The intriguing saga surrounding the arrest of FTX’s controversial founder, Sam Bankman-Fried (SBF), continues to spark debate. Recently, he took to social media platform GETTR to voice claims that his arrest was a politically charged maneuver, orchestrated primarily to undermine his voice in the cryptocurrency sector.
In his message, Bankman-Fried suggested that a shift in his political contributions influenced the timing of his arrest in December 2022. He believes the aim was to silence him prior to an important congressional testimony and impending legislation related to cryptocurrency.
SBF’s Claims of Political Maneuvering
According to his post, Bankman-Fried distinctly described his earlier political alignment as center-left in 2020. However, he asserts that by 2022, after observing the intense regulatory scrutiny from the SEC under Gary Gensler and the Department of Justice during Biden’s administration, he began to perceive a need for a more balanced position.
His evolving political stance led him to contribute significantly to Republican candidates while still maintaining previous Democratic donations. He argues that this financial pivot attracted unwanted attention from regulatory bodies.
“In 2020, I identified with the center-left, but by 2022, influenced by Gensler and the DOJ, I transitioned to a more centrist view, contributing millions to Republican campaigns,” he expressed in his post.
Reports indicate that Bankman-Fried injected approximately $40 million into political donations during the 2022 elections. Notably, around $27 million was directed towards the “Protect Our Future PAC,” which played a significant role in financing campaigns for numerous Democratic candidates.
Adding another layer to this narrative, in a November 2022 interview, Bankman-Fried claimed that his financial support was nearly evenly split between the two parties, though much of it was conducted discreetly to evade media scrutiny.
Controversial Timing of the Arrest
Delving deeper into his GETTR post, Bankman-Fried emphasized the unusually coincidental timing of his arrest. He pointed out that it occurred just before a crucial vote on a cryptocurrency regulation bill he was instrumental in drafting and right before he was scheduled to provide testimony to Congress.
This assertion echoes the sentiments expressed by some House Republicans, who have suggested that the arrest may have been a strategic move to hinder his ability to testify. In light of this, they have pressed for Gary Gensler to disclose all communication related to the regulatory actions taken by the SEC and DOJ.
Adding to the controversy, it has been revealed that relevant communications from the SEC during this critical time frame were either lost or purposely destroyed. The SEC’s internal review confirmed that former Chairman Gary Gensler’s government phone underwent an erasure that eliminated all messages from October 2022 to September 2023, attributing this act to automated IT procedures.
As the legal battle continues, SBF serves a lengthy 25-year sentence after being convicted on a series of seven criminal charges.
