Sam Bankman-Fried is denied bail within the Bahamas

Sam Bankman-Fried, founder and former CEO of FTX, was denied bail on Tuesday after a Bahamian choose deemed him a flight threat, according to Reuters. An extradition listening to is scheduled for February eighth.

Bankman-Fried, nicknamed “SBF,” was arrested within the Bahamas Monday night after US prosecutors knowledgeable the Bahamas of sweeping felony costs anticipated to be filed in opposition to the disgraced crypto darling. In an unsealed indictment Tuesday, prosecutors on the Justice Department’s Southern District of New York charged Bankman-Fried with eight counts of fraud, together with mendacity to buyers and violating US marketing campaign finance regulation.

The courtroom’s choice to disclaim bail follows a marathon listening to within the House Financial Services Committee the place lawmakers questioned present FTX CEO John J. Ray III over the alternate’s collapse. Before his arrest on Monday, SBF was slated to testify earlier than lawmakers as effectively. In remarks obtained by The Wall Street Journal, SBF was ready to apologize for the implosion, but in addition positioned partial blame onto Ray and rival cryptocurrency alternate Binance. 

“I would like to start by formally stating, under oath: I fucked up,” the remarks mentioned.

Throughout Tuesday’s listening to, lawmakers broadly agreed FTX’s collapse warranted better regulation of the crypto regulation. But with little time left earlier than the top of the 12 months, McHenry mentioned the committee would choose up negotiations in January. 

“The arrest of Sam Bankman-Fried is welcome news, but it still does not get to the bottom of what happened at FTX, and why it happened, and who else may be responsible,” incoming Financial Services Chair Patrick McHenry (R-TX) mentioned in his opening assertion.