Inside the trial: Prosecution scores more points on last day of SBF’s testimony

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By BitcoinWiki News

Key Takeaways:

– Former FTX CEO Sam Bankman-Fried finished his testimony at his criminal trial.
– The prosecution challenged Bankman-Fried’s defense that he did not understand the severity of the situation at FTX and Alameda Research.
– The prosecution questioned Bankman-Fried about events in June 2022 when the $8 billion hole in Alameda’s balance sheet was discovered.
– Former FTX executives Nishad Singh and Adam Yedidia claimed they informed Bankman-Fried about the negative balance at Alameda.
– Bankman-Fried testified that he heard his team discussing the issue but was not given direct information and was told to stop asking questions.
– The prosecution presented evidence suggesting that Bankman-Fried had a more realistic understanding of the situation than he claimed.
– Bankman-Fried agreed that he knew Alameda couldn’t liquidate $3.9 billion worth of FTT tokens without crashing the market.
– The prosecutor showed a screenshot of a chat where Bankman-Fried suggested Alameda could sell $3.9 billion of assets in a week, but $8 billion was needed.
– The prosecutor also questioned Bankman-Fried about his attempts to befriend the Bahamian government and his state of mind after the FTX collapse.
– Closing arguments are scheduled for tomorrow, and the defense has no more witnesses to bring.

Sam Bankman-Fried, the former CEO of bankrupt crypto exchange FTX, concluded his testimony at his criminal trial on Tuesday. The prosecution cross-examined Bankman-Fried and challenged his defense that he was unaware of the extent of the financial troubles at FTX and Alameda Research until late in the game. Former FTX executives testified that they informed Bankman-Fried about the substantial negative balance at Alameda, which was essentially money borrowed from FTX customers and never returned. Bankman-Fried claimed that he did not fully understand the significance of the situation until much later. However, evidence presented in court showed that Bankman-Fried was aware of Alameda’s deficit and had a more realistic understanding of the situation than he claimed. The trial will continue with closing arguments on Wednesday as the defense has no further witnesses.

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