Arrested founder of FTX being extradited to U.S.
2022.12.20 04:00
Arrested founder of FTX being extradited to U.S.
Budrigannews.com – Last week, at the request of the United States government, the Royal Bahamas Police Force arrested its former CEO, Sam Bankman-Fried, escalating the FTX drama. Politicians, crypto executives, and influencers all fired up their Twitter accounts within hours to discuss the arrest of the former CEO, who was forced to miss his congressional testimony. However, the media obtained the text of SBF’s planned testimony, in which he attributed the inclusion of FTX.US in the Chapter 11 bankruptcy to restructuring attorney John J. Ray III, who assumed the role of FTX CEO following the bankruptcy filing.
The number of allegations leveled against FTX and SBF as individuals is increasing. Bankman-Fried was accused by the Securities and Exchange Commission (SEC) of breaking the anti-fraud provisions of the Securities Exchange Act of 1934 and the Securities Act of 1933. At the same time, the Commodity Futures Trading Commission (CFTC) has filed a lawsuit against Alameda Research, FTX, and Sam Bankman-Fried, claiming that they have broken the Commodity Exchange Act and requesting a trial with a jury. Eight charges are included in a new 14-page indictment that was signed by United States Attorney for the Southern District of New York Damian Williams.
Bankman-Broiled apparently reevaluated his prior choice to challenge removal and is supposed to show up in court in the Bahamas on Dec. 19 to look for an inversion. He would be able to appear in a United States court and face up to 115 years in prison if he agreed to be extradited. However, legal commentators told Cointelegraph that there is “a lot to play out” in the case until he receives a final sentence within the next few months or even years.
The Digital Asset Anti-Money Laundering Act of 2022 was introduced by Senators Roger Marshall and Elizabeth Warren of the United States. The seven-page bill would regulate digital asset kiosks, also known as ATMs, prohibit financial institutions from using technology like digital asset mixers, and expand the definition of a money service business (MSB).
Businesses that provide financial services would be required to implement written Anti-Money Laundering policies. The bill would implement new requirements, such as reporting transactions exceeding $10,000 in accordance with the Bank Secrecy Act, in addition to finalizing reporting requirements that FinCEN had previously proposed.
Crypto trading platforms in Canada have been updated by the Canadian Securities Administrators (CSA), the council of provincial and territorial securities regulators. The statement states that all local and foreign crypto trading firms operating in Canada must adhere to newly expanded terms that prohibit them from providing Canadian clients with margin or leverage trading services. Crypto exchange services providers in Canada are also required by the expanded terms to separate custody assets from the proprietary business of the platform.
More Crypto innovations waiting for big changes
According to reports, a law that will allow Nigerians to use Bitcoin (BTC) and other cryptocurrencies in accordance with international standards will soon be enacted. The local Securities and Exchange Commission would be able to “recognize cryptocurrency and other digital funds as capital for investment” if the Investments and Securities Act 2007 (Amendment) Bill is signed into law.
The Central Bank of Nigeria (CBN) ordered local crypto exchanges and service providers to cease activity and mandated banks to close the accounts of any individuals or entities found to be engaging in trading activities in February 2021. The report comes nearly 24 months after Nigeria banned cryptocurrency activity.
