Wall Street Journal: FTX Founder Sam Bankman-Fried Says He Can’t Account for Billions Sent to Alameda

Wall Street Journal: FTX Founder Sam Bankman-Fried Says He Can’t Account for Billions Sent to Alameda . “FTX founder Sam Bankman-Fried said he couldn’t explain what happened to billions of dollars that customers of his failed cryptocurrency exchange sent to the bank accounts of his trading firm, Alameda Research. And he said he couldn’t rule out the possibility that money deposited by FTX customers who were told their money was theirs alone was in fact lent to Alameda.”

Washington Post: Inside Sam Bankman-Fried’s courtship of a Washington regulator

Washington Post: Inside Sam Bankman-Fried’s courtship of a Washington regulator. “Before his undoing this month, crypto magnate Sam Bankman-Fried aggressively pursued powerful allies in Washington. None was more important than Rostin Behnam. The chief of the federal agency that oversees commodities markets, Behnam holds a strategic perch among the nation’s financial regulators. And the 44-year-old Washington bureaucrat was indispensable in the boyish billionaire’s ambitious plans to reshape U.S. crypto regulation.”

Bloomberg: FTX Chaos Prompts Reckoning on Dubai’s Embrace of Crypto Giants

Bloomberg: FTX Chaos Prompts Reckoning on Dubai’s Embrace of Crypto Giants. “FTX was one of the first firms granted a license by Dubai’s Virtual Asset​s Regulatory Authority as part of the push to lure business, and the exchange set up its regional headquarters in the city…. With FTX and Bankman-Fried now facing investigations from the US to the Bahamas, officials have distanced themselves from that decision, even scrubbing its license details from the regulator’s website.”

New York Times: Inside Sam Bankman-Fried’s Quest to Win Friends and Influence People

New York Times: Inside Sam Bankman-Fried’s Quest to Win Friends and Influence People. “A network of political action committees, nonprofits and consulting firms funded by FTX or its executives worked to court politicians, regulators and others in the policy orbit, with the goal of making Mr. Bankman-Fried the authoritative voice of crypto, while also shaping regulation for the industry and other causes, according to interviews, email exchanges and an encrypted group chat viewed by The New York Times.”

CoinDesk: Senator Warren Demands Sam Bankman-Fried, FTX Execs Be Held Accountable to ‘Fullest Extent of the Law’

CoinDesk: Senator Warren Demands Sam Bankman-Fried, FTX Execs Be Held Accountable to ‘Fullest Extent of the Law’. “In the letter, Sens. Elizabeth Warren (D-Mass.) and Sheldon Whitehouse (D-R.I.) reminded Garland and Assistant Attorney General Kenneth Polite of the DOJ’s recently renewed commitment to prosecuting white-collar criminals, and asked that they honor that commitment when investigating the behavior of former FTX CEO Sam Bankman-Fried and other executives ‘with the utmost scrutiny.’”

Vox: Crypto probably isn’t dead, but should it be?

Vox: Crypto probably isn’t dead, but should it be?. “For those who have been paying attention to the sector, this sort of feels like waking up from a worldwide hypnosis. The metaverse thing, which is basically Zoom meetings with legless cartoons, never made sense. Neither did this idea that images of pixelated punks and weird-looking monkeys were worth millions of dollars as NFTs. Thousands of crypto tokens and coins spun up out of thin air have been revealed to be nothing more than magic beans.” If you HAVEN’T been paying attention to the sector, this is a good overview of its problems with lots of links to backstory.

New York Magazine: Where Have the FTX Depositors Gone to Panic? Distraught users — and scammers — are flooding Telegram.

New York Magazine: Where Have the FTX Depositors Gone to Panic? Distraught users — and scammers — are flooding Telegram.. “In the good times, FTX’s official presence on Telegram helped the company cultivate a reputation for responsive customer service. When things were falling apart at FTX, they fell apart here, too, as thousands of panicked users flooded its support channels.”

Fortune: Scammers are targeting desperate FTX customers by pretending to be the DOJ, promising access to funds

Fortune: Scammers are targeting desperate FTX customers by pretending to be the DOJ, promising access to funds. “FTX customers around the world no doubt regret their decision to sign on with the now-bankrupt cryptocurrency exchange. Adding insult to injury, they’re now the targets of scammers pretending to be the U.S. Department of Justice.”

Reuters: Special Report-FTX’s Bankman-Fried begged for a rescue even as he revealed huge holes in firm’s books

Reuters: Special Report-FTX’s Bankman-Fried begged for a rescue even as he revealed huge holes in firm’s books. “Sequoia was among investors that lined up only months before to pump money into [Sam] Bankman-Fried’s empire. But not now. Sequoia was shocked at the amount of money Bankman-Fried needed to save FTX, according to the sources, while Apollo first asked for more information, only to later decline. Both firms and TPG declined to comment for this article.”

First on CNN: ‘Greed and deception.’ Elizabeth Warren demands Sam Bankman-Fried and FTX turn over trove of records (CNN)

CNN: First on CNN: ‘Greed and deception.’ Elizabeth Warren demands Sam Bankman-Fried and FTX turn over trove of records. “Democratic Sens. Elizabeth Warren and Dick Durbin are demanding FTX founder Sam Bankman-Fried hand over a trove of documents that will shed light on the extraordinary and swift downfall of his crypto exchange.”

Financial Times: New FTX chief slams ‘complete failure of corporate controls’ at crypto exchange

Financial Times: New FTX chief slams ‘complete failure of corporate controls’ at crypto exchange. “The new boss of bankrupt crypto exchange FTX has slammed the management of founder Sam Bankman-Fried, saying the company’s financial statements could not be trusted and that a business once valued at $32bn lacked any significant internal controls. John Ray III, a veteran insolvency professional who oversaw the liquidation of Enron, said in a court filing on Thursday that FTX was the worst case of corporate failure that he had seen in his more than 40-year career.”

Gizmodo: New York Times Runs Bizarre Softball Article on FTX’s Sam Bankman-Fried

Gizmodo: New York Times Runs Bizarre Softball Article on FTX’s Sam Bankman-Fried. “FTX filed for bankruptcy on Friday, leaving reasonable people to wonder how a cryptocurrency platform founded in 2019, which reached a valuation of $32 billion in 2021, could plummet to zero in such a short time. There’s a new piece in the New York Times which gained exclusive access to FTX founder Sam Bankman-Fried, but if you’re looking for answers, you’re not going to find it there.” I was wondering about the NYT article, which has a “What a scamp, boys will be boys” vibe. Gizmodo breaks down why it’s so weird.

CBS News: Janet Yellen says FTX collapse shows cryptocurrencies are ‘risky… even dangerous’ investments

CBS News: Janet Yellen says FTX collapse shows cryptocurrencies are ‘risky… even dangerous’ investments. “Treasury Secretary Janet Yellen has told CBS News that the spectacular collapse of cryptocurrency exchange FTX, which sent shockwaves through the crypto world last week with its bankruptcy filing, should serve as a warning to Americans about investing their money in ‘extremely risky’ financial products traded in a space lacking ‘appropriate supervision and regulation.’”