Caroline Ellison’s testimony this week provided an inside look at the fraudulent inner workings of Sam Bankman-Fried’s crypto empire. Her statements exposed how Bankman-Fried and his associates deceived investors and misused customer funds to keep their companies afloat.
Key Points:
- Caroline Ellison, former CEO of Alameda Research, testified against her ex-boss Sam Bankman-Fried in his fraud trial.
- Ellison said she felt “relieved” when FTX collapsed in November 2022 because she could stop lying.
- She discussed the leaked Alameda balance sheet that triggered FTX’s downfall. Ellison said the document was designed to mislead lenders into thinking Alameda was financially healthier than it was.
- Ellison said Bankman-Fried told her to use FTX customer funds to repay Alameda’s lenders, despite her concerns.
- She revealed Alameda executives paid a $100 million bribe to Chinese officials to retrieve locked funds, showing the trust…
