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Sam Bankman-Fried, founder of FTX, has been released on bond following a court appearance in the U.S. after his arrest in the Bahamas.
The presiding judge posted a bail package proposed by federal prosecutors and Bankman-Fried’s lawywers, requiring a $250 million USD bond to be paid, Bankman-Fired to be fitted with an electronic monitoring bracelet, and to surrender his passport.
Bankman-Fried, the former so-called “Crypto King” was arrested last week in the Bahamas and extradited back to the U.S on the request of the US Attorney of the Southern District of New York, Damian Williams.
Prosecutor Nicholas Roos said the evidence against Bankman-Fried includes multiple witness accounts, testimony of employees of the companies involved, and encrypted messages.
“Mr Bankman-Fried perpetrated a fraud of epic proportions,” Mr Roos said.
Mr Roos also stated that he believed the bond amount to be the largest pre-trial federal bond ever.
Bankman-Fried only spoke once during the hearing, where he was asked about whether he understood the consequences of violating his bond agreement, where it was stated he would be arrested and owe an additional $250 million USD.
“Yes, I do,” Mr Bankman-Fried answered.
Former CEO of Alameda Research Caroline Ellison, who was Bankman-Fried’s ex-girlfriend, and FTX co-founder Gary Wang, pleaded guilty to criminal offences regarding the collapse.
Mr Williams said, regarding the FTX and Alameda Research criminal investigation and misconduct, that anyone involved in the fraud should come forward.
“If you participated in misconduct at FTX or Alameda, now is the time to get ahead of it.” He said.
“We are moving quickly, and our patience is not eternal.”
Bankman-Fried was previously the CEO of cryptocurrency company, FTX, which filed for bankruptcy and collapsed early November.
His house-arrest mandated that Bankman-Fried stays at his parent’s Palo Alto, California, home.
Bankman-Fried is currently facing charges with a maximum 110-year sentence.
The charges against Bankman-Fried include using money that was illicitly taken from FTX customers to enable trades at Alameda Research, spend the money on real estate, and contributing to US political campaigns, making millions as a result.
Bankman-Fried is not allowed to open any lines of credit larger than $1000 USD as per the terms of his bail.
