According to the reports, Sam Bankman-Fried, the CEO of the defunct cryptocurrency exchange FTX, has consented to be extradited to the US to face charges.
According to US authorities, the 30-year-old, who resides in the Bahamas, is suspected of committing “one of the greatest financial frauds in US history.”
The BBC was informed by a person close to Mr. Bankman-Fried, who rejects the accusations, that he has consented to be extradited.
Due to FTX’s bankruptcy filing, many people are unable to withdraw money.
A court document stated that FTX owed its 50 largest creditors over $3.1 billion (£2.5 billion).
However, Mr. Bankman-Fried has made an effort to disassociate himself from claims of criminal conduct. Prior to his arrest, he stated the following in an interview with BBC News: “I didn’t purposefully engage in fraud. I don’t believe I defrauded anyone. All of this was something I wanted to avoid. Definitely not as proficient as I had believed I was.”
Additionally, Mr. Bankman-Fried refuted claims that he had to be aware that Alameda Research was taking money from FTX customers.
Customers could exchange their regular currency for cryptocurrencies like Bitcoin on the FTX market.
Cryptocurrencies are not conventional money; instead, they are digital assets that function more like securities or investment vehicles, frequently with extreme levels of volatility.
There were an estimated 1.2 million registered users of FTX who were actively using the exchange, but many are now left to wonder whether they will ever be able to retrieve the money they had stored in FTX’s virtual wallets.
In the past, Mr. Bankman-Fried has been compared to a younger counterpart of the famous US investor Warren Buffett. As of late October, his net worth was believed to be more than $15 billion.