Former FTX Exec Jailed, ChatGPT-Created Memecoin Hits $638M, Bitcoin Dips Post Mt. Gox Movement
Summary:
Former FTX executive, Ryan Salame, was handed a 7.5-year prison term, while a memecoin developed by the AI chatbot, ChatGPT, exceeded a market valuation of $638 million in over a year. Bitcoin's value dipped following the movement of a large amount of BTC by the pulled down crypto exchange, Mt. Gox.
On May 28, Ryan Salame, a former top-level executive at FTX, was given a prison term of seven and a half years. In other news, a memecoin brought to life by the AI-driven chatbot, ChatGPT, has skyrocketed, attaining a market value of $638 million in just over a year. Interestingly, Bitcoin experienced a slight plunge subsequent to encrypted exchange Mt. Gox's transfer of billions.
Ryan Salame, previously co-CEO at FTX Digital Markets, was mandated to serve a 7.5-year jail term by Judge Lewis Kaplan on May 28. The sentence was announced at the U.S. District Court for the Southern District of New York. Salame was convicted for conspiracy to conduct an unauthorized money transmission business and fraudulent campaign financing, to which he pleaded guilty in September 2023.
U.S. Attorney Damian Williams stated that Salame had willingly participated in promoting FTX, Alameda Research, and his co-conspirators through an illegal political campaign and an unlicensed money transmission business, thereby aiding FTX to expand unlawfully. Salame exposed FTX's fraudulent activities in November 2022, right before Sam Bankman-Fried resigned from the CEO position. Bankman-Fried himself was sentenced to 25 years in prison in March.
In other developments, a memecoin, Turbo, crafted by the OpenAI's chatbot, ChatGPT, reached a market cap of $638 million, starting with a budget of merely $69, in just over a year since its launch. On May 28, the meme token's prices swelled, hitting a record high of $0.009302. Consequently, the token's market capitalization surged to nearly $638 million, as per the report from the coin information tracking platform, CoinGecko.
From a $27 million value, the meme token saw a massive growth in the past three months, exceeding $600 million in value. This signifies a 2,262% surge in market capitalization in the previous 90 days.
Rhett Mankind, the digital artist behind Turbo, credits the coin's decentralization for its success. According to Mankind, the meme token became widely popular due to his non-interference in its administration. Mankind designed Turbo memecoin using AI chatbot in April 2023.
In the world of Bitcoin, the currency experienced a 2% drop on May 28 following the moving of over 107,000 BTC, which is around $7.3 billion, by defunct crypto exchange Mt. Gox to an anonymous wallet. This movement is part of its plan to return BTC to its creditors by October.
Whale Alert, a blockchain tracking account, documented this movement in its posts, mentioning six transactions involving 3,999 BTC to 32,499 BTC. Arkham Intelligence recorded the transaction hashes from 1:41 am to 4:46 am UTC, including multiple Mt. Gox cold wallet transfers of 2,000 BTC occasionally. These transactions led to an unknown address now holding 107,547 BTC, roughly $7.29 billion at the time of writing.
Bitcoin saw a 2% downfall after the movement of the Mt. Gox BTC, trading at $67,875. Additional reportage by Geraint Price, Sam Bourgi, and Felix Ng.
Published At
5/28/2024 9:27:41 PM
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