Caroline Ellison Apologizes for Misconduct in FTX Collapse

Caroline Ellison Apologizes for Misconduct in FTX Collapse

Caroline Ellison, a close associate of FTX founder Sam Bankman-Fried, apologized in court this week as she pleaded guilty to fraud and other offenses, telling a judge that she and others conspired to steal billions of dollars from customers of the doomed crypto exchange while misleading investors and lenders. “I am truly sorry for what … Read more

Sam Bankman-Fried Released on $250 Million Bond

Sam Bankman-Fried Released on $250 Million Bond

FTX founder Sam Bankman-Fried was released on a $250 million bond Thursday and ordered to detention in his parents’ Palo Alto, Calif., home, after the former executive’s first appearance in a New York federal court following his extradition from the Bahamas. Mr. Bankman-Fried left the courthouse in a black SUV. At a later date he … Read more

Crypto’s Onetime Fans Are Calling It Quits After FTX Collapse

Crypto’s Onetime Fans Are Calling It Quits After FTX Collapse

Buying crypto was so much fun when it was going up. Now, many onetime fans are getting out. This year has brought crisis after crisis, raising questions about the industry’s long-term prospects. Two major lenders, Voyager Digital VYGVQ -1.52% and Celsius Network, filed for bankruptcy this summer. The price of bitcoin has plunged some 75% … Read more

FTX’s Sam Bankman-Fried Charged With Criminal Fraud, Conspiracy

FTX’s Sam Bankman-Fried Charged With Criminal Fraud, Conspiracy

FTX founder Sam Bankman-Fried oversaw one of the biggest financial frauds in American history, a top federal prosecutor said in charging that the former chief executive stole billions of dollars from the crypto exchange’s customers while misleading investors and lenders. An indictment by the U.S. attorney’s office for the Southern District of New York, unsealed … Read more

Crypto Entrepreneurs Fail to Capture Elon Musk’s Attention With $600,000 Goat Statue

Crypto Entrepreneurs Fail to Capture Elon Musk’s Attention With $600,000 Goat Statue

AUSTIN, Texas—Even as a cold night started to settle outside Tesla ‘s headquarters here on Saturday, a group of cryptocurrency entrepreneurs had no plans to leave until Elon Musk, the man they named their currency after, accepted a 12,000-pound sculpture of a Mr. Musk-headed goat riding a rocket. It is the latest stunt in the … Read more

Central banks must buy bitcoin to hedge against sanctions: Harvard Ph.D. candidate

Central banks must buy bitcoin to hedge against sanctions: Harvard Ph.D. candidate

A research paper published at Harvard University is advocating that central banks should buy bitcoin BTCUSD, +2.56% as a hedge against sanctions by other countries. The paper, titled “Hedging Sanctions Risk: Cryptocurrency in Central Bank Reserves,” was authored by Ph.D. candidate Matthew Ferranti from Harvard’s economics department, and likens central banks’ gold reserves to potential … Read more

They Lived Together, Worked Together and Lost Billions Together: Inside Sam Bankman-Fried’s Doomed FTX Empire

They Lived Together, Worked Together and Lost Billions Together: Inside Sam Bankman-Fried’s Doomed FTX Empire

The emerging picture suggests FTX wasn’t simply felled by a rival, or undone by a bad trade or the relentless fall this year in the value of cryptocurrencies. Instead, it had long been a chaotic mess. From its earliest days, the firm was an unruly agglomeration of corporate entities, customer assets and Mr. Bankman-Fried himself, … Read more

Bankrupt FTX Fires Three of Sam Bankman-Fried’s Top Deputies

Bankrupt FTX Fires Three of Sam Bankman-Fried’s Top Deputies

FTX, the cryptocurrency exchange launched by Sam Bankman-Fried, said it fired three of the founder’s top deputies. Gary Wang, an FTX co-founder and its chief technology officer; FTX engineering director Nishad Singh; and Caroline Ellison, who ran Mr. Bankman-Fried’s trading arm, Alameda Research, were terminated from those roles after FTX tapped John J. Ray to … Read more

BlockFi Prepares for Potential Bankruptcy as Crypto Contagion Spreads

BlockFi Prepares for Potential Bankruptcy as Crypto Contagion Spreads

Cryptocurrency lender BlockFi Inc. is preparing a potential bankruptcy filing after halting withdrawals of customer deposits and acknowledging it has “significant exposure” to bankrupt exchange FTX, people familiar with the matter said.  BlockFi paused withdrawals and limited activity on its platform last week, saying it couldn’t operate business as usual given the uncertainty about FTX. … Read more

FTX Founder Sam Bankman-Fried Attempts to Raise Fresh Cash Despite Bankruptcy

FTX Founder Sam Bankman-Fried Attempts to Raise Fresh Cash Despite Bankruptcy

FTX filed for bankruptcy last week, but the cryptocurrency exchange’s founder still thinks that he can raise enough money to make users whole, according to people familiar with the matter. Mr. Bankman-Fried, alongside a few remaining employees, spent the past weekend calling around in search of commitments from investors to plug a shortfall of up … Read more