Sam Bankman-Fried Criticizes FTX Bankruptcy Mismanagement

Disgraced FTX founder Sam Bankman-Fried has again inserted himself into the exchange’s bankruptcy proceedings, responding to a satirical post by a company creditor. The creditor accused court-appointed CEO John J. Ray III of deliberately keeping a “perfectly solvent” platform in bankruptcy to generate record fees and destroy estate value. The creditor alleged that billions in valuable equity and venture stakes were sold at deep discounts, assets were mishandled, clawbacks mismanaged, and subsidiaries forced into bankruptcy without board authority.

Bankman-Fried’s X account replied that while he didn’t agree with every point, “this is basically what happened.” He stated that FTX’s solvency and the debtors’ mismanagement weren’t the reasons for his innocence, though they were part of the story, and claimed the debtors are still withholding funds.

His comments immediately triggered a backlash. On-chain investigator ZachXBT demanded answers about an alleged $40 million transfer to Chinese authorities that he says Bankman-Fried hid from the public. Venture capitalist Adam Cochran said Bankman-Fried continues to show no remorse for his role in the collapse, arguing that his attempts to reframe events demonstrate why he deserves harsh punishment and cannot rewrite history.

The latest episode comes days after a court setback for Bankman-Fried, with judges on the 2nd Circuit in New York offering little indication they were persuaded by his appeal claims.

Автор Benjamin Redfern

I was born in 1979 in Dunedin, New Zealand, where cold mornings, steep streets, and strong opinions about rugby were part of ordinary life. I use Benjamin Redfern as my public name. My private identity remains known only to close family and long-standing friends.