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FTX Founder Sam Bankman-Fried Faces Landmark Trial: A Closer Look at the Crypto Collapse

FTX founder Sam Bankman-Fried is facing a criminal trial that could determine whether he embezzled billions in customer funds, committed money laundering, and misled investors and lenders. The trial, set to begin in Manhattan this week, is expected to shed light on the details of FTX's collapse in 2022, which had a significant impact on the crypto industry. Bankman-Fried, who has pleaded not guilty, could face over 100 years in federal prison if convicted on all counts. The trial is likely to present two conflicting narratives, with federal prosecutors arguing that Bankman-Fried engaged in fraud, while he may argue that the lack of regulation in the crypto industry contributed to the mishandling of customer assets. Former allies of Bankman-Fried, including Caroline Ellison, the former CEO of Alameda Research, and two former FTX executives, have pleaded guilty to charges and agreed to testify against him. Overall, the trial and the collapse of FTX paint a challenging picture for the crypto industry.
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