Former FTX executive Ryan Salame is expected to plead guilty to criminal charges related to the collapse of the cryptocurrency company, FTX. Salame will become the fourth executive to plead guilty to criminal conduct since the company’s collapse in November 2022. The exact charges against Salame have not been reported, but other executives have pleaded guilty to charges including conspiracy to commit fraud, conspiracy to commit money laundering, conspiracy to violate federal campaign finance laws, fraud, and wire fraud.
Salame, the former co-CEO of FTX Digital Markets, is set to appear in a federal court hearing on Thursday afternoon to enter his guilty plea. FTX co-founders Nishad Singh and Gary Wang, as well as Caroline Ellison, the former CEO of FTX sister firm Alameda Research, have also pleaded guilty to FTX-related crimes. In contrast, Sam Bankman-Fried, the founder of FTX, has pleaded not guilty to a range of fraud-related charges.
The three executives who have already pleaded guilty have agreed to cooperate with federal investigators regarding FTX’s practices. Salame’s expected guilty plea follows the Federal Bureau of Investigation’s search of his home earlier this year. Further details about the charges and Salame’s cooperation with authorities have not been disclosed.
FTX, once the world’s largest cryptocurrency exchange firm, faced a liquidity crisis that led to its collapse in November 2022. The company filed for bankruptcy on November 11. Bankman-Fried, who was arrested a month after the collapse, is currently in jail after having his bail revoked last month for alleged witness tampering. Salame’s reported transfer of funds from FTX Digital Markets to Alameda Research to cover financial losses has also been previously disclosed.
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