Bahamas and FTX worked together with new cryptocurrency
2022.12.13 07:27
Bahamas and FTX worked together with new cryptocurrency
Budrigannews.com – According to reports, the Bahamas government collaborated with former FTX CEO Sam Bankman-Fried to launch a brand-new cryptocurrency under local control.
Lawyers for FTX said in a court filing that after the FTX collapse in November, Bahamas government officials asked Bankman-Fried to create new digital assets worth “hundreds of millions of dollars,” Bloomberg reported on December 12. The authorities reportedly also asked the former CEO of FTX to transfer the new tokens to island officials’ control.
The report also says that officials from the Bahamas tried to help Bankman-Fried get back into the FTX trading platform’s important computer systems. American lawyers claim that officials from the Bahamas were “responsible for directing unauthorized access” to FTX systems in order to take control of digital assets under a U.S. court’s supervision.
According to the report, John J. Ray III, FTX’s new CEO and restructuring expert, reportedly observed someone minting new coins as he and his team attempted to take control of the company’s computer systems.
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The claims made by the lawyers make the conflict between officials in the Bahamas and executives from FTX restructuring in the United States even worse. Lawyers from the United States claim that liquidators in the Bahamas requested access to American-controlled FTX data, including trading data, email records, and other information, from a U.S. judge.
The lawyers reportedly wrote in a court filing on Tuesday, “It is a request for live, dynamic access that would be provided immediately to the government of the Bahamas and to Messrs.”
To help their allegations of supposed collaboration between Bahamas specialists and SBF, the American attorneys referenced that SBF opened withdrawals for every Bahamian client. The company stated that it had begun to facilitate withdrawals of Bahamian funds on November 10, just one day before it filed for bankruptcy, citing compliance with local regulations. The occurrence caused the exchange to lose millions of dollars’ worth of cryptocurrency.
Other reports also suggest that SBF had connections with the government of the United States, and the latest report makes further allegations of close ties between FTX and government officials in the Bahamas. During the 2021–2022 election cycle, SBF spent approximately $40 million supporting Democrats, according to some reports. Elon Musk, CEO of Tesla, speculated that SBF actually gave Democratic candidates more than $1 billion.
The information comes shortly after SBF expressed interest in starting a new project to repay FTX’s creditors up to $50 billion. The FTX pioneer was in this manner captured in the Bahamas on Dec. 12.
