Caroline Ellison, former CEO of Alameda Research, testified at her trial that Sam Bankman-Fried (SBF) instructed her to commit a crime.
As the trial of the embattled FTX Derivatives founder’s chief executive officer, Sam Bankman-Fried (SBF), enters its second week, his ex-girlfriend and longtime ally, Caroline Ellison, has once again indicted the cryptocurrency pioneer.
Caroline Ellison Makes Shocking Disclosure
In her testimony, the CEO of Alameda Research, Caroline Ellison, confessed to committing fraud. She noted, however, that she did not perpetrate these frauds voluntarily because Sam bankman-Fried directed her to do so.
According to Ellison, SBF designed the systems that made it simple for him to steal money from FTX. According to her, this system was responsible for about $14 billion that Alameda Research could secure from the now-bankrupt digital currency trading platform.
“Alameda took several billions of dollars from FTX customers and used it for investments,” Ellison said according to reports from the Courthouse. “I sent balance sheets that made Alameda look less risky than it was.”
The relationship between SBF and Caroline Ellison is melancholy because their journey as pioneers in cryptography was cut short. SBF persuaded Ellison to quit Jane Street Capital and join him in his cryptocurrency endeavors. Both eventually mixed business with pleasure, a significant action that many have hypothesized contributed to the collapse of the trading platform.
Ellison is also facing accusations for her role in the collapse of the FTX exchange. In contrast to SBF, she pleaded guilty to the offenses brought against her. As a government witness, rumors persist that she will receive a light sentence for her role in the fraud.
SBF Trial Not Favorable to Him
Even though everyone who has testified thus far has implicated SBF, it is evident that the trial is not proceeding in his favor. However, his attorneys may be permitted to cross-examine some witnesses, as Gary Wang’s official court filing has already been submitted.
As the courtroom spectacle continues, the community is increasingly interested in the other revelations that Ellison and other potential witnesses will make.
