FTX cryptocurrency exchange’s pre-collapse financial transactions reveal yacht purchases, cash settlements, Robinhood investments, and a legal rollercoaster with seized shares.
- Court documents reveal financial transactions benefiting FTX and Alameda Research personnel before FTX’s 2022 collapse.
- Sam Trabucco, a former co-CEO of Alameda Research, confirmed benefitting from these transactions and later announced his retirement with a boat.
- Executives, including Gary Wang and Sam Bankman-Fried, received cash settlements and invested in Robinhood shares.
- U.S. Department of Justice seized Robinhood shares, Bankman-Fried faces embezzlement allegations, and recent news reports a $605.7 million share buyback by Robinhood.
So, FTX, the cryptocurrency exchange, had quite the Titanic-sized drama behind the scenes. We’re talking cash splashes, boat trips, and even some Robinhood shenanigans. And yes, it’s juicier than your favorite reality show.
🚨 A recent court filing by FTX reveals some of the lavish spending by the crypto exchange and its affiliates before its collapse in November 2022. One of the most eye-catching transactions was a $2.5M yacht purchase for former Alameda co-CEO Sam Trabucco.
🛥️ Trabucco confirmed… pic.twitter.com/DBkx63rpfA
— Emily 🌟 Kols Network (@EmilyKols69) September 3, 2023
A Boat Confirms Key Personnel’s Benefit
Imagine this: you’re scrolling through your Twitter feed, and boom! Sam Trabucco, former co-CEO of Alameda Research, tweets about his new boat. That’s right, a boat. This dude confirmed that he’s living the dream in August 2022. Just a few months before announcing his retirement from the crypto industry. Retirement or early retirement on a yacht? We’re not entirely sure.
Caroline Ellison, former Alameda Research CEO (and Sam Bankman-Fried’s girlfriend), chimed in, saying she’s proud of the Alameda employees who stepped up. But let’s be honest, who wouldn’t miss having a boat buddy around?
Cash Settlements and Robinhood Investments
Before FTX did the crypto equivalent of pulling a Houdini, Sam Trabucco and other top dogs got some sweet cash settlements. Notably, Gary Wang and Sam Bankman-Fried went full-on Robin Hood (minus the tights) by investing in Robinhood shares in April and May 2022.
Now, here’s the plot twist: Wang’s company, Emergent Fidelity Technologies, grabbed 10% of those shares. Meanwhile, Bankman-Fried was like, “Hold my crypto beer,” and retained a whopping 90%. Talk about Robinhood domination.
Seizure of Robinhood Shares
Fast forward to January, the U.S. Department of Justice seized those Robinhood shares. Why, you ask? Well, Sam Bankman-Fried found himself in hot water, facing allegations of embezzling customer funds. Things got so heated that in August, he got sent back to jail for trying to contact a witness. Drama level: off the charts.
But wait, there’s more! In a recent turn of events, Robinhood Markets Inc. whipped out a massive checkbook and completed a $605.7 million share buyback deal with the United States Marshal Service. They snagged 55.3 million shares that were once cozy in the arms of Emergent Fidelity Technologies, which is owned by none other than our crypto drama superstar, Bankman-Fried. A round of applause for this blockbuster plot twist.
To Sum it All Up….
Now, before you think this story couldn’t get crazier, remember that all these financial transactions we’re talking about involve good old-fashioned fiat currency. That’s right, not a single Bitcoin or Ethereum in sight. We’re talking dollars, folks.
But here’s the kicker: FTX and the court filings only spill the beans on these fiat transactions. What happened in the crypto realm remains shrouded in mystery, like a secret treasure chest buried on a deserted island.
In conclusion, folks, FTX’s rollercoaster saga of cash, boats, and Robinhood shares reads like a Hollywood script. And we can’t wait to see what’s next in this thrilling crypto soap opera. Stay tuned for more drama, because in the world of cryptocurrency, every day is a new episode of “As the Crypto Turns.”