Sam Bankman-Freed stole for a rainy day
The founder of the bankrupt cryptocurrency exchange FTX, Sam Bankman-Fried, planned to buy an atoll in the island nation of Nauru in order to build a bunker there and wait out a possible end of the world.
This is with reference to a lawsuit filed by FTX against Bankman-Fried and other former executives of the exchange, reports The Washington Post.
According to the newspaper, the $1 billion lawsuit says that Bankman-Freed planned to withdraw money from the crypto exchange to build a bunker on Nauru, which will be used for “some event where 50-99.99% of the people die.”
WP writes that the island, which the crypto billionaire planned to acquire, with an area of 8.1 sq. miles (20 sq km) has limited fresh water, little arable land, and imports at least 90% of its food. Because most of its infrastructure is on the coast, it is particularly vulnerable to extreme weather conditions.
“This really shows how much the preparation of billionaires for doomsday is actually about fantasy,” University of Pittsburgh professor Calum Matheson told WP.
FTX Trading sued the founder of the crypto exchange and other former leaders of the exchange on July 20 to recover more than $1 billion that they allegedly misappropriated before the exchange entered the bankruptcy process. […]
The alleged fraudulent transactions took place from February 2020 to November 2022 when FTX filed for protection under Sec. 11 of the US Bankruptcy Code. The application of this chapter involves the reorganization of the company in order to maintain business.
FTX has entered voluntary bankruptcy proceedings under Sec. 11 US Bankruptcy Code November 11 last year. On the same day, Sam Bankman-Fried resigned as head of the stock exchange and was replaced by bankruptcy specialist John Ray III. In December 2022, Bankman-Fried was arrested in the Bahamas at the request of the US. The Securities and Exchange Commission charged the businessman with “organizing a scheme to deceive investors”, he faces up to 115 years hzikhidtidekrt prisons.