Market rigging probe of FTX founder Bankman-Fried

• FTX founder Sam Bankman-Fried is being probed by U.S. officials.
• It is to determine if he manipulated the markets for two cryptocurrencies.
• It resulted collapse and his exchange’s implosion.

FTX founder Sam Bankman-Fried is being probed by U.S. officials to determine if he manipulated the markets for two cryptocurrencies, resulting to their collapse and his exchange’s implosion.

US federal prosecutors are investigating whether Bankman-Fried manipulated the prices of TerraUsd and Luna to benefit FTX and Alameda Research.

The report, citing two anonymous sources, said the inquiry is early and it’s unclear if prosecutors have concluded Bankman-Fried did anything unlawful.

Reuters stated a Manhattan US Attorney’s Office representative didn’t comment.

FTX, once worth $32bn, filed for bankruptcy last month after a failed takeover deal with Binance sparked billions in consumer withdrawals.

The cryptocurrency exchange’s collapse caused thousands of layoffs and the insolvency of crypto lender BlockFi.

Bankman-Fried, formerly the world’s second-richest millennial after Mark Zuckerberg, denied fraud but apologized for “many faults” in handling the bitcoin trade.

Bankman-Fried told CNBC and The New York Times he never attempted fraud.

Bankman-Fried stated he would testify before Congress on FTX’s collapse after he “finished studying and reviewing” the events.

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