Ripple CFO Resigns Amid SEC Lawsuit; Allegations of Misrepresentation Haunt FTX
Summary:
Ripple's CFO, Kristina Campbell, has resigned amid an ongoing lawsuit by the U.S. Securities and Exchange Commission. Simultaneously, U.S. prosecutors in Sam Bankman-Fried's trial seek to prohibit arguments regarding potential recovery of FTX customer assets invested in Anthropic. Furthermore, former FTX CTO, Gary Wang, alleges that FTX used hidden Python code to misrepresent its insurance fund value.
Ripple's Chief Financial Officer, Kristina Campbell, has resigned from her position amid an ongoing lawsuit filed against the firm by the United States Securities and Exchange Commission (SEC). Campbell's next career move sees her joining the ranks of the digital healthcare services provider, Maven Clinic. Despite joining Ripple after the SEC commenced legal proceedings, the specifics surrounding her departure remain undisclosed.
In parallel news, US attorneys have requested the judge presiding over the trial of Sam Bankman-Fried to disallow his attorneys from making any arguments pertaining to the potential recovery of client assets invested in Anthropic from FTX. Notably, Bankman-Fried invested a significant $500 million in the artificial intelligence start-up. However, the government intends to demonstrate evidence alleging the misuse of FTX customer deposits for this investment.
As Anthropic currently seeks additional financing from investors, it's attracting attention from tech giants such as Amazon and Google, potentially leading to a massive valuation of $20-$30 billion. This proposition increases the value of Bankman-Fried's investment, which could potentially aid in recouping funds for FTX customers and creditors in the event of bankruptcy.
Recently, the former Chief Technology Officer of FTX, Gary Wang, revealed that the company allegedly manipulated the value of its insurance fund using a hidden Python code. This fund was meant to secure users from losses during considerable liquidation events. If Wang’s claims are to be believed, it appears that the insurance fund value displayed to the public was fictitious and manipulated by multiplying the daily trading volume of the FTX Token with a randomly chosen number.
It is important to note that this article does not provide any investment advice or recommendations. Every investment action has inherent risks, and readers are strongly encouraged to conduct their own due diligence when arriving at financial decisions.
Published At
10/9/2023 7:47:24 PM
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