumentality enforcement authorities and regulators scrutinize him and FTX’s wreckage.

He told an audience astatine the New York Times DealBook acme connected 30 November that helium “screwed up”, “didn’t ever effort to perpetrate fraud” and was arsenic “shocked” arsenic the remainder of the nationalist by FTX’s collapse.

During that appearance, Bankman-Fried addressed questions astir whether FTX lawsuit funds were misappropriated and fixed to the hedge money helium founded, Alameda Research. Bankman-Fried – who had reportedly been successful a relationship with the hedge fund’s CEO, Caroline Ellison – said helium “didn’t knowingly commingle funds” with Alameda and was amazed by “the size of their position”.

He told ABC News successful a abstracted interrogation that helium besides had been spending hardly immoderate clip “trying to negociate hazard connected FTX” and had “stopped moving arsenic hard for a bit” earlier the steadfast imploded.

“What matters present is each the customers and stakeholders [who] got wounded and to assistance them out,” Bankman-Fried said. “What happens to maine is not the important part.”

For galore observers, explanations fixed by Bankman-Fried implicit FTX’s illness and its $8bn (£6bn) shortfall successful assets haven’t been casual to marque consciousness of. At 1 constituent helium mused that “poor interior labeling” of accounts astatine FTX could person precipitated his company’s downfall.

His repeated nationalist statements astir FTX apt subordinate the ineligible proposal helium is receiving. The starring US instrumentality steadfast Paul, Weiss precocious dropped Bankman-Fried arsenic a lawsuit aft attorneys for FTX accused him of interfering with the bankruptcy reorganization by his “incessant and disruptive tweeting”. Bankman-Fried acknowledged astatine the DealBook acme that his lawyers didn’t privation him to talk astatine the conference.

Reuters contributed reporting

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