Sam Bankman-Fried, the creator of FTX, is apparently withdrawing significant sums of cryptocurrency immediately after being freed on bond, according to on-chain statistics.
On December 29, Decentralized Finance (DeFi) analyst BowTiedIguana reported on a string of purportedly SBF-related wallet transactions on Twitter, raising the possibility that the former FTX CEO had broken release conditions that prohibited him from spending more than $1,000 without a court order.
According to the on-chain inquiry by DeFi instructor BowTiedIguana, SBF cashed out $684,000 in cryptocurrency to an exchange in the Seychelles while he was under house arrest.
BowTiedIguana’s study indicates that on December 28, SBF’s public address (0xD5758) transmitted all remaining Ether to a recently formed address (0x7386d). According to BowTiedIguana, in August 2020, SBF purchased the address that had previously belonged to Chef Nomi, the founder of Sushiswap.
A total of 519.5 Ether, or about $629,000, was transmitted from 0x7386d to 0x64e9B, which also received money from accounts identified as belonging to Alameda Research. Additionally, BowTiedIguana discovered five distinct transactions totaling less than 51 ETH ($61,000), which were used to transfer money to freshly formed wallets and “onward to a Seychelles-based exchange.”
Within hours, transactions totaling $367,000 were sent to 0x7386d from 32 addresses that had been identified as belonging to Alameda Research wallets, and $322,000 more was sent from other wallets. According to the DeFi researcher, all funds were transferred to RenBridge and a centralised cryptocurrency exchange in the Seychelles.
Additionally, three tranches totaling 200,000 Tether (USDT) were delivered to the FixedFloat exchange by the SBF-linked wallet 0x64e9B.
BowTiedIguana claimed that the on-chain evidence was always accessible to law enforcement and the courts since the Ethereum blockchain is an immutable public ledger by contacting lawyers from the US Securities and Exchange Commission to look into the situation.
Whether or not the transactions are connected to SBF, some business supporters argue that the creator of FTX may not have broken the terms of his bond release. “I’m not sure if this counts as’spending’ money necessarily. They are already his assets, according to a business observer.
Others who left comments online conjectured that SBF was actually Chef Nomi, the unnamed co-founder of Sushiswap. Conor Grogan, head of strategy at Coinbase, emphasised that early Sushiswap activity was closely linked to many of the current SBF-associated transactions. The early stages of LPing Sushi, long before Chef Nomi turned the initiative over to SBF, were deeply involved with these wallets, presuming they all belonged to him, according to Grogan. In September 2020, SBF asserted that he had no involvement in the construction of Sushiswap.
About a week after SBF was granted bail on a $250 million bond backed by his parents and paid for with the equity in their home, the allegedly SBF-related transactions took place. SBF had previously asserted that with the demise of FTX, he only had $100,000 in his bank account. The information was released shortly after the Bahamas’ government declared that on November 12, local law enforcement agencies confiscated cryptocurrency worth $3.5 billion from FTX. The authorities stated that the action was made in response to SBF’s mid-November warning concerning cyberattacks on FTX in order to prevent a risk of “imminent dissipation” of funds.
- Following his release on bail, the founder of FTX reportedly cashed out $684k
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