Bloomberg reported that federal prosecutors are investigating some crypto transactions linked to a wallet linked to disgraced FTX founder Sam Bankman-Fried (SBF) and his bankrupt crypto trading firm Alameda Research.
according to report good, Prosecutors are trying to identify those behind the transactions. In the case of SBF, the authorities are trying to determine if the property belongs to him or if he is transferring funds without approval. Part of his bail condition is that he cannot enter into financial transactions in excess of $1,000.
multiple media reportsCiting on-chain analysts, it was reported that SBF had withdrawn $684K through a crypto exchange in Seychelles. A separate report from blockchain analytical firm Arkham Intelligence said more than $1 million was moved from multiple wallets linked to Alameda.
SBF denied involvement
However, SBF has denied that he is behind the transfer. “None of these are me. I cannot and will not move any of these funds; I no longer have access to them.
He added that FTX liquidators may have legitimate access to the funds, and if not, he expects someone to do so soon. He offered to advise the regulators on any of these if they so desired.
The founder, who was worth $24 billion earlier this year, recently said he has less than $100,000 in his account and doesn’t know how he will pay his lawyers.
The community denies his explanation
SBF’s denial has stunned the crypto community, with many saying he is lying.
Ryan Wyatt, CEO of Polygon Said,
“You lie so much in your tweets that even tweeting this you have completely convinced me it was you. 110 years at Rikers. Nothing short.”
He said that his bail condition should have banned him from the internet.
Meanwhile, on-chain sleuth ZachXBT asked who had access to the wallet. He further stated that “purse security It was terrible. He highlighted the portion of the court filing that Said FTX practiced the unacceptable practice of using an unsecured group email as the root user to access sensitive data and private keys.
The founder of Gochstein Media, David Gochstein, belonged to opinion that the CFO could access the wallet.
Other community members expressed surprise that the SBF still had access to the Internet under his bail condition. SBF was Free on bail of $250 million last week. The FTX founder was arrested on eight-count fraud charges and is reportedly planning to plead “not guilty”.
BeInCrypto has reached out to the company or the person involved in the story for an official statement regarding the recent development, but has yet to hear back.
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