Former FTX CEO Sam Bankman-Fried Arrested in the Bahamas

founder of the now bankrupt crypto exchange. Ft. X. Sam Beckman freed has now been arrested in the Bahamas. He's expected to be extradited to the United States that's because the US has filed criminal charges against the former Ceo known as S. B. F. The arrest coming less than a day before he was scheduled to appear before Congress. Now the full indictment from the southern district of new york is now expected to be unsealed at any moment and according to CNBC, charges against SBF include wire fraud, wire fraud conspiracy, securities for fraud, securities fraud conspiracy and money laundering. We're also learning this morning that he's been sued by government regulators, the SEc and the Cftc. The sec saying SBF committed years long fraud and hit investment decisions from investors. While FT X's value ballooned up to $32 billion. SPF has been accused of mishandling FT. X's user funds that allegedly co mingled them with his hedge fund. L. A major research and the new F. T. X. Ceo oversee the company's bankruptcy filing is though still scheduled to testify on capitol hill later today. He is expected to reveal details about the crypto firms mismanagement and its relentless spending binge under SPF leadership. We're also going to continue covering this story as it develops over the course of the next hour or so. We're also going to speak to a crypto expert about the debacle in just a few minutes and as we've been watching this morning, The developments continue to evolve. It seems like by the hour with him, there was this interesting piece in the new york times yesterday that Sam Beckman freed apparently had reached down to finances ceo, we know finance is one of the biggest competitors to F. D. X. Even though he had asked if finances sort of give them a lifeline before they looked at their financials and said no way we're not doing this whatsoever. And it's just sort of interesting that his sort of last moments still in charge of the company that SPF would have even reached out to his right. And I feel like that finance portion was kind of the end of things that sort of kicked off this precipitous failure that we've seen over the past few weeks. I also want to mention there's some really damning charges in this complaint here suggesting that F. T. X. Was a fraud right from the very beginning. Also that SPF personally borrowed more than $1.3 billion from Alameda using customer monies for investment real estate political donations along with some of the other leaders in this. It's interesting because Sam Beckman freed has been on a very public sort of media tour out here, speaking probably much to the chagrin of his lawyers and suggesting that he had really no involvement. He didn't know what was happening with those funds but of course he was leading both of these companies. So the question is how would he not. And now with these charges suggesting that not only did he know that he actually used those for private purposes. Really interesting. And we're talking about one of the largest crypto exchanges on the planet in FT X. We continue to monitor what the larger crypto industry is, how it's going. But if F T. X goes down, you have to be very concerned about sort of what the future of crypto looks like out there. Yeah, possibly regulation on the way. So true.