FTX Co-Founder Admits to Fraud Under Direction of Sam Bankman-Fried, Giving Alameda Secret Advantages
-
Gary Wang, FTX co-founder, admitted to committing wire fraud, securities fraud and commodities fraud under Sam Bankman-Fried's direction.
-
Wang testified that FTX gave special advantages to Alameda Research not disclosed to customers/investors.
-
Alameda had a $65 billion line of credit on FTX to make unlimited withdrawals.
-
Adam Yedidia asked SBF about an $8 billion Alameda liability, and SBF said they were not "bulletproof" anymore.
-
Yedidia stood by SBF until learning Alameda used FTX customer deposits to pay creditors.
![](https://media.cnn.com/api/v1/images/stellar/prod/231005180320-09-gary-wang-sam-bankman-fried-trial-courtroom-sketch-1005.jpg?c=16x9&q=w_800,c_fill)