National

FTX Drama

NASSAU, BAHAMAS – A Bahamas-based international crypto company crashed onto the scene, but the company with big plans would soon hit rock bottom.

Published

2 years ago

December 31, 2022

Berthony McDermott

NASSAU, BAHAMAS – A Bahamas-based crypto company crashed onto the scene making hundreds of thousands of dollars in donations to local charitable organizations, schools, constituencies, and churches in 2022.

But the company with big plans would soon hit rock bottom, becoming the biggest story of the year.

The Securities Commission of The Bahamas also suspended the registration and applied to the Supreme Court for a provisional liquidator.

It began with reports that FTX was hit with over $6 billion in withdrawal requests in 72 hours.

Then CEO Sam Bankman-Fried apologizing on a Twitter thread saying – “I’m sorry…”

The continuous unraveling of the downfall of FTX meant local law enforcement had to step in.

As the drama unfolded the Davis administration remained silent and the prime minister dodging questions on the matter

Major cryptocurrency exchange Binance said it was walking away from purchasing part of its smaller rival.

The company sited mishandled customer funds and alleged US agency investigations, as reasons behind the decision.

This as the prime minister finally spoke out saying he believes The Bahamas will emerge better.

Well, this response not sitting well with the Free National Movement who protested outside of the Office of the Prime Minister.

Weeks later, the former crypto giant found himself before the magistrate’s court for the beginning of his extradition hearing.

In an indictment, prosecutors for the Southern District of New York allege Bankman-Fried conspired with others to commit wire fraud, commodities fraud, securities fraud, and money laundering. He faces up to 115 years in prison.

Just days ahead, Bankman-Fried broke his silence in an exclusive interview with Our News where he spoke to the issue of fraud.

But after spending less than a week on remand at the Bahamas Department of Corrections, Bankman-Fried had a change in heart and waived his right to extradition which saw is immediate departure on December 21.