132-743: SBF may refer to: People [ edit ] Sam Bankman-Fried (born 1992), US cryptocurrency businessman, and former billionaire convicted of fraud in 2023 Organizations [ edit ] Academic [ edit ] Brazilian Physical Society ( Sociedade Brasileira de Física ) Faculty of Political Science, Ankara University ( Ankara Üniversitesi Siyasal Bilgiler Fakültesi ), Turkey Société botanique de France , French botanical society Studium Biblicum Franciscanum , Franciscan Bible researchers based in Jerusalem Athletic [ edit ] Seychelles Basketball Federation, organiser of
264-502: A liquidity provider , and margin traders on FTX were generally allowed to borrow from one another and do as they pleased with the borrowed funds. However, Alameda's credit line was "essentially unlimited", and it was exempt from posting collateral on the exchange to formally secure the borrows. Senior engineers testified that they had added these features at the direction of their CEO. Bankman-Fried contended that he had merely requested something that would prevent erroneous liquidation . He
396-399: A profit ". The people who create these businesses are often referred to as "entrepreneurs". In the field of economics, the term entrepreneur is used for an entity that has the ability to translate inventions or technologies into products and services. In this sense, entrepreneurship describes activities on the part of both established firms and new businesses. In the 21st century
528-576: A proprietary trading firm, trading international ETFs . He returned there to work full-time after graduating from MIT. In September 2017, Bankman-Fried left Jane Street and moved to Berkeley, California , where he worked briefly at the Centre for Effective Altruism (CEA) as director of development from October to November 2017. In November 2017, following fund injections from billionaire computer programmer Jaan Tallinn and investor Luke Ding, Bankman-Fried and CEA's Tara Hedley (née Mac Aulay ) cofounded
660-489: A "well calculated" image that he tried to project. She stated that Bankman-Fried believed he had received higher bonuses while working at Jane Street because of his hair and used his appearance as "an important part" of FTX's "narrative and image." In court, he appeared wearing a grey suit with trimmed hair. Bankman-Fried once played the video game League of Legends while on a call attempting to secure an investment from Sequoia Capital by talking about how FTX would become
792-601: A $ 1 million donation from Bankman-Fried in October 2022 but returned the funds in early November, prior to the election. Bankman-Fried and his younger brother, Gabriel, contributed toward pandemic prevention initiatives, according to an investigative report by The Washington Post . One funding recipient was the Guarding Against Pandemics PAC , founded by Gabriel. On May 15, 2022, FTX announced it had donated $ 18 million to support "TOGETHER Trial,"
924-544: A $ 250 million bond, the largest such bond ever set in an American criminal proceeding. Among the conditions was that he would stay at his parents' home in California. On January 3, 2023, Bankman-Fried pled "not guilty" to fraud and the other charges. On February 1, 2023, the judge presiding over his case, Judge Lewis Kaplan , tightened the bail conditions and forbade Bankman-Fried from contacting current or former employees of FTX without attorneys present. The restriction
1056-548: A Democratic PAC . During the 2021-22 election cycle, he gave $ 990,000 to Democrat candidates and $ 38.8m to outside groups, according to public records. Public records showed donations to Republican Party campaigns in the 2021–22 cycle of $ 262,200, including donations to senators Susan Collins of Maine, Mitt Romney of Utah, Lisa Murkowski of Alaska, and Ben Sasse of Nebraska. Journalist Matthew Kassel says that Bankman-Fried had often donated to politicians who cultivate good Israel–United States relations but concluded "it
1188-658: A business owner who is affiliated with millennials (also known as Generation Y), those people born from approximately 1981 to 1996. The offspring of baby boomers and early Gen Xers , this generation was brought up using digital technology and mass media. Millennial business owners are well-equipped with knowledge of new technology and new business models and have a strong grasp of its business applications. There have been many breakthrough businesses that have come from millennial entrepreneurs, such as Mark Zuckerberg , who created Facebook. However, millennials are less likely to engage in entrepreneurship than prior generations. Some of
1320-429: A college or university), science parks and non-governmental organizations, which include a range of organizations including not-for-profits, charities, foundations and business advocacy groups (e.g. Chambers of commerce ). Beginning in 2008, an annual " Global Entrepreneurship Week " event aimed at "exposing people to the benefits of entrepreneurship" and getting them to "participate in entrepreneurial-related activities"
1452-470: A common theme. Bankman-Fried maintained, for instance, that he had never said Alameda was treated the same as other customers in all respects, only that Alameda was not front-running other customers. He also claimed to have only skimmed the "dishonest" balance sheets that Alameda's CEO sent to lenders and the defense made a great effort to demonstrate her autonomy in the role, the prime example being her refusal to follow Bankman-Fried's advice to hedge against
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#17328561752441584-612: A complete failure of corporate controls and such a complete absence of trustworthy financial information." In the testimony Bankman-Fried had prepared to present in December 2022 to the House Financial Services Committee , he maintained that "[FTX] is solvent" but he was "pressured" by FTX general counsel and former partner at the Sullivan & Cromwell law firm , Ryne Miller, to declare bankruptcy. He also implied that
1716-520: A creditor getting more than it would have been entitled to at the end of the bankruptcy process," with the caveat that a "clawback can attempt to recover the difference in the payments." By April 2023, $ 7.3 billion of the original $ 8 billion in missing funds had been recuperated in liquid assets . While an anonymous bidder reportedly valued the remaining portfolio at "at least $ 2 billion", Bloomberg 's Matt Levine noted that " 'We lucked into enough money to pay everyone back'
1848-406: A cultural authority and leverage it to create and sustain various cultural enterprises"; "tycoons", defined as "entrepreneurs who buil[d] substantial clout in the cultural sphere by forging synergies between their industrial, cultural, political, and philanthropic interests"; and "collective enterprises", organizations which may engage in cultural production for profit or not-for-profit purposes. In
1980-447: A focus on opportunities other than profit as well as practices, processes and purpose of entrepreneurship. Gümüsay suggests a three pillars model to explain religious entrepreneurship: The pillars are the entrepreneurial, socio-economic/ethical, and religio-spiritual in the pursuit of value, values, and the metaphysical . A feminist entrepreneur is an individual who applies feminist values and approaches through entrepreneurship, with
2112-528: A global reach with more than 130 international affiliates. At the peak of his net worth, he was ranked the 41st-richest American in the Forbes 400 . The friendly "math nerd" persona of Bankman-Fried masked significant problems at FTX, and in November 2022, as evidence of potential fraud began to surface, depositors quickly withdrew their assets, forcing the company into bankruptcy . On December 12, 2022, Bankman-Fried
2244-416: A level of risk is a necessity. Fourth, the entrepreneurial process requires the organization of people and resources. An entrepreneur uses their time, energy, and resources to create value for others. They are rewarded for this effort monetarily and therefore both the consumer of the value created and the entrepreneur benefit. The entrepreneur is a factor in and the study of entrepreneurship reaches back to
2376-403: A market downturn. The trial ended on November 2, 2023, with the jury pronouncing Bankman-Fried guilty on all seven counts. The sentencing hearing was scheduled for March 28, 2024. Federal criminal court sentencing experts speculated on the potential amount of prison time likely to be meted out. On March 28, 2024, the court sentenced Bankman-Fried to 25 years in prison. Under provisions of
2508-491: A period of self-employment of one or more years; one in four may have engaged in self-employment for six or more years. Participating in a new business creation is a common activity among U.S. workers over the course of their careers". In recent years, entrepreneurship has been claimed as a major driver of economic growth in both the United States and Western Europe. Entrepreneurial activities differ substantially depending on
2640-410: A price system). In this treatment, the entrepreneur was an implied but unspecified actor, consistent with the concept of the entrepreneur being the agent of x-efficiency . For Schumpeter, the entrepreneur did not bear risk : the capitalist did. Schumpeter believed that the equilibrium was imperfect. Schumpeter (1934) demonstrated that the changing environment continuously provides new information about
2772-1006: A private, international, research consortium conducting clinical trials to test existing drugs as treatments for various conditions, including COVID-19 . On July 20, 2023, an Insiders Avoidance Complaint was filed against Bankman-Fried and three former FTX/Alameda senior executives seeking to recover "hundreds of millions of dollars that Defendants misappropriated." The plaintiffs were FTX Trading Ltd., Alameda Research LLC, Alameda Research Ltd., North Dimension Inc., Cottonwood Grove Ltd., and Realm Shires, Inc. Their complaint stated that Guarding Against Pandemics—which received $ 35 million from Bankman-Fried between October 2021 and May 2022—and its associated political action committee "needless to say, did nothing to prevent pandemics." In December 2022, FTX's new management commenced efforts to "claw back" donations that had been made to politicians, celebrities, and charities as part of its bankruptcy proceedings. The company announced that it "intends to...require
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#17328561752442904-404: A profitable manner. But before such a venture is actually established, the opportunity is just a venture idea. In other words, the pursued opportunity is perceptual in nature, propped by the nascent entrepreneur's personal beliefs about the feasibility of the venturing outcomes the nascent entrepreneur seeks to achieve. Its prescience and value cannot be confirmed ex ante but only gradually, in
3036-511: A recent statistical analysis of U.S. census data shows that whites are more likely than Asians, African-Americans and Latinos to be self-employed in high prestige, lucrative industries. Religious entrepreneurship refers to both the use of entrepreneurship to pursue religious ends as well as how religion impacts entrepreneurial pursuits. While religion is a central topic in society, it is largely overlooked in entrepreneurship research. The inclusion of religion may transform entrepreneurship including
3168-566: A spike in customer withdrawals from FTX that FTX was unable to fulfill, much like a bank run . Binance received $ 529 million worth of FTT as part of a sale of its equity in FTX in 2021. Zhao published his tweet soon after a report from CoinDesk stating that the bulk of the holdings of Alameda, Bankman-Fried's trading firm, were in FTT. Bloomberg and TechCrunch reported that any sale by Binance would likely have an outsized impact on FTT's price because of
3300-581: A summer program for mathematically talented high-school students. He attended high school at Crystal Springs Uplands School in Hillsborough, California . He graduated from the Massachusetts Institute of Technology in 2014 with a bachelor's degree in physics and a minor in mathematics. As an MIT student, he lived in a coeducational group house called Epsilon Theta. In the summer of 2013, Bankman-Fried worked as an intern at Jane Street Capital ,
3432-527: A tendency towards risk-taking that makes them more likely to exploit business opportunities . "Entrepreneur" ( / ˌ ɒ̃ t r ə p r ə ˈ n ɜːr , - ˈ nj ʊər / , UK also /- p r ɛ -/ ) is a loanword from French. The word first appeared in the French dictionary entitled Dictionnaire Universel de Commerce compiled by Jacques des Bruslons and published in 1723. Especially in Britain,
3564-507: A theoretical standpoint is that they have to "rewire" these temporary ventures and modify them to suit the needs of new project opportunities that emerge. A project entrepreneur who used a certain approach and team for one project may have to modify the business model or team for a subsequent project. Project entrepreneurs are exposed repeatedly to problems and tasks typical of the entrepreneurial process. Indeed, project-based entrepreneurs face two critical challenges that invariably characterize
3696-494: A variety of organizations with different sizes, aims, and beliefs. For-profit entrepreneurs typically measure performance using business metrics like profit , revenues and increases in stock prices , but social entrepreneurs are either non-profits or blend for-profit goals with generating a positive "return to society" and therefore must use different metrics. Social entrepreneurship typically attempts to further broad social, cultural, and environmental goals often associated with
3828-572: A “super app.” The investors were "incredibly impressed,” with one calling the call “one of those your-hair-is-blown-back type of meetings.” Afterward, Sequoia ended up investing over $ 200 million in FTX. An article in the Financial Times later characterized Bankman-Fried's "win ratios" in League of Legends as "average-to-bad". Entrepreneur Entrepreneurship is the creation or extraction of economic value in ways that generally entail beyond
3960-547: Is vegan . He was raised in a Jewish family. As of mid-2021, it was reported that he lived with approximately 10 roommates in a five-bedroom Bahamian penthouse bought by co-CEO of FTX Ryan Salame . After FTX's collapse, the penthouse was put up for sale for close to $ 40 million. Bankman-Fried had a relationship with Alameda Research CEO Caroline Ellison that lasted around six months and ended on April 15, 2022. While testifying against him in court in October 2023, she claimed that his hairstyle and clothes were part of
4092-418: Is commonly seen as an innovator , a source of new ideas, goods , services, and business/or procedures. More narrow definitions have described entrepreneurship as the process of designing, launching and running a new business, often similar to a small business , or (per Business Dictionary ) as the "capacity and willingness to develop, organize and manage a business venture along with any of its risks to make
SBF - Misplaced Pages Continue
4224-533: Is different from Wikidata All article disambiguation pages All disambiguation pages Sam Bankman-Fried Samuel Benjamin Bankman-Fried (born March 5, 1992), commonly known as SBF , is an American entrepreneur who was convicted of fraud and related crimes in November 2023. Bankman-Fried founded the FTX cryptocurrency exchange and was celebrated as a " poster boy " for crypto, with FTX having
4356-423: Is largely responsible for long-term economic growth. The idea that entrepreneurship leads to economic growth is an interpretation of the residual in endogenous growth theory and as such continues to be debated in academic economics. An alternative description by Israel Kirzner (born 1930) suggests that the majority of innovations may be incremental improvements – such as the replacement of paper with plastic in
4488-455: Is not a legal defense to fraud". In October 2023, FTX and its affiliated debtors revealed a proposed settlement of customer-property disputes, set to be presented for approval to the competent bankruptcy court . Accounting for both priority and non-priority claims against FTX, the settlement's parties offered their estimate that customers of FTX.com and FTX US would receive, collectively, over 90% of distributable value worldwide. Bankman-Fried
4620-465: Is that either the funds were just being held in a bank account and not used or moved, or that they were being sent to FTX in one way or another," Bankman-Fried testified. He assumed that if Alameda had been spending the funds, that would have been reflected as a borrow on Alameda's main account on FTX. Not until October or November 2022, did he claim that he finally confirmed otherwise. The main Alameda account
4752-454: Is the founder of Future Fund, whose team included Scottish philosopher and author William MacAskill , one of the founders of the effective altruism movement. After the collapse of FTX, all members of Future Fund simultaneously resigned. As of September 1, 2022, Future Fund stated it had committed around $ 160 million to 110 nonprofits. The stated reason for FTX's relocation to the Bahamas
4884-509: Is the process by which either an individual or a team identifies a business opportunity and acquires and deploys the necessary resources required for its exploitation. In the early 19th century, the French economist Jean-Baptiste Say provided a broad definition of entrepreneurship, saying that it "shifts economic resources out of an area of lower and into an area of higher productivity and greater yield". Entrepreneurs create something new and unique—they change or transmute value. Regardless of
5016-480: Is unclear if his backing of pro-Israel candidates was coincidental or motivated by any personal interest in Middle East policy." Bankman-Fried said he donated additional money to Republicans through dark money channels. "All my Republican donations were dark," he said because the press were "super liberal" and he wanted to keep it secret. Bankman-Fried was the second-largest individual donor to Democratic causes for
5148-538: The 2022 U.S. elections , with total donations of $ 39.8 million, only behind George Soros , of which $ 27 million was given to the Protect Our Future PAC. Additional recipients included The Next 50 PAC, Guarding Against Pandemics PAC, and the leadership PAC for Brendan Boyle . Bankman-Fried said in February 2022 that his political contributions were not aimed at influencing his policy goals for
5280-670: The Bloomberg Billionaires Index . The very next day, Bloomberg reported that the Securities and Exchange Commission and Commodity Futures Trading Commission were investigating FTX and the nature of its connections to Bankman-Fried's other holdings. On November 11, 2022, FTX, Alameda Research, and more than 130 associated legal entities declared bankruptcy. Anonymous sources cited by Reuters stated that, earlier in 2022, Bankman-Fried had transferred at least $ 4 billion from FTX to Alameda Research without any disclosure to
5412-717: The Committee on Financial Services about regulating the cryptocurrency industry. On May 12, 2022, it was disclosed that Emergent Fidelity Technologies Ltd., which was majority owned by Bankman-Fried, had bought 7.6 percent of Robinhood Markets stock. In a November 2022 affidavit before the Eastern Caribbean Supreme Court , and prior to his arrest, Bankman-Fried said he and FTX cofounder Gary Wang together borrowed over $ 546 million from Alameda Research in order to finance Emergent Fidelity Technologies' purchase of Robinhood Markets stock. In September 2022, it
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5544-680: The Daniel Patrick Moynihan United States Courthouse in Manhattan , presided over by Judge Lewis Kaplan . Bankman-Fried faced seven counts of fraud and conspiracy. The Guardian summarized the trial as a question of "whether Bankman-Fried is a crypto criminal mastermind or just an unlucky 'math nerd ' ". Bankman-Fried was accused of having "stole[n] billions from thousands of people" by funnelling customers' money from FTX into Alameda to fund investments, loan repayments, real estate, and political donations. The defense, on
5676-632: The Enron Bankruptcy case . FTX and related entities filed for bankruptcy in Delaware on the same day. One day after FTX declared bankruptcy, on November 12, Bankman-Fried was interviewed by the Royal Bahamas Police Force . On November 17, Ray stated in a sworn declaration submitted in bankruptcy court that according to the firm's records, Alameda Research had lent $ 1 billion to Bankman-Fried, adding, "Never in my career have I seen such
5808-546: The FTX cryptocurrency derivatives exchange in April 2019; it opened for business the following month. In September 2021, Bankman-Fried and the entire senior staff of FTX moved from Hong Kong to the Bahamas. Bankman-Fried was included on the 2021 list of Forbes 30 Under 30 but was also included on Forbes 2023 Hall of Shame list, featuring ten picks the publication wishes it could take back. On December 8, 2021, Bankman-Fried, along with other industry executives, testified before
5940-682: The German Reich . However, proof of competence was not required to start a business. In 1935 and in 1953, greater proof of competence was reintroduced ( Großer Befähigungsnachweis Kuhlenbeck ), which required craftspeople to obtain a Meister apprentice-training certificate before being permitted to set up a new business. In the Ashanti Empire , successful entrepreneurs who accumulated large wealth and men as well as distinguished themselves through heroic deeds were awarded social and political recognition by being called "Abirempon" which means big men. By
6072-464: The Prime Minister of the Bahamas , commented on the arrest that "the Bahamas and the United States have a shared interest in holding accountable all individuals associated with FTX who may have betrayed the public trust and broken the law ... [W]hile the United States is pursuing criminal charges against SBF individually, the Bahamas will continue its own regulatory and criminal investigations into
6204-593: The Royal Bahamas Police Force , with the expectation that he would be extradited to the United States to face trial. The arrest took place the day before Bankman-Fried was scheduled to appear before the U.S. House Committee on Financial Services , but Forbes obtained and published his prepared testimony. Earlier that day, the Southern District of New York had charged Bankman-Fried with " wire fraud , wire fraud conspiracy , securities fraud , securities fraud conspiracy, and money laundering ." Philip Davis ,
6336-417: The Securities and Exchange Commission . Bankman-Fried pushed for regulations via the proposed Digital Commodities Consumer Protection Act (DCCPA) by extensively lobbying Congress, which was perceived as being favorable to FTX but harmful to the broader industry, especially its decentralized finance competitors. In May 2022, Bankman-Fried stated that he planned to spend "north of $ 100 million" in
6468-1266: The Seychelles Basketball League Stix, Baer and Fuller F.C. , a soccer team Other organizations [ edit ] Saint Barbara Foundation , a mine clearance organization in Germany SBF Visa Group , Italian amusement ride manufacturer Scottish Building Federation Singapore Business Federation Société des Bourses Françaises [ fr ] , predecessor to Euronext Paris Springboard Foundation , Philippine charity Stix Baer & Fuller , former store chain, St. Louis, Missouri, US Science and technology [ edit ] Short backfire antenna Simulated body fluid Surface brightness fluctuation , in astrophysics Transportation [ edit ] Sardeh Band Airport , Afghanistan (IATA airport code) Small Block Ford , engine series St Budeaux Ferry Road railway station , Devon, England (National Rail station code) Fairchild SBF , WWII dive bomber Grumman XSBF , 1930s prototype dive-bomber Other uses [ edit ] SBF 120 , French stock market index Shabo language of Ethiopia Topics referred to by
6600-423: The voluntary sector in areas such as poverty alleviation, health care and community development . At times, profit-making social enterprises may be established to support the social or cultural goals of the organization but not as an end in itself. For example, an organization that aims to provide housing and employment to the homeless may operate a restaurant, both to raise money and to provide employment for
6732-440: The "cradle of political economy". Cantillon defined the term as a person who pays a certain price for a product and resells it at an uncertain price, "making decisions about obtaining and using the resources while consequently admitting the risk of enterprise". Cantillon considered the entrepreneur to be a risk taker who deliberately allocates resources to exploit opportunities to maximize the financial return. Cantillon emphasized
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#17328561752446864-489: The "strong public interest" to promptly resolve the case. Furthermore, a second trial would not affect how much time Bankman-Fried could face in prison under recommended federal guidelines. On April 11, 2024, Bankman-Fried appealed his conviction and the 25-year prison sentence. It is believed the appeals process could take years. The appeal would need to convince higher courts that Judge Lewis Kaplan made significant errors that deprived Bankman-Fried of his legal rights and made
6996-572: The 1930s and other Austrian economists such as Carl Menger , Ludwig von Mises and Friedrich von Hayek . According to Schumpeter, an entrepreneur is a person who is willing and able to convert a new idea or invention into a successful innovation . Entrepreneurship employs what Schumpeter called "the gale of creative destruction" to replace in whole or in part inferior innovations across markets and industries, simultaneously creating new products, including new business models . Extensions of Schumpeter's thesis about entrepreneurship have sought to describe
7128-622: The 2000s, story-telling has emerged as a field of study in cultural entrepreneurship. Some have argued that entrepreneurs should be considered "skilled cultural operators" that use stories to build legitimacy, and seize market opportunities and new capital. Others have concluded that we need to speak of a 'narrative turn' in cultural entrepreneurship research. The term "ethnic entrepreneurship" refers to self-employed business owners who belong to racial or ethnic minority groups in Europe and North America. A long tradition of academic research explores
7260-501: The 2000s, the term "entrepreneurship" has been extended to include a specific mindset resulting in entrepreneurial initiatives, e.g. in the form of social entrepreneurship , political entrepreneurship or knowledge entrepreneurship . According to Paul Reynolds, founder of the Global Entrepreneurship Monitor , "by the time they reach their retirement years, half of all working men in the United States probably have
7392-589: The 2000s, usage of the term "entrepreneurship" expanded to include how and why some individuals (or teams) identify opportunities, evaluate them as viable, and then decide to exploit them. The term has also been used to discuss how people might use these opportunities to develop new products or services, launch new firms or industries, and create wealth. The entrepreneurial process is uncertain because opportunities can only be identified after they have been exploited. Entrepreneurs exhibit positive biases towards finding new possibilities and seeing unmet market needs, and
7524-542: The 2010s, ethnic entrepreneurship has been studied in the case of Cuban business owners in Miami, Indian motel owners of the U.S. and Chinese business owners in Chinatowns across the U.S. While entrepreneurship offers these groups many opportunities for economic advancement, self-employment and business ownership in the U.S. remain unevenly distributed along racial/ethnic lines. Despite numerous success stories of Asian entrepreneurs,
7656-487: The 2024 presidential election with a "soft ceiling" of $ 1 billion. In October 2022, he walked back his pledged spending, calling it a "dumb quote on my part". However, in Going Infinite , Michael Lewis revealed that Bankman-Fried had begun to investigate the legality of directly paying Donald Trump not to run for president in 2024, with Trump's team allegedly giving a potential figure of $ 5 billion. In
7788-488: The Chief Executive of Alameda Research, Caroline Ellison , told employees that Bankman-Fried was aware that FTX had lent its customers' money to Alameda to help it meet its liabilities. Bankman-Fried resigned as CEO of FTX on November 11, 2022, and was immediately replaced by John J. Ray III , who from 2004 to 2009 had chaired the effort to recover Enron assets for creditors through litigation against numerous banks in
7920-532: The First Step Act and in conjunction with other time credit programs, Bankman-Fried may actually serve approximately 18 years. The court ordered the defendant to pay the sum of $ 11.02 billion in forfeiture for engaging in a series of fraudulent actions against customers and investors. A second trial, on five charges including bank fraud and bribery, was originally scheduled for early March 2024. These charges were brought by federal prosecutors after Bankman-Fried
8052-493: The US$ 35 million on its books had been stolen by his older brother from Alameda Research customer accounts. Both of his parents are also being sued by the new owners of FTX, to return assets Sam had given them, in the form of cash and a home, valued at over $ 32 million. His parents admit Sam gave them the assets as gifts but deny wrongdoing and are currently in court to make their case. Bankman-Fried attended Canada/USA Mathcamp ,
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#17328561752448184-530: The acquisition. Bankman-Fried invested $ 500 million in Anthropic and more than $ 500 million in venture capital firms, including $ 200 million in Sequoia Capital , itself an investor in FTX. Sequoia published a "glowing" profile of Bankman-Fried, which it subsequently removed after the solvency crisis at FTX. In July 2023, allegations emerged that Bankman-Fried had considered "purchasing"
8316-465: The aftermath of the FTX scandal, recipients of Bankman-Fried's and other FTX executives' political campaign contributions have been donating equal amounts to charitable organizations. Elected officials doing so include Senator Kirsten Gillibrand , as well as Representatives Chuy García and Kevin Hern . A spokesperson for former Texas gubernatorial candidate Beto O'Rourke said that his campaign had received
8448-424: The barriers to entry for entrepreneurs are the economy, debt from schooling, and the challenges of regulatory compliance. A nascent entrepreneur is someone in the process of establishing a business venture. In this observation, the nascent entrepreneur can be seen as pursuing an opportunity , i.e. a possibility to introduce new services or products, serve new markets, or develop more efficient production methods in
8580-544: The changes and "dynamic economic equilibrium brought on by the innovating entrepreneur [were] the norm of a healthy economy". While entrepreneurship is often associated with new, small, for-profit start-ups, entrepreneurial behavior can be seen in small-, medium- and large-sized firms, new and established firms and in for-profit and not-for-profit organizations, including voluntary-sector groups, charitable organizations and government . Entrepreneurship may operate within an entrepreneurship ecosystem which often includes: In
8712-548: The collapse of FTX". Braden Perry, a former senior trial lawyer at the Commodity Futures Trading Commission , opined that a conviction on any of the charges might result in a prison sentence of years or even decades. After being held at Fox Hill Prison in Nassau for ten days, Bankman-Fried consented to his extradition from the Bahamas to the United States to face charges. He was allowed to remain free on
8844-515: The collective nature of entrepreneurship. She mentions that in modern organizations, human resources need to be combined to better capture and create business opportunities. The sociologist Paul DiMaggio (1988:14) has expanded this view to say that "new institutions arise when organized actors with sufficient resources [institutional entrepreneurs] see in them an opportunity to realize interests that they value highly". The notion has been widely applied. The term "millennial entrepreneur" refers to
8976-480: The coming days as things develop". On the day of the announcement, FTT lost 80 percent of its value. On November 9, the Wall Street Journal reported that Binance had decided not to acquire FTX. Binance cited reports of FTX's mishandling of customer funds and pending investigations of FTX as the reasons the firm would not pursue the deal. Amid the crisis, Bankman-Fried was no longer a billionaire, according to
9108-558: The companies' insiders or the public. The sources said that the money transferred included customer funds and that it was ostensibly backed by FTT and shares in Robinhood . An anonymous source cited by The Wall Street Journal stated that Bankman-Fried had disclosed that Alameda owed FTX about $ 10 billion, which was secured through customer funds held by FTX when FTX had, at the time, $ 16 billion in customer assets. According to anonymous sources cited by The Wall Street Journal ,
9240-431: The construction of a drinking straw – that require no special qualities. For Schumpeter, entrepreneurship resulted in new industries and in new combinations of currently existing inputs. Schumpeter's initial example of this was the combination of a steam engine and then current wagon-making technologies to produce the horseless carriage . In this case, the innovation (i.e. the car) was transformational but did not require
9372-553: The context of the actions that the nascent entrepreneur undertakes towards establishing the venture as described in Saras Sarasvathy 's theory of Effectuation , Ultimately, these actions can lead to a path that the nascent entrepreneur deems no longer attractive or feasible, or result in the emergence of a (viable) business. In this sense, over time, the nascent venture can move towards being discontinued or towards emerging successfully as an operating entity. The distinction between
9504-410: The creation of a new venture: locating the right opportunity to launch the project venture and assembling the most appropriate team to exploit that opportunity. Resolving the first challenge requires project-entrepreneurs to access an extensive range of information needed to seize new investment opportunities. Resolving the second challenge requires assembling a collaborative team that has to fit well with
9636-479: The cryptocurrency ecosystem; however, FTX was circulating a list of suggestions to policymakers at the time. He said in an interview that he would prefer the Commodity Futures Trading Commission take a larger role in regulating and guiding the crypto industry. According to The New York Times , the CFTC has a reputation for favoring relatively relaxed regulations for the industry when contrasted with other regulators like
9768-527: The demands of the consumer revolution that helped drive the Industrial Revolution in Great Britain, Josiah Wedgwood , the 18th-century potter and entrepreneur and pioneer of modern marketing, which includes devising direct mail , money back guarantees , travelling salesmen and "buy one get one free" , was named by the historian Judith Flanders as "among the greatest and most innovative retailers
9900-451: The development of dramatic new technology. It did not immediately replace the horse-drawn carriage, but in time incremental improvements reduced the cost and improved the technology, leading to the modern auto industry . Despite Schumpeter's early 20th-century contributions, traditional microeconomic theory did not formally consider the entrepreneur in its theoretical frameworks (instead of assuming that resources would find each other through
10032-535: The eighteenth and nineteenth centuries AD, the appellation "Abirempon" had formalized and politicized to embrace those who conducted trade from which the whole state benefited. The state rewarded entrepreneurs who attained such accomplishments with Mena(elephant tail) which was the "heraldic badge" In the 20th century, entrepreneurship was studied by Joseph Schumpeter in the 1930s and by other Austrian economists such as Carl Menger (1840–1921), Ludwig von Mises (1881–1973) and Friedrich von Hayek (1899–1992). While
10164-406: The entrepreneur . These scholars tend to focus on what the entrepreneur does and what traits an entrepreneur has. This is sometimes referred to as the functionalistic approach to entrepreneurship. Others deviate from the individualistic perspective to turn the spotlight on the entrepreneurial process and immerse in the interplay between agency and context. This approach is sometimes referred to as
10296-454: The entrepreneur as a multi-tasking capitalist and observed that in the equilibrium of a completely competitive market there was no spot for "entrepreneurs" as economic-activity creators. Changes in politics and society in Russia and China in the late 20th century saw a flowering of entrepreneurial activity, producing Russian oligarchs and Chinese millionaires . In the 2000s, entrepreneurship
10428-485: The entrepreneur typically aims to scale up the company by adding employees, seeking international sales and so on, a process which is financed by venture capital and angel investments . In this way, the term "entrepreneur" may be more closely associated with the term "startup". Successful entrepreneurs have the ability to lead a business in a positive direction by proper planning, to adapt to changing environments and understand their own strengths and weaknesses. Meeting
10560-570: The experiences and strategies of ethnic entrepreneurs as they strive to integrate economically into mainstream U.S. or European society. Classic cases include Jewish merchants and tradespeople in both regions, South Asians in the UK, Koreans, Japanese, and Chinese in the U.S. and the Turks and North Africans in France. The fish and chip industry in the UK was initiated by Jewish entrepreneurs, with Joseph Malin opening
10692-417: The firm size, big or small, it can take part in entrepreneurship opportunities. There are four criteria for becoming an entrepreneur. First, there must be opportunities or situations to recombine resources to generate profit. Second, entrepreneurship requires differences between people, such as preferential access to certain individuals or the ability to recognize information about opportunities. Third, taking on
10824-775: The first mail order business, with the BBC summing up his legacy as "The mail order pioneer who started a billion-pound industry". A 2002 survey of 58 business history professors gave the top spots in American business history to Henry Ford , followed by Bill Gates ; John D. Rockefeller ; Andrew Carnegie , and Thomas Edison . They were followed by Sam Walton ; J. P. Morgan ; Alfred P. Sloan ; Walt Disney ; Ray Kroc ; Thomas J. Watson ; Alexander Graham Bell ; Eli Whitney ; James J. Hill ; Jack Welch ; Cyrus McCormick ; David Packard ; Bill Hewlett ; Cornelius Vanderbilt ; and George Westinghouse . A 1977 survey of management scholars reported
10956-455: The first fish and chip shop in London in the 1860s, while Samuel Isaacs opened the first sit-down fish restaurant in 1896 which he expanded into a chain comprising 22 restaurants. In 1882, Jewish brothers Ralph and Albert Slazenger founded Slazenger , one of the world's oldest sport brands, which has the longest-running sporting sponsorship in providing tennis balls to Wimbledon since 1902. In
11088-466: The goal of improving the quality of life and well-being of girls and women. Many are doing so by creating "for women, by women" enterprises. Feminist entrepreneurs are motivated to enter commercial markets by desire to create wealth and social change, based on the ethics of cooperation, equality and mutual respect. These endeavours can have the effect of both empowerment and emancipation. The American-born British economist Edith Penrose has highlighted
11220-516: The governments of nation states have tried to promote entrepreneurship, as well as enterprise culture , in the hope that it would improve or stimulate economic growth and competition . After the end of supply-side economics , entrepreneurship was supposed to boost the economy. As an academic field, entrepreneurship accommodates different schools of thought. It has been studied within disciplines such as management, economics, sociology, and economic history. Some view entrepreneurship as allocated to
11352-458: The inter-relationships between activities, between an activity (or sequence of activities) and an individual's motivation to form an opportunity belief, and between an activity (or sequence of activities) and the knowledge needed to form an opportunity belief. With this research, scholars will be able to begin constructing a theory of the micro-foundations of entrepreneurial action. Scholars interested in nascent entrepreneurship tend to focus less on
11484-427: The island country of Nauru to use as a bunker in the event of an apocalyptic event, in what has been described as a "misguided and sometimes dystopian" project. Bankman-Fried has publicly stated he supports effective altruism , contending that he was pursuing " earning to give " as an "altruistic career". He claimed to make donations "not based on personal interest but on the projects that are proven by data to be
11616-634: The loan from French of the English-language word "entrepreneur" dates to 1762, the word "entrepreneurism" dates from 1902 and the term "entrepreneurship" also first appeared in 1902. According to Schumpeter, an entrepreneur is willing and able to convert a new idea or invention into a successful innovation . Entrepreneurship employs what Schumpeter called the "gale of creative destruction " to replace in whole or in part inferior offerings across markets and industries, simultaneously creating new products and new business models , thus creative destruction
11748-492: The majority of innovations may be much more incremental improvements such as the replacement of paper with plastic in the making of drinking straws . The exploitation of entrepreneurial opportunities may include: The economist Joseph Schumpeter (1883–1950) saw the role of the entrepreneur in the economy as " creative destruction ", Which he defined as launching innovations that simultaneously destroy old industries while ushering in new industries and approaches. For Schumpeter,
11880-561: The managing team and the law firms managing the bankruptcy were using the Enron precedent in an effort to reap inordinately large amounts of fees from the process. After his arrest and imprisonment, he did not testify in Congress; John J. Ray III testified instead. On December 12, 2022, Bankman-Fried was arrested shortly after 6:00 p.m. in his apartment complex in New Providence, Bahamas by
12012-405: The minimal amount of risk (assumed by a traditional business), and potentially involving values besides simply economic ones. An entrepreneur ( French: [ɑ̃tʁəpʁənœʁ] ) is an individual who creates and/or invests in one or more businesses, bearing most of the risks and enjoying most of the rewards. The process of setting up a business is known as "entrepreneurship". The entrepreneur
12144-490: The most effective at helping people", such as those that reduced existential risks like nuclear war , pandemics , artificial intelligence , and threats to American democracy . He was a member of Giving What We Can and donated around half of his Jane Street salary to charity. In June 2022, he signed the Giving Pledge ; his name was removed from the list's website in December 2022 following his arrest. Bankman-Fried
12276-435: The novice, serial and portfolio entrepreneurs is an example of behavior-based categorization. Other examples are the (related) studies by, on start-up event sequences. Nascent entrepreneurship that emphasizes the series of activities involved in new venture emergence, rather than the solitary act of exploiting an opportunity. Such research will help separate entrepreneurial action into its basic sub-activities and elucidate
12408-435: The optimum allocation of resources to enhance profitability. Some individuals acquire the new information before others and recombine the resources to gain an entrepreneurial profit . Schumpeter was of the opinion that entrepreneurs shift the production-possibility curve to a higher level using innovations. Initially, economists made the first attempt to study the entrepreneurship concept in depth. Alfred Marshall viewed
12540-449: The other hand, told the story of a young but earnest entrepreneur critically out of his depth. Bankman-Fried, they said, worked 12 to 22 hours a day, "didn't drink or party", and wanted to fund more work on pandemic prevention. A series of mistakes from him and his inexperienced executive team, a devastating market crash, and adversarial action from external parties caused his companies to spiral into bankruptcy. But at no point, they insisted,
12672-494: The particular challenges of the project and has to function almost immediately to reduce the risk that performance might be adversely affected. Another type of project entrepreneurship involves entrepreneurs working with business students to get analytical work done on their ideas. Social entrepreneurship is the use of the by start up companies and other entrepreneurs to develop, fund and implement solutions to social, cultural, or environmental issues. This concept may be applied to
12804-494: The physiocrats. Dating back to the time of the medieval guilds in Germany, a craftsperson required special permission to operate as an entrepreneur, the small proof of competence ( Kleiner Befähigungsnachweis ), which restricted training of apprentices to craftspeople who held a Meister certificate. This institution was introduced in 1908 after a period of so-called freedom of trade ( Gewerbefreiheit , introduced in 1871) in
12936-403: The processual approach, or the contextual turn/approach to entrepreneurship. Entrepreneurship includes the creation or extraction of economic value . It is the act of being an entrepreneur, or the owner or manager of a business enterprise who, by risk and initiative, attempts to make profits. Entrepreneurs act as managers and oversee the launch and growth of an enterprise. Entrepreneurship
13068-439: The public." Nearly all the testimony for the defense was provided by the defendant, with small contributions from a risk management expert and a Bahamian lawyer. The case revolved largely around two ways that Alameda was able to access the funds of other FTX customers. The first was the line of credit Alameda had on the exchange. A credit line is a relatively common facility that enables an entity to function more efficiently as
13200-538: The quantitative trading firm Alameda Research . By 2021, Bankman-Fried owned approximately 90 percent of Alameda Research. In January 2018, Bankman-Fried organized an arbitrage trade, moving up to $ 25 million per day to take advantage of the higher price of bitcoin in Japan compared to the United States. After attending a cryptocurrency conference in Macau in late 2018, he moved to Hong Kong . Bankman-Fried founded
13332-454: The repeated assembly or creation of temporary organizations. These are organizations that have limited lifespans which are devoted to producing a singular objective or goal and get disbanded rapidly when the project ends. Industries where project-based enterprises are widespread include: sound recording , film production, software development , television production, new media and construction. What makes project-entrepreneurs distinctive from
13464-414: The return of such payments, with interest accruing from the date any action is commenced." Reports on this development included the assessment that "clawing back payments made to politicians and charities is likely to be one of the easier parts of the bankruptcy process," on the basis of U.S. legislation that presumes "payments or transfers made within 90 days of bankruptcy to be preferential if they result in
13596-403: The same term [REDACTED] This disambiguation page lists articles associated with the title SBF . If an internal link led you here, you may wish to change the link to point directly to the intended article. Retrieved from " https://en.wikipedia.org/w/index.php?title=SBF&oldid=1260025967 " Category : Disambiguation pages Hidden categories: Short description
13728-488: The short-term. These driving characteristics allude to the presence of serial entrepreneurship in the region. It has been argued, that creative destruction is largely responsible for the dynamism of industries and long-run economic growth. The supposition that entrepreneurship leads to economic growth is an interpretation of the residual in endogenous growth theory and as such is debated in academic economics. An alternative description posited by Israel Kirzner suggests that
13860-550: The single act of opportunity exploitation and more on the series of actions in new venture emergence, Indeed, nascent entrepreneurs undertake numerous entrepreneurial activities, including actions that make their businesses more concrete to themselves and others. For instance, nascent entrepreneurs often look for and purchase facilities and equipment; seek and obtain financial backing, form legal entities , organize teams; and dedicate all their time and energy to their business Project entrepreneurs are individuals who are engaged in
13992-535: The term "adventurer" was often used to denote the same meaning. The study of entrepreneurship reaches back to the work in the late 17th and early 18th centuries of Irish-French economist Richard Cantillon , which was foundational to classical economics . Cantillon defined the term first in his Essai sur la Nature du Commerce en Général , or Essay on the Nature of Trade in General , a book William Stanley Jevons considered
14124-602: The token's low trading volume. The announcement by Zhao of the pending sale and disputes between Zhao and Bankman-Fried on Twitter led to a decline in the price of FTT and other cryptocurrencies. Shortly before, Zhao had criticized Bankman-Fried's lobbying efforts. On November 8, Zhao announced that Binance had entered into a nonbinding agreement to purchase FTX due to a liquidity crisis at FTX. Zhao stated that Binance would complete due diligence soon and that all crypto exchanges should avoid using tokens as collateral. He also wrote that he expected FTT to be "highly volatile in
14256-662: The top five pioneers in management ideas were: Frederick Winslow Taylor ; Chester Barnard ; Frank Bunker Gilbreth Sr. ; Elton Mayo ; and Lillian Moller Gilbreth . According to Christopher Rea and Nicolai Volland, cultural entrepreneurship is "practices of individual and collective agency characterized by mobility between cultural professions and modes of cultural production", which refers to creative industry activities and sectors. In their book The Business of Culture (2015), Rea and Volland identify three types of cultural entrepreneur: "cultural personalities", defined as "individuals who buil[d] their own personal brand of creativity as
14388-698: The traits of an entrepreneur using various data sets and techniques. Looking at data from the Global Entrepreneurship Monitor (GEM), entrepreneurial traits specific to the Association of Southeast Asian Nations (ASEAN) are: experience in managing or owning a business, pursuit of an opportunity while being employed, and self-employment. In the decision to establish a new business, the ASEAN entrepreneur depends especially on their own long-term mental model of their enterprise, while scanning for new opportunities in
14520-584: The transfer" of at least $ 40 million in cryptocurrency to Chinese government officials, in order to unfreeze accounts of Alameda Research. In July, prosecutors dropped a campaign finance charge filed against him due to treaty obligations to the Bahamas created by his extradition. In a separate illegal campaign finance indictment in August, Bankman-Fried was accused of using $ 100 million in stolen funds of FTX customers towards 2022 U.S. elections campaign contributions. The trial began on October 3, 2023, at
14652-453: The trial unfair. Prior to August 11, 2023, Bankman-Fried was out on bail and living with his parents under court ordered restrictions. On July 26, 2023, prosecutors alleged witness tampering after Bankman-Fried gave a reporter personal writings of former Alameda Research CEO Caroline Ellison. Three weeks later, on August 11, after Judge Kaplan concluded that witness tampering had likely occurred, he revoked Bankman-Fried's bail; Bankman-Fried
14784-531: The type of organization and creativity involved. Entrepreneurship ranges in scale from solo, part-time projects to large-scale undertakings that involve a team and which may create many jobs. Many "high value" entrepreneurial ventures seek venture capital or angel funding ( seed money ) to raise capital for building and expanding the business. Many organizations exist to support would-be entrepreneurs, including specialized government agencies, business incubators (which may be for-profit, non-profit, or operated by
14916-540: The willingness of the entrepreneur to assume the risk and to deal with uncertainty, thus he drew attention to the function of the entrepreneur and distinguished between the function of the entrepreneur and the owner who provided the money. Jean-Baptiste Say also identified entrepreneurs as a driver for economic development, emphasizing their role as one of the collecting factors of production allocating resources from less to fields that are more productive. Both Say and Cantillon belonged to French school of thought and known as
15048-407: The work of Richard Cantillon and Adam Smith in the late 17th and early 18th centuries. However, entrepreneurship was largely ignored theoretically until the late 19th and early 20th centuries and empirically until a profound resurgence in business and economics since the late 1970s. In the 20th century, the understanding of entrepreneurship owes much to the work of economist Joseph Schumpeter in
15180-410: The world has ever seen". Another historian Tristram Hunt called Wedgwood a "difficult, brilliant, creative entrepreneur whose personal drive and extraordinary gifts changed the way we work and live." Victorian-era Welsh entrepreneur Pryce Pryce-Jones , who would capitalise on the railway network created during the Industrial Revolution and the modern postal system that also developed in the UK, formed
15312-455: Was "mostly a front" and described ethics as a "dumb game we woke Westerners play where we say all the right shibboleths and so everyone likes us". He later claimed to have been referring to ESG , CSR , and greenwashing , as opposed to effective altruism, bed nets , and pandemic prevention. In November 2022, Binance CEO Changpeng Zhao revealed on Twitter that his firm intended to sell its holdings of FTT, FTX's token, which triggered
15444-426: Was a noted musicologist. His aunt Linda P. Fried is the dean of Columbia University Mailman School of Public Health . His younger brother, Gabriel (b. 1995), previously worked as a legislative assistant, Wall Street trader, and director of the nonprofit Guarding Against Pandemics and its associated political action committee , which came under scrutiny by federal investigators after it was discovered that much of
15576-401: Was arrested in the Bahamas and extradited to the United States, where he was indicted on seven criminal charges, including wire fraud , commodities fraud , securities fraud , money laundering , and campaign finance law violations. In the case of United States v. Bankman-Fried , he was convicted of all seven counts of fraud, conspiracy , and money laundering. On March 28, 2024, he
15708-681: Was assigned to the same dormitory-style cell as Sean Combs . Bankman-Fried's only campaign finance activity prior to 2019 was a $ 1,000 contribution in 2010 to Michael Bennet . For the 2020 U.S. elections , he contributed $ 5.2 million to two super PACs that supported the Joe Biden 2020 presidential campaign . Bankman-Fried was the second-largest individual donor to Biden in the 2020 election cycle, after Michael Bloomberg . Contributions were made to both U.S. political parties, with SBF saying he gave an equal amount. For Democrats, Bankman-Fried donated $ 27 million to Protect Our Future ,
15840-683: Was extended from its origins in for-profit businesses to include social entrepreneurship , in which business goals are sought alongside social, environmental or humanitarian goals and even the concept of the political entrepreneur . Entrepreneurship within an existing firm or large organization has been referred to as intrapreneurship and may include corporate ventures where large entities "spin-off" subsidiary organizations. Entrepreneurs are leaders willing to take risk and exercise initiative, taking advantage of market opportunities by planning, organizing and deploying resources, often by innovating to create new or improving existing products or services. In
15972-400: Was extradited from the Bahamas in December 2022. He had asked for these charges to be dismissed because they were not part of the extradition agreement with Bahamian authorities , or alternatively he requested that they be resolved under a separate trial. Prosecutors announced on December 30, 2023 that they would not proceed to a second trial, stating that its benefits would be outweighed by
16104-442: Was given to the contrast between Bankman-Fried's public statements about his companies and the private realities. For example, on November 8, 2022, he had tweeted, "FTX is fine. Assets are fine." One FTX executive said these statements were false after first describing them to prosecutors as true but "misleading" because Bankman-Fried had been careful to talk solvency rather than liquidity. Misleading but technically true statements were
16236-491: Was imposed as Judge Kaplan considered his contact with a potential witness as a "material threat of inappropriate contact with prospective witnesses", and hinted Bankman-Fried might deserve to be jailed pending trial. Four additional criminal charges levied against Bankman-Fried were announced on February 23, 2023, primarily focused on his making "more than 300 illegal political donations." A March 2023 indictment accused Bankman-Fried and others that they had "directed and caused
16368-604: Was launched. The term "entrepreneur" is often conflated with the term " small business " or used interchangeably with this term. While most entrepreneurial ventures start out as a small business, not all small businesses are entrepreneurial in the strict sense of the term. Many small businesses are sole proprietor operations consisting solely of the owner—or they have a small number of employees—and many of these small businesses offer an existing product, process or service and they do not aim at growth. In contrast, entrepreneurial ventures offer an innovative product, process or service and
16500-495: Was led from the courtroom in handcuffs and remanded into custody at the Metropolitan Detention Center, Brooklyn . On August 22, 2023, Bankman-Fried's counsel averred that his client was not being provided a vegan diet and that his medications for ADHD and depression were running low. He added that Bankman-Fried could not prepare for the trial subsisting on bread, water, and peanut butter. By November 2023, it
16632-408: Was not aware of the specific solution implemented, he said, although he was aware that Alameda ultimately borrowed "around $ 2 billion" this way. Bankman-Fried also denied knowledge of a crucial part of the second way that Alameda accessed customer funds. Before FTX had a bank account, it had used Alameda and other payment processors to receive fiat deposits from customers. "What I believed
16764-431: Was not tracking these transactions and Alameda had taken $ 8 billion. Other FTX executives conceded that "it seemed like he might not know" exactly how these funds were being processed and that while FTX's systems were tracking this liability, it was not displayed on the admin user's dashboard. But they also emphasized that ultimately at both businesses, Bankman-Fried was the only individual in charge. Much attention
16896-526: Was reported he had access to a vegetarian diet and prescription drugs and that he was participating in the "mack" economy by buying packets of mackerel from the prison commissary and exchanging them for services from other prisoners, such as a haircut. After his trial conviction and sentencing, Bankman-Fried was assigned register number 37244-510. He requested to remain incarcerated in MDC Brooklyn while he pursued an appeal. As of late September 2024, he
17028-426: Was reported that Bankman-Fried's advisors had offered on his behalf to help fund Elon Musk's purchase of Twitter . According to messages released as part of the lawsuit between Twitter and Musk during the latter's acquisition of Twitter, on April 25, 2022, investment banker Michael Grimes wrote that Bankman-Fried would be willing to commit up to $ 5 billion. No investment actually took place when Musk finalized
17160-574: Was sentenced to 25 years in prison and ordered to forfeit $ 11 billion. The trial was one of the most notorious cases of white-collar crime in the United States, with financier Anthony Scaramucci calling Bankman-Fried "the Bernie Madoff of crypto". Bankman-Fried was born on March 5, 1992, in Stanford, California . He is the son of Barbara Fried and Joseph Bankman , both professors at Stanford Law School . His grandmother, Adrienne Fried Block,
17292-491: Was the friendly regulatory environment, and Bankman-Fried openly discussed paying off the country's $ 9 billion national debt. In November 2022, Bankman-Fried participated in an interview with Vox writer Kelsey Piper over Twitter private messages. He said that his and his company's advocacy for crypto regulation was not sincere and was "just PR ", adding that regulators "make everything worse" and "don't protect customers at all". On his " ethics stuff", he agreed it
17424-406: Was there intention to commit fraud. Over a dozen witnesses testified for the prosecution, including three FTX executives – Caroline Ellison , Gary Wang , and Nishad Singh as part of plea deals . For his plea bargain, Wang testified that "with some simple tweaks to computer code," he helped Alameda Research misappropriate as much as $ 65 billion from FTX customers and that he "lied about this to
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