Coin Week

  • bitcoinBitcoin$28,340.005.75%
  • ethereumEthereum$1,809.545.23%
  • binancecoinBNB$317.222.73%
  • rippleXRP$0.5717.10%
  • dogecoinDogecoin$0.0759735.08%
  • solanaSolana$21.157.08%

Ava Labs CEO notes Sam Bankman-Fried’s impact on the industry

Ava Labs – 2022 saw the crypto market crash, and it fell into further chaos when the top crypto exchange platform FTX collapsed.

The collapse created a domino effect, creating a wave of financial strains on several crypto companies exposed to FTX.

It also resulted in several companies filing for bankruptcy, closure, or frozen assets.

Emin Gün Sirer, the founder and CEO of Ava Labs, described the damage Sam Bankman-Fried, the founder of FTX, as vast.

The news

Last fall, the FTX collapse added salt to the wound to an already beaten down industry.

Its reputation, primarily the industry’s legitimacy and trust, was tarnished by the implosion of the once-mighty crypto exchange.

“The damage that Sam [Bankman-Fried] did is immeasurable,” said Sirer.

“All that goodwill that we built over many, many years of hard work is just usurped by some guy who comes in and puts on this boy genius act.”

The Ava Labs CEO said he watched the digital assets industry over the years grow from nothing into the titan it is today.

He also revealed that he worked hard at Cornell University as a computer science professor to provide more education and insight around blockchain technology.

Sirer has also held workshops and shed some light on cryptocurrency for politicians.

Emin Gün Sirer described how the thought of Sam Bankman-Fried’s impact on the crypto space set the industry back, keeping him up at night.

The Ava Labs CEO said he was conscious of shifting tides in regulatory circles, noting that it could be dangerous for people and organizations involved in crypto.


In the summer of 2022, the crypto market crashed, and digital asset prices spiraled downwards.

It was during that time that Sam Bankman-Fried, the now-infamous FTX founder, rose to prominence.

His reputation hit new heights, earning the 30-year-old entrepreneur comparison to John Pierpont Morgan.

The crypto crash was similar to the 1907 economic panic, and Morgan was instrumental and almost godlike in that he could decide which firms would survive and which would die.

For months, SBF’s reputation was immeasurable, but everything changed in November.

Downward spiral

As FTX collapsed, Sam Bankman-Fried started losing his reputation as the golden boy of crypto.

The company then filed for bankruptcy following a run on the exchange sparked by a steep drop in the FTT token, FTX’s native token.

The bankruptcy filing revealed that the crypto exchange didn’t have one-to-one reserves of customer assets.

As a result, FTX could not accommodate withdrawals.

Read also: Spotify Web3 playlist to benefit NFT projects


In December 2022, Sam Bankman-Fried was arrested.

He was later charged for a series of crimes, from fraud to money laundering.

SBF allegedly misappropriated billions of dollars worth of customer funds.

Despite the mounting evidence, Sam Bankman-Fried pleaded not guilty.

The FTX founder would later receive additional charges, namely illegal political donations.

The donations cost tens of millions of dollars.


As a result of his antics, SBF received comparisons to Bernie Madoff by former partners.

Anthony Scaramucci, the managing partner at Skybridge, described SBF as a friend before his betrayal.

“I thought Sam was the Mark Zuckerberg of crypt,” said Scaramucci. “I did not think he was the Bernie Madoff of crypto. I got it wrong.”

Meanwhile, the Ava Labs CEO said the lack of scrutiny Sam Bankman-Fried received was down to the image he worked hard to put on.

Sirer pointed out how he cultivated his tousled hair and spent so much on marketing to shift the world’s perspective so he can be viewed as a genius.


According to Emin Gün Sirer, the aftermath of the FTX collapse will depend on creating a constructive dialogue with regulators.

The Ava Labs CEO underscored the failure of several crypto companies and projects caught in the company’s web of lies.

Furthermore, Sirer said that it’s essential to clarify that FTX’s fate was not a failure of crypto itself but the failure of a centralized entity.

Silver linings

Emin Gün Sirer is now searching for a silver lining following the conundrum FTX set up.

Although he is aware of the damage and resulting contagion to other businesses, the Ava Labs CEO believes the damage would have been worse if it was left unchecked.

“If we had given Sam a couple more years of runaway, it would have been worse,” said Sirer.

He also recognized how SBF’s antics put the spotlight on crypto.

“I no longer have to educate people on what Bitcoin [or] Ethereum is.”

Furthermore, Emin Gün Sirer expressed relief that Ava Labs was never a “Sam coin.”

“We were never a Sam coin, and therefore we stayed out of that whole craziness,” said the Ava Labs CEO.

“And we’re just thanking our lucky stars for it.”

Image source: Coincu News

FTX Japan gets the green light to resume operations

FTX Japan – While it has been months since major crypto exchange platform FTX collapsed, there has been progress in retrieving the frozen funds.

On Monday, the Japanese subsidiary of FTX announced that customers of FTX Japan can finally withdraw crypto deposits and fiat currency.

The withdrawal process will occur through a crypto trading platform called Liquid Japan, which FTX acquired in the spring of 2022.

The news

The recent announcement sheds some hope for FTX Japan customers after withdrawals were paused in November 2022 when Sam Bankman-Fried’s crypto empire collapsed and filed for bankruptcy.

According to the Tokyo-based company, customers that are eligible can withdraw their funds.

They were notified of the process through email.

To withdraw, customers must create a Liquid Japan account and confirm the existing balance on their FTX Japan account.

The announcement

FTX Japan wrote in a blog post to apologize to their customers, giving them updates and instructions on how they can withdraw their funds.

“We are very sorry for the concern and inconvenience caused to our customers due to the suspension of our service,” the blog post said.

“In order to proceed with withdrawals, customers who have assets in their FTX Japan account would need to confirm the balance of their assets and transfer them to their Liquid Japan account.”

“Customers who do not have a Liquid Japan account are required to open one before they can transfer assets.”

“We have sent an email to all eligible customers regarding the details of the procedures.”

“If you have not completed the procedure, please follow the instructions in the email and complete the process.”

“Please note that due to the large number of requests from customers, it may take some time for the withdrawal process to be completed.”

“We will announce the resumption of other FTX Japan services as soon as possible.”

Read also: Neal Mohan appointment could bring YouTube closer to Web3

Japanese subsidiary

Compared to other subsidiaries, FTX Japan was one of the newer branches.

It launched in June 2022, operating for less than six months before the crypto exchange collapsed.

“Japan is a highly regulated market with a potential market size of almost $1 trillion  when it comes to cryptocurrency trading,” Sam Bankman-Fried said in June 2022.

When FTX Japan launched, SBF was appointed as interim CEO.

The latest development in FTX Japan will allow customers to breathe, but customers who used other FTX subsidiaries like FTX.US aren’t as lucky.

Other subsidiaries remain frozen as the international exchange endures bankruptcy proceedings in a Delaware court.

The fall of an empire

FTX had established itself as one of, if not, the top crypto exchanges in the space.

However, the crypto world was rocked when the exchange filed for bankruptcy in November 2022.

The bankruptcy filing was triggered after they witnessed a steep drop in the FTT’s price, the exchange’s native cryptocurrency.

Assets started flowing out of FTX, and FTX was exposed as being unable to uphold one-to-one reserves of customer assets.

As a result, the exchange could no longer withdrawals, forcing figures of the company to file for bankruptcy.

Things took a turn for the worse when Sam Bankman-Fried was arrested and charged with financial crimes like:

  • Wire fraud
  • Conspiracy to commit money laundering

Despite the evidence stacked against him, SBF has pleaded not guilty.

FTX progress

In December 2022, FTX filed a motion asking for the approval of the sale of the company’s four subsidiaries that were solvent, namely:

  • Embed Technologies
  • FTX Europe
  • FTX Japan
  • LedgerX

The effort was meant to help the company raise money and reimbursed creditors who are owed billions of dollars.

Recently, the judge overseeing SBF’s criminal case in the Southern District of New York weighed an amendment to his bail agreement, banning him from using electronics.

The decision comes from his use of a Virtual Private Network, sending encrypted messages through the Signal app.

Last Friday, the team overseeing FTX’s bankruptcy proceeding sent a warning of scam tokens claiming to represent debt to FTX customers.

“The FTX Debtors have not issued any debt token,” tweeted FTX. “Any such offers are unauthorized.”

Image source: Coingape

Cryptocurrency rally raises caution in the crypto space

Image source: Business Today

Cryptocurrency: Cryptocurrencies have recently made positive progress with an upswing price, especially Bitcoin and Ethereum.

However, the good news also revives a common debate in such situations: is the market set for a rebound, or are the trends just going to lead to another heavy crash?

In November 2021, Bitcoin hit an all-time high selling price of $69,000.

Since then, the digital coin has been struck with higher interest rates and the collapse of high-profile firms, including FTX and Three Arrows Capital (3AC), among others.

Cryptocurrency movement

The leading cryptocurrency is down almost 67% from the November 2021 prices, but digital assets, including stocks, are off to a good start for 2023.

This month, Bitcoin rose by 38%, selling for $22,893.39 – its highest price since August 2022.

Ethereum’s cryptocurrency (ETH) also rose by 38%, selling for $1,635.68.

So far, cryptocurrency prices have risen in January in anticipation of the economic report that indicated inflation cooling in December.

The reading has also been positive, raising the possibility of the Federal Reserve increasing rates at a slower pace than last year in an attempt to slow down soaring prices.


Although it has mainly been good news, many are giving warnings of caution.

Crypto commentators believe the recent surge is too good to be true, labeling the current rally a trap.

Commentators also anticipate the increase will abruptly come crashing down, burning naive traders who believed it was the start of a new uptrend.

Others are also skeptical of the crypto rally.

On Twitter, a popular Bitcoin page held a poll with 18,000 participants calling the rally a bull trap.

Meanwhile, a prominent crypto enthusiast and self-titled crypto analyst, il Capo Of Crypto, agreed with his sentiments.

Read also: CBDC report shows how it could impact global financial systems

“I’ve been checking charts all this time, avoiding noise from Twitter,” he wrote.

“The way the upward movement is happening, the way htf resistances are being tested…it clearly looks manipulated, no real demand.”

“Once again, the biggest bull trap I’ve ever seen. But they won’t trap me.”

The self-proclaimed crypto analysts’ suspicions were shared across the space.

It also reached Reddit, with one user pushing against observations with a market bottom in a news article.

“Hard to believe that it was only a week or so ago that everyone and their analyst was solemnly and confidently proclaiming that [Bitcoin at] 12k was inevitable and unavoidable,” said the user.

Jim Cramer

CNBC’s Mad Money host Jim Cramer chimed in last Wednesday, calling the crypto bounce a manipulation.

“The manipulation higher of crypto shows you this is truly a sham market,” Cramer tweeted.

Cramer’s commentary was received with mixed accuracy.

It became the subject of mockery, with memes emerging and a series of parody accounts.

For example, one account goes by the name “Inverse Cramer ETF,” a false Exchange-Traded Fund that offers the opposite of Cramer’s advice.

Several accounts also took a swipe at the Mad Money host’s sentiments, taking his pessimism as a positive sign.

Dan Held, the head of growth marketing at crypto exchange Kraken, mockingly raised a toast, replying, “Bottom is in!”

A positive outlook

While others were wary, other influential accounts were bullish.

PlanB declared that a new bull market in digital assets had started as the Bitcoin pump occurred.

Meanwhile, other community members decided to take it as an opportunity to mock people who are cautious of digital assets dealing with more losses.

Wall Street

The surging cryptocurrency prices have also confused Wall Street.

Last Friday, JP Morgan analysts released a research report that couldn’t fully explain the rally confidently.

However, they acknowledged that market conditions had improved for riskier assets, citing the recent inflation report.

“We don’t have a great answer on the January-to-date rally of crypto, we do think it is emblematic of the underlying conviction many still have in cryptocurrencies,” they wrote.

“The crypto-bulls and whales seem to have been reinvigorated.”

Ordinals project continues to divide the Bitcoin community

Ordinals – In January, the Bitcoin blockchain launched a project that enables Bitcoin-native on-chain NFTs, creating a divide in the Bitcoin community.

Advocates, developers, and enthusiasts argued against the merits of a JPEG’s inclusion on the blockchain.

As debates continue, a Dune report showed that the number of Bitcoin inscriptions using Ordinals already went beyond the 11,000 mark on Tuesday.

The project

Ordinals is Bitcoin’s latest project in an effort to bridge NFTs to the Bitcoin ecosystem.

In 2014, they launched Counterparty to introduce NFTs to Bitcoin with the Rare Pepes collection.

Three years later, they launched Stacks.

However, the latest project is different due to the assets (JPEGs and video games) being directly inscribed on satoshis on the blockchain.

In addition, they no longer need sidechains or additional tokens.

A divide

The Ordinals project has become a hot topic within the Bitcoin community, spurring debates and questions about the Bitcoin network endgame.

Others say the project opened the network to a series of threats, such as malware attacks and surging transaction fees.

However, it isn’t all negative.

Dan Held, a veteran Bitcoiner, tweeted his support, saying Ordinals is good for Bitcoin.

“Hal Finney would like Bitcoin NFTs,” he wrote, attaching a screenshot of an email by the late Hal Finney, who wrote about crypto trading cards.

Hal Finney is a figure believed to be the pseudonymous creator Satoshi Nakamoto of Bitcoin.

Finney passed away in 2014.


Ordinals have dubbed NFTs “digital artifacts,” while the rest of the Bitcoin community members call it “inscriptions.”

The inscriptions are live thanks to a Bitcoin Taproot feature upgrade in November 2021, allowing arbitrary data storage.

Interest in the project has increased following developer Casey Rodarmor’s project launch on January 21, 2023.

Many are eager to push the limits of the inscriptions on a satoshi.

Read also: Crypto ads won’t feature as much in Super Bowl

Application innovation

Alex Adelman, the co-founder and CEO of Lolli, called Ordinals a homecoming moment for the top cryptocurrency project.

“The Ordinals project is a milestone for bitcoin [SIC], demonstrating how innovation on the bitcoin network can give rise to a breadth of new applications beyond its use as sound money,” said Adelman.

Despite his praise for Ordinals, Adelman still believes Bitcoin still lags behind Ethereum when it comes to the investment and talent committed to innovating and developing new applications.

However, Bitcoin NFTs will likely lure in new interest and capital, creating opportunities for developers to build unique solutions that can facilitate scalability and efficiency.

A lack of features

Although Bitcoin has spurred attention to the original blockchain with NFT minting, Ordinal inscriptions still lack features typically associated with NFTs.

For example, Ordinals don’t have smart contracts, a feature the Bitcoin blockchain doesn’t natively support.

Brian Laughlan, a Satoshibles developer, offered that the limitations will bring more attention to other projects like Stacks.

“The reason I am bullish on Stacks even more now is because people will eventually start to feel the limitations of Ordinals – high main chain fees, no smart contracts, etc,” said Laughlan.

“They will look to L2 solutions, and Stacks is ready to fill that gap.”

The Satoshibles developer explained that the backlash from Bitcoin extremists have drowned out Stacks’ voice from being heart.

He also said Ordinals is the best thing that could have happened for Stacks.

“Now more people are looking at Bitcoin than ever,” said Laughlan.

“You got ETH Maxis running Bitcoin nodes and Bitcoin Maxis loving jpegs all of a sudden. The world has gone mad.”

The debate around Ordinals is set to continue, widening the gap in the community.

However, whether Bitcoin maxis like it or not, the inscriptions on the Bitcoin blockchains are going to stay for a long time.

Image source: Forbes

Coinbase receives boost in stock price after NYDFS settlement

Image source: Bankrate

Coinbase: On Wednesday, cryptocurrency exchange platform Coinbase received a major boost.

The exchange’s stock increased after it reached a settlement worth $100 million with the New York Department of Financial Services.

Following the settlement, the Nasdaq Composite-listed COIN was up by over 12%, trading at $37.34 per share.

The settlement

Coinbase and the New York Department of Financial Services resolved their issues with the former’s compliance programs.

As a result, the cryptocurrency exchange is required to pay a penalty of $50 million.

In addition, the platform must invest an extra $50 million to increase its abilities to comply with financial regulations, including transaction monitoring and KYC rules.

The Department of Financial Services said it found that the company failed to comply with a program, violating New York Banking Law and state regulations regarding the following:

  • Cybersecurity
  • Money transmitting
  • Transaction monitoring
  • Virtual currencies

Company vulnerability

According to the NYDFS, the flaws in Coinbase’s compliance program made them vulnerable to the following:

  • Activities related to narcotics trafficking or child sexual abuse material
  • Fraud
  • Money laundering

Adrienne A. Harris, the Superintendent of Financial Services, said:

“It is critical that all financial institutions safeguard their systems from bad actors.”

“Coinbase failed to build and maintain a functional compliance program that could keep pace with its growth.”

However, the NYDFS said that the company has already started improving its practices.


New York regulators found that Coinbase’s treatment of the KYC rule and customer due diligence requirements fell as a “check-the-box” exercise.

In addition, the exercise was found to be inadequate.

Furthermore, the department discovered Coinbase had a substantial backlog for monitoring apprehensive transactions.

It totaled over 100,000 unreviewed alerts by late 2021.

In the end, some transactions Coinbase flagged weren’t reviewed until months later.

Due to the company’s failure, the NYDFS installed an independent monitor early last year.

The monitor reviewed the company’s compliance program, addressing issues with Coinbase’s practices.

As part of the settlement, the monitor will operate with Coinbase for another year.

Read also: Solana starts 2023 with boost in $11 price jump

Price jump

The company’s stock (COIN) price increase likely gained the boost from investors who now have a clear picture over the company’s regulatory matters.

The cryptocurrency exchange platform initially disclosed the NYDFS investigation as a potential risk to its operations during a SEC filing in late 2021.

However, the recent announcement from the regulator officially closed the door on the case.

SEC investigation

Despite the good news, Coinbase still has a looming SEC investigation.

In July 2022, the company faced a probe investigating whether the SEC should allow Americans to trade digital assets that should have been registered as securities.

The investigation is related to an earlier insider trading case when a former employee was accused of violating Coinbase’s insider trading rules.

According to the accusation, the former employee tipped off his brother and a friend regarding upcoming token listings.

The agency determined the following tokens traded by the accused:

  • AMP (AMP)
  • Rally (RLLY)
  • DerivaDEX (DDX)
  • XYO (XYO)
  • Rari Governance Token (RGT)
  • LCX (LCX)
  • Powerledger (POWR)
  • DFX Finance (DFC)
  • Kromatika (KROM)

The platform

The cryptocurrency exchange platform first went public in April 2021.

It became the first major cryptocurrency company to join the US stock exchange.

At the time, the crypto market was on a hot streak, with Bitcoin going through the roof with trades of $63,000.

As a result, people became interested in investing in cryptocurrency.

During its genesis, COIN debuted at an astounding price of $381, which was 52% higher than its $250 reference price.

However, 2022 ushered in an unexpected crypto and stock market crash.

The brutal bear market destroyed crypto projects, companies, and the price of nearly every coin on the market.

Since then, COIN suffered a significant drop, falling 90% from when it was first listed.


Coinbase stock price jumps 12% following $100M NYDSF settlement

Coinbase reaches $100 million settlement with New York regulator over compliance programs

SEC launches probe into Coinbase over alleged securities listing: report

SEC claims Coinbase currently lists nine crypto assets that are securities

Bitcoin, Litecoin, Ethereum: Meet the top 5 cryptocurrencies in 2022

Bitcoin, Litecoin, and Ethereum are just a few of the top cryptocurrencies in the world. Over the past few years, there has been an incredible amount of growth in the cryptocurrency market. Although you may not hear about Litecoin (LTC) as much as Bitcoin (BTC), it is still one of the most popular cryptocurrencies and second only to Bitcoin in terms of age. As such, this digital asset has been around for a long time and continues to be highly sought after by many crypto investors. Litecoin trading has become increasingly popular in recent years as more and more people are looking to invest in this growing digital asset. This blog post will look at some of the top currencies expected to be around in 2022.

The concept of Cryptocurrencies?

Cryptocurrency is a decentralized digital asset, meaning it operates without the authorization of a bank or government. There are currently 21,954 cryptocurrency projects in the industry, collectively worth more than $854 billion.

Here are the top 5 cryptocurrencies in 2022:

      1. Bitcoin (BTC)

  • The market capitalization of this cryptocurrency stands at an impressive $327.2 billion.

As the world’s first cryptocurrency, Bitcoin (BTC) was brought to life in 2009 by Satoshi Nakamoto. Using a blockchain-based ledger, Bitcoin (BTC) is supported by thousands of computers that record and store its transactions. This technology makes it one of the most reliable cryptocurrencies on the market today. To ensure its security and resistance to fraudulence, Bitcoin utilizes a verification system called proof of work that requires solving a cryptographic puzzle. This process guarantees the accuracy of additions made to the distributed ledgers.

Bitcoin has become a phenomenon in six years, and its worth has skyrocketed exponentially. In May 2016, one Bitcoin was valued at around $500, while in December 2022, it had increased to an astonishing $17,020, a growth of over 3304%. It is no surprise that more people are investing in cryptocurrency as this trend continues.

      2. Litecoin (LTC)

  • With its impressive $5.5 billion market capitalization, Litecoin is a dominant player in the cryptocurrency sphere.

Developed by ex-Google engineer Charlie Lee, Litecoin emerged as one of the first alternative cryptocurrencies to Bitcoin and Ethereum. Its creation was to refine certain aspects of the Bitcoin blockchain technology. With lightning-fast transactions of up to 54 per second, Litecoin offers an advantage over other cryptocurrencies. Even though Litecoin needs six confirmations from exchanges to be considered irreversible, many peer-to-peer crypto payment networks can often settle Litecoin transactions immediately.

Litecoin and Bitcoin have many commonalities. They are both open-source projects that employ the proof of work model to validate transactions.

Litecoin is similar to Bitcoin, but it has some notable differences too. For example, the processing speed for Litecoin is different from Bitcoin. In addition, the maximum supply for Litecoin is capped at 84 million coins, while Bitcoin is capped at 21 million coins.

Litecoin is an incredibly liquid crypto, making it the perfect currency for swift trades. You’ll be delighted to learn that numerous merchants and nonprofits will gladly accept Litecoin as payment – from Newegg to SlingTV and even the American Red Cross.

Unlock the power of digital currency apps like BitPay and CryptoPay, enabling you to make payments via Litecoin (LTC). Furthermore, if peer-to-peer payments are your thing, Binance has a nifty app that allows you to pay someone with LTC.

      3. Ethereum (ETH)

  • With a market capitalization of $153.9 billion, this cryptocurrency is well-positioned to take advantage of future opportunities.

Ethereum is a blockchain platform and cryptocurrency that has captured the attention of software developers due to its potential applications, such as smart contracts with automated functionality when predetermined conditions are met or non-fungible tokens (NFTs).

Ethereum has made remarkable gains since April 2016, from roughly $11 to its current price of around $1,258. This is equivalent to a stunning 11,336% market appreciation in under six years.

      4. Tether (USDT)

  • Revered for its impressive market cap of $65.6 billion, this cryptocurrency has demonstrated that it is a formidable force in the industry.

Unlike other cryptocurrencies, Tether (USDT) is a stablecoin; it’s backed by fiat currencies such as the U.S. dollar and Euro, ensuring its value is nearly equivalent to that of one of these denominations. Thanks to its stable nature, Tether has become the go-to choice for investors who are wary of other cryptocurrencies’ extreme volatility. In theory, this digital currency should be more predictable than other coins.

      5. Binance Coin (BNB)

  • The total market capitalization for this cryptocurrency is estimated at a staggering $46.2 billion.

Binance Coin (BNB) is a digital currency that can be used to trade, execute transactions, and pay fees on Binance – one of the largest cryptocurrency exchanges in the global market. Since its inception in 2017, Binance Coin has gone beyond just facilitating trades on the Binance platform by offering various services and benefits. Not only can you use Binance coin for trading, payment processing or booking travel arrangements, but it can also be converted into other forms of cryptocurrency such as Ethereum and Bitcoin.

In 2017, BNB’s cost was a mere 10 cents per coin. However, as of December 2022, it had skyrocketed to an impressive $289 – representing a 288,900% increase in value.


With its lightning-fast transactions, low transaction fees, and high liquidity, Litecoin is one of the top cryptocurrencies to watch in 2022. Other promising coins include Ethereum, Tether, and Binance Coin – all of which have shown considerable growth since their launch and are well-positioned to continue dominating the cryptocurrency landscape in the future.

FTX associates plead guilty to federal court charges

Image source: The Wall Street Journal

FTX: Gary Wang, a co-founder of FTX, and Caroline Ellison, a former co-CEO of Alameda Research, both pleaded guilty to federal charges on Wednesday.

The charges

According to US Attorney Damian Williams, the two FTX associates pleaded guilty in the Southern District of New York.

The following offenses were those to which Gary Wang pleaded guilty:

  • Conspiracy to commit wire fraud
  • Wire fraud
  • Conspiracy to commit commodities fraud
  • Conspiracy to commit securities fraud

Caroline Ellison, however, had a broader list of charges, which included the following:

  • Two counts of wire fraud
  • Two counts of conspiracy to commit wire fraud
  • Conspiracy to commit commodities fraud
  • Conspiracy to commit securities fraud
  • Conspiracy to commit money laundering

Their charges were made public the evening that Sam Bankman-Fried, the former CEO of FTX, was supposed to be traveling from the Bahamas to New York.

The same federal prosecutors who approved the plea agreements for Ellison and Wang are accusing him of eight federal crimes.

Their plea agreements were finalized on Monday before SBF’s scheduled departure for the US following a turbulent court appearance in the Bahamas.

“As I said last week, this investigation is very much ongoing,” said Williams in a prerecorded message.

“I also said that last week’s announcement would not be our last. And let me be clear, once again, neither is today’s.”

Read also: Core Scientific files for bankruptcy 2 months after warning


Following an arrest in the Bahamas last week, Sam Bankman-Fried was charged in the Southern District of New York.

Whether or not he would agree to his extradition to the US has been the topic of intense court proceedings over the past few days.

He was transported to a Bahamas jail following a heated courtroom scene on Monday in which a rumored plan for him to refuse his extradition to the US stalled.

Later that day, according to media accounts, he instructed his Bahamian lawyer to proceed with the extradition process.

Sam Bankman-Fried is slated to appear in court again later this week.

According to earlier reports, he would consent to extradition, but SBF gave a different story on Monday.

He insisted on seeing a copy of his federal indictment before agreeing to return to the United States.

However, Bankman-Fried returned to Fox Hill prison rather than surrender to US authorities.


The Commodity Futures Trading Commission and the Securities and Exchange Commission both filed civil complaints against Gary Wang and Caroline Ellison.

According to the SEC, a “multiyear scheme to defraud equity investors in FTX, the crypto trading platform co-founded by Samuel Bankman-Fried and Wang,” was at play.

Charges made in the CFTC’s expanded complaint read as follows:

“Ellison with fraud and material misrepresentations in connection with the sale of digital asset commodities in interstate commerce.”

According to the indictment, Wang is accused of fraud “in connection with the sale of digital asset commodities in interstate commerce.”

According to the CFTC statement, Wang and Ellison agreed to the charges brought against them.

Caroline Ellison was singled out for artificially manipulating FTT (FTX’s self-issued token) to enhance Alameda Research’s available collateral for loans.

Ellison and Wang are cooperating with the ongoing investigation, claims the SEC.

Read also: Sherrod Brown, US senator, suggests crypto ban

FTX and Alameda

Alameda Research was linked to numerous loans from well-known crypto businesses that filed for bankruptcy, most notably Voyager Digital and BlockFi Lending.

However, Damian Williams didn’t elaborate on the allegations against Ellison and Wang.

According to the SEC, they reportedly assisted Sam Bankman-Fried in defrauding FTX clients in their respective roles at Alameda and FTX.

Alameda reportedly had access to consumer funds through the FTX platform through a software backdoor that Wang allegedly added.

Sam Bankman-Fried led Alameda before Caroline Ellison and Sam Trabucco took over in 2021 until Trabucco left the company in August 2022.

Ellison, 28, and Wang, 29, were the second and third people charged concerning the FTX collapse.

Sam Bankman-Fried, 30, was accused of a federal violation earlier this month.

“Bankman-Fried and Wang thus gave Alameda and Ellison carte blanche to use FTX customer assets for Alameda’s trading operations and for whatever other purposes Bankman-Fried and Ellison saw fit,” said the SEC.

They said that Trabucco was not associated with any misconduct.

Meanwhile, Wang’s attorney released a statement, saying:

“Gary has accepted responsibility for his actions and takes seriously his obligations as a cooperating witness.”


FTX’s Gary Wang, Alameda’s Caroline Ellison plead guilty to federal charges, cooperating with prosecutors

FTX founder Bankman-Fried sent back to Bahamas jail in day of courtroom chaos

Why Investing in Bitcoin Is a Smart Move for 2022?

Bitcoin is the most popular cryptocurrency and has been around since 2009. It’s a peer-to-peer digital currency decentralized and not controlled by any central authority. Bitcoin was created for people who wanted to exchange money without relying on banks or other intermediaries. It’s also more secure than other payment options because it uses cryptography encryption technology to protect personal information from hackers.

If you are interested in purchasing bitcoin with Canadian cash, you can visit a Bitcoin atm near you.

This guide will explain why investing in Bitcoin is a good idea and how to get started with Bitcoin.

Increasing Popularity

Bitcoin is the most popular of all cryptocurrencies. It is used by many people worldwide, and its popularity is increasing. This means that lots of people will want to use it for their transactions, which means that the price of Bitcoin will go up even more in 2023 than it does now. If you invest $10,000 in Bitcoin today, then in 2023, you could have $30,000 by investing just a small amount of money into this cryptocurrency!

High Liquidity

The most significant reason to invest in Bitcoin is its high liquidity. In contrast to other cryptocurrencies, there is a vast market of buyers and sellers at all times, meaning that you can buy or sell Bitcoin very quickly. This makes it one of the easiest ways to get money into and out of an investment portfolio—and that’s why so many investors are choosing to use Bitcoin as their primary vehicle for investing.

High Returns on Investment (ROI)

If you’re just getting started with Bitcoin, it’s essential to understand that many factors affect the value of cryptocurrencies. One such factor is returns on investment (ROI).

When investing in Bitcoin, you can expect high ROIs over time. The reason for this is because of several reasons:

  • It has a low correlation with other assets like stocks and bonds
  • It offers higher returns than most other investments

Good Investment to Fight Inflation

One of the main reasons to invest in Bitcoin is to hedge against inflation. Inflation is when the value of your money goes down over time, and it’s a big problem for people who have money in savings accounts that they want to keep safe. Since Bitcoin doesn’t have any government backing, its value isn’t tied to any other asset, meaning its price can only go up as long as people are willing to buy it.

Some experts argue that investing in Bitcoin could be more stable than investing in traditional currency. They say that because cryptocurrency has been proven to be a good investment for those looking for short-term gains over time.

How to buy Bitcoins?

Before you buy any Bitcoins, there are some things that you should consider. First, you’ll need a Bitcoin wallet—simply an app or website to store your cryptocurrency. You can use this wallet to store your Bitcoins after purchasing them, but it’s also suitable for making payments or transferring funds from one account to another.

Second, you should consider the different ways that you can buy Bitcoins. You can purchase them through a bitcoin ATM or a cryptocurrency exchange, but many websites sell them. You’ll need to research and find a reputable seller who will offer you a fair price for your money.


So, as you can see, there are many things to consider before you buy Bitcoin. You’ll need a wallet, but you must also ensure that the seller is reputable and offers a fair price. If you research and follow these steps carefully, you can be sure that you’ll enjoy the benefits of Bitcoin.

Sherrod Brown, US senator, suggests crypto ban

Image source: CNN

Sherrod Brown: US Senator Sherrod Brown recently suggested that US federal agencies should consider banning cryptocurrencies.

He especially alluded to the Securities Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).

The news

During an NBC’s “Meet the Press” session, Brown acknowledged that while he made the ban suggestions, he also acknowledged it would be “very difficult.”

The US senator cited that the crypto industry could go offshore.

He also referred to several regulators based in the United States, saying:

“We want them to do what they need to do at the same time – maybe banning it.”

“Although banning it is very difficult because it will go offshore and who knows how that will work.”

Sherrod Brown highlighted several incidents to back his claims, including “the threat to national security from Korean cyber criminals to drug trafficking and human trafficking and financing of terrorism and all things that can come out of crypto.”

The FTX collapse was also a prime example.

The FTX collapse

In early November, crypto exchange FTX collapsed and filed for bankruptcy.

The company announced it was filing for Chapter 11 bankruptcy to start a process to review and monetize assets.

Sister company and trading firm Alameda Research also filed for bankruptcy.

However, other conglomerates weren’t part of the filing, such as:

  • Ledger X LLC
  • FTX Digital Markets Ltd.
  • FTX Australia Pty Ltd.
  • FTX Express Pay Ltd.

The announcement included confirmation that founder Sam Bankman-Fried stepped down as the CEO.

John J. Ray III took over and said:

“The FTX Group has valuable assets that can only be effectively administered in an organized, joint process.”

Read also: Sam Bankman-Fried revealed to have donated to lawmakers

What happened

Sam Bankman-Fried was considered a celebrity in the crypto space, but he lost his status almost overnight.

Binance started selling its FTT (FTX’s native exchange token) token holdings, holding it as part of an equity exit from the firm last year.

When the token plummeted, investors started withdrawing their funds from the FTX, prompting the platform to pause withdrawals and citing panic.

Brown’s sentiments

Earlier this month, Sherrod Brown called for a collaborative approach from different government bodies about reeling crypto.

He released a statement saying, “Single regulatory agencies currently generally do not have a comprehensive view of crypto asset entities’ activities.”

Brown has held a Democratic seat in Ohio since 2007, and he isn’t the only senior figure in the US government calling for stricter crypto regulation.

Senator Elizabeth Warren revealed a new bill earlier this month that governs cryptocurrencies.

The bill is titled the Digital Asset Anti-Money Laundering Act.

It strives to force crypto asset providers to offer audited financial statements.

Additionally, the bill seeks to impose bank-like capital requirements that align with what’s expected from traditional financial institutions.

Finally, the bill would give the SEC increased powers to regulate the asset class.

Read also: Jon Tester, US Senator, remains skeptical of crypto

Offshore crypto movement

Contrary to the US Senator’s statement, the uncertain regulatory future in the United States is already prompting the crypto industry to move operations offshore.

In November, Coinbase CEO Brian Armstrong addressed the situation, tweeting:

“ was an offshore exchange not regulated by the SEC.”

“The problem is that the SEC failed to create regulatory clarity here in the US,” he continued.

“So many American investors (and 95% of trading activity) went offshore.”

Armstrong also noted that the situation of the punishment on US companies made no sense.”

After FTX’s collapse, Brian Armstrong shared his desire for US lawmakers to step up and lead the global race to crypto regulation.

He said Coinbase has been a strong advocate for the regulation of cryptocurrencies, contrasting the approach of his platform with Bahamian-based “offshore exchange.”


Banking committee chair: US regulators should ‘maybe’ ban crypto

FTX files Chapter 11 bankruptcy, SBF steps down as CEO

FTX crisis an ‘opportunity’ for US to clarify crypto regulations: Coinbase CEO

Sam Bankman-Fried arrested by Bahamian authority

Image source: The Japan Times

Sam Bankman-Fried, the founder and former CEO of bankrupt crypto exchange FTX, was arrested on Monday in the Bahamas.

According to a statement from the Bahamian government, the arrest was made after US prosecutors filed criminal charges against SBF.

The news

The Southern District of New York has been investigating Sam Bankman-Fried and the collapse of FTX and trading firm Alameda.

They were also the ones who confirmed his arrest, sharing the news on Twitter.

US attorney Damian Williams announced the arrest, writing:

“Earlier this evening, Bahamian authorities arrested Samual Bankman-Fried at the request of the US government, based on a sealed indictment filed by the SDNY.”

“We expect to move to unseal the indictment in the morning and will have more to say at that time.”

The arrest

Sam Bankman-Fried was a 30-year-old crypto celebrity until last month when his company faced a liquidity crisis, prompting them to file for bankruptcy.

He quickly became a pariah overnight, leaving over a million depositors locked out and without access to their funds.

SBF was arrested without incident on Monday evening at his apartment complex.

According to a statement from the Royal Bahamas Police Force, he is due to appear in a Nassau court on Tuesday.


Following the confirmation of SBF’s arrest, the Securities and Exchange Commission said it authorized separate charges related to Sam Bankman-Fried’s “violations of securities laws.”

What charges await the FTX founder, 30-year-old crypto celebrity, and later crypto pariah remains to be seen.

SBF’s company suffered a liquidity crisis that required them to file for bankruptcy in November.

As a result, millions of depositors are now unable to access their funds.

Read also: Jon Tester, US Senator, remains skeptical of crypto


According to the New York Times, a person familiar with the matter reported that SBF’s charges include:

  • Wire fraud
  • Wire fraud conspiracy
  • Securities fraud
  • Securities fraud conspiracy
  • Money laundering

The United States has an extradition treaty with the Bahamas, allowing US prosecutors to return defendants to American soil.

The agreement says that the charges would be considered punishable by imprisonment for over a year in both jurisdictions.

Aftermath of the collapse

Four weeks after FTX filed for bankruptcy, Sam Bankman-Fried presented himself as a “hapless chief executive.”

He played the role of someone who got out over his skies, denying accusations of defrauding FTX’s customers.

“I didn’t knowingly commit fraud,” said SBF on BBC last weekend.

“I didn’t want any of this to happen. I was certainly not nearly as competent as I thought I was.”

House hearing

Sam Bankman-Fried was initially scheduled for a virtual appearance before the US House Financial Services Committee on Tuesday.

The committee was demanding answers about how FTX collapsed, darting across the digital asset ecosystem.

Due to their exposure to FTX, several crypto companies halted operations, froze customer accounts, and even filed for bankruptcy.

Following the arrest, Rep. Maxine Waters, the chairwoman of the committee, announced that SBF would no longer give testimony.


Initially, the hearing was going to move forward with testimony from John J. Ray III, FTX’s new CEO.

He took over for Sam Bankman-Fried on November 11, shepherding the company through the bankruptcy process.

“While I am disappointed that we will not be able to hear from Mr. Bankman-Fried tomorrow,” Waters said in a Monday night statement.

“We remain committed to getting to the bottom of what happened.”

So far, Ray has described a crypto empire with no corporate controls and a lack of financial and other record-keeping.

“The scope of the investigation underway is enormous,” said Ray in remarks on Monday ahead of his testimony.

Although the probe isn’t completed, the collapse appeared to have come from the concentration of power “in the hands of a very small group of grossly inexperienced and unsophisticated individuals” who failed to implement any corporate control.

According to Ray, customer assets from the FTX website were mixed with assets from the Alameda trading platform.

The revelation is a crucial issue for investigators as FTX and Alameda were separate entities on paper.

Read also: Dogecoin suffers major losses in overnight plummet


Since the collapse, Sam Bankman-Fried has denied commingling funds.

He tried to distance himself from the day-to-day management of Alameda.

The company made several high-risk trading strategies like arbitrage and “yield farming.”

According to a report from The Wall Street Journal, yield farming invests in digital tokens that pay rewards like interest rates.

SBF admitted that he mismanaged the company and didn’t pay enough attention to risk.

In late November, he appeared and spoke at the New York Times’ DealBook Summit.

“Look, I screwed up,” said Bankman-Fried during the summit.

“I was CEO of FTX… I had a responsibility.”

Additionally, Sam Bankman-Fried acknowledged the lack of corporate controls and risk management among the businesses he was managing.

“There was no person who was chiefly in charge of positional risk of customers on FTX,” said SBF.

“And it feels pretty embarrassing in retrospect.”

A Reuters report in November raised a fundamental question about the collapse, saying SBF created a “backdoor” into FTX’s accounting system, allowing him to alter the company’s financial records without triggering accounting red flags.

According to the report, Bankman-Fried used the backdoor to transfer $10 billion in customer funds to the hedge fund Alameda.

As a result, over $1 billion is currently missing.

However, Sam Bankman-Fried denied knowledge of a backdoor.

“I don’t even know how to code,” he said in a November interview with Tiffany Fong.


Sam Bankman-Fried, FTX’s founder, is arrested in the Bahamas