SBF Plans to Start Another Business
- Sam Bankman-Fried (SBF) continues to deny any wrongdoing or plans to commit fraud despite mounting allegations.
- The FTX founder has finally been confirmed as a witness for the December 13 hearing with the House Committee on Financial Services.
- FTX has more than 1 million creditors and is said to have lost over $10 billion.
Sam Bankman-Fried (SBF), who was behind one of the biggest collapses in history, has expressed plans to start a new company aimed at repaying customers who lost funds to FTX. A month after filing for bankruptcy, FTX has yet to come up with a clear plan for users to access their funds.
In a recent interview with the BBC, Bankman-Fried was asked if he would begin a new venture to repay users. He responded, saying,
I would give anything to be able to do that. And I’m going to try if I can. I’m going to be thinking about how we can help the world and if users haven’t gotten much back, I’m going to be thinking about what I can do for them. I think at the very least I have a duty to FTX users to do right by them as best as I can.
The 30-year-old admitted that he was not as competent as he thought. SBF’s new remark leaves his followers with fresh questions on how he hopes to repay FTX’s users. As per last month’s bankruptcy filing, FTX has more than 1 million creditors and has lost between $10 billion and $50 billion.
Although new revelations have shown shady practices and mismanagement by Bankman-Fried, the former billionaire denied any intention to commit fraud, adding that “I didn’t want any of this to happen.”
Interestingly, the FTX founder has been formally confirmed as a witness for the Dec. 13 hearing with the House Committee on Financial Services, following days of speculation about his appearance. Bankman-Fried controversially missed the deadline to declare his attendance at a Senate Committee hearing on the failure of FTX, set for December 14.
Sherrod Brown, the committee chair, informed Bankman-Fried in a letter dated December 7 that he was ready “to issue a subpoena to compel your testimony.” Lawmakers also assured the public of plans to get the entrepreneur before Congress. With the hearing just hours away, users are hoping to get the answers they’ve sought for weeks.