Sam Bankman-Fried received a $3.3 billion personal loan from FTX’s Alameda Research, court filings reveal
While maintaining the façade and appearance of a multi-billionaire, it turns out the disgraced FTX founder Sam Bankman-Fried was bankrupt all along. New court filings revealed that Bankman Fried was using FTX hedge fund Alameda Research as a piggy bank to fund his personal pleasures.
According to new court filings, Bankman-Fried received a $3.3 billion personal loan from FTX’s sister company Alameda Research. The revelation comes a few days after reports that Bankman-Fried secretly moved $10 billion to Alameda Research using a “backdoor” he built into FTX software without alerting external auditors.
It gets even worse. Alameda research, a company by Bankman-Fried also received PPP loan money to cover payroll during the pandemic of 2020. How much of that money went into payroll is yet to be determined.
FTX partner and owned by SBF got PPP loan money. How much went into crypto and not into payroll pic.twitter.com/is05uXxedT
— Tartag (@AlbertSTartagl1) November 16, 2022
Bankman-Fried first came into the spotlight in 2020 after he donated a whopping $5.2 million to Joe Biden’s campaign, making him the second-biggest donor.
Bankman-Fried founded FTX in 2019 with his co-founder Gary Wang. The Bahamas-based crypto exchange FTX offers derivatives products like futures and options as well as spot trading. Once an unknown startup, FTX has become a key player in the crypto space, rivaling the likes of Coinbase and Binance.