The FTX Family Affair: A $100 Million Political Donation Scheme

The FTX saga keeps getting more shocking. It’s not just Sam Bankman-Fried (SBF) who’s in trouble. New evidence suggests his whole family was involved in a massive political donation scheme.

A Family of Alleged Criminals

Emails obtained by the Wall Street Journal show SBF’s father, Joe Bankman, a Stanford law professor, was a key player in the scheme. Prosecutors believe he helped orchestrate an illegal “straw-donor” operation, where people use other people’s money to make political donations. This is often done to hide the source of the money or bypass donation limits.

Joe Bankman claims he knew nothing about any illegal activity, but the emails tell a different story. He could face serious legal trouble.

SBF’s mother, Barbara Fried, is also implicated. She co-founded a political action committee (PAC) called “Mind the Gap” and allegedly used FTX customer money to fund progressive causes.

Even SBF’s brother, Gabriel, is accused of using FTX funds for his own purposes, funneling donations towards pandemic prevention efforts.

A Coordinated Effort

David Mason, a former chairman of the Federal Election Commission, says the family’s actions were a coordinated effort to influence the 2022 election. He believes the emails provide strong evidence of Joe Bankman’s involvement.

Former FTX Execs Face the Music

The Bankman-Fried family isn’t the only one facing consequences. Former FTX executives are also implicated in the donation scheme.

Ryan Salame, co-CEO of FTX Digital Markets, was sentenced to 7.5 years in prison for campaign finance fraud. This sentence was longer than prosecutors requested, suggesting a harsher stance towards those involved in FTX’s collapse.

Other former executives, Caroline Ellison and Nishad Singh, have also pleaded guilty and are awaiting sentencing.

A Tarnished Legacy

The FTX scandal continues to grow, with the political donation scheme adding another layer of complexity and alleged criminality.

SBF is already serving a 25-year sentence for his role in FTX’s collapse, but now his family faces potential legal repercussions. This revelation paints a picture of a family allegedly willing to manipulate the political system for personal gain, shattering SBF’s image as a crypto visionary.