By LUCAS NOLAN
As disgraced FTX CEO Sam Bankman-Fried contends with legal battles in the courtroom, a hacker (or FTX insider) has reportedly seized the opportunity, attempting to launder over $470 million in cryptocurrency stolen from the exchange at the same time.
BBC News reports that Sam Bankman-Fried, the disgraced founder of FTX, which was once a behemoth in the cryptocurrency exchange arena, is on trial facing charges of misusing customer funds, fraud, and money laundering. At the same time crooks are meticulously converting digital assets stolen from FTX into traditional currency, all while the world’s eyes are fixated on the courtroom.
FTX, which spiraled into bankruptcy on November 2022, witnessed not only the disappearance of billions of dollars of customer funds but also a carefully executed heist that involved an unidentified thief pilfer $470 million in cryptocurrency. The stolen digital assets, which remained dormant for nine months, have now become the center of a daring laundering operation, with experts revealing that approximately $20 million is being converted into traditional money every day.
The initial heist was executed with a level of precision that perplexed experts, involving the transfer of 9,500 Ethereum coins, then valued at $15.5 million, from an FTX wallet to a new one, followed by a flurry of transactions that saw hundreds of other cryptocurrency assets being pilfered from the company’s wallets, totaling a staggering $477 million.