SBF trial begins today

The biggest trial in the crypto world begins today. Sam Bankman-Fried (SBF) of the collapsed cryptocurrency trading firm FTX faces seven counts of wire fraud and allegations of scamming investors of $8.7 billion.

The ruling in the case could pave the way for how crypto firms globally and in the US operate since the cryptocurrency market is largely unregulated.

The trial signals accountability in the sector and may help gain back the public’s trust in the digital blockchain currencies, which are plagued with the bankruptcy of several firms like Coinbase, Crypto.com, Genesis, Blockfi, Celsius, Voyager, FTX, and many more.

What to know?
At the center of the trial is 31-year-old SBF, founder of now-defunct cryptocurrency trading company FTX, and its sister firm Alameda Research. 

He is accused of siphoning off more than $65 billion to Alameda, making risky trades with investor money, buying luxury condos in the Bahamas, lying to customers about FTX cryptocurrency FTT’s value, and committing fraud.

SBF maintains his actions did not have any criminal intent and pleaded not guilty to all seven counts. If convicted, he may get 110 years in prison.

He was out on a $250 million bail that got revoked in August for witness tampering, like giving interviews and leaking his ex-girlfriend, Alameda CEO Caroline Ellison’s diary entries to the New York Times.

What to expect?

• Jury selection for the case will begin Tuesday.
• The trial will be in the US District Court, Manhattan and is expected to last six weeks.
• Prosecutors are expected to bring out 1,300 exhibits at the trial, including digital evidence like text transcripts, financial records and emails of SBF.
• Four former aides of SBF—Alameda’s Caroline Ellison and FTX’s Gary Wang, Nishad Singh and Ryan Salame—have pleaded guilty and may testify against him in the trial.
• Cameras are allowed inside the courtroom, so expect live news, YouTube, Twitch coverage, and other social media videos dissecting each testimony.