In a recent court filing with the United States Bankruptcy Court for the District of Delaware, FTX debtors unveiled a series of financial transactions that directly benefited senior executives at FTX and Alameda Research in the year leading up to the major cryptocurrency exchange’s November 2022 collapse.

Disclosure of Payments and Transactions

FTX debtors didn’t hold back in disclosing transactions benefiting company executives shortly before the exchange’s collapse. These payments or property transfers within one year preceding the collapse shed light on potential insider dealings. It’s important to note that FTX debtors acknowledge potential inaccuracies and omissions in the data.

In March 2022, a substantial transaction of $2.51 million was routed from FTX to the American Yacht Group, ultimately benefiting former Alameda Research co-CEO Sam Trabucco.

What’s intriguing is that Trabucco confirmed his ownership of a boat just a few months later in an August 2022 tweet, coinciding with his resignation. This sparked curiosity among followers, including Caroline Ellison, Alameda’s former co-CEO, who sent her best wishes.

An image from FTX court filing

Not limited to Trabucco, several cash payments were disclosed to former FTX executives within the twelve months before the collapse. Key recipients included Sam Bankman-Fried, Gary Wang, Nishad Singh, Darren Wong, and Constance Wang. These revelations solely pertain to fiat currency, leaving open questions about crypto transactions.

Bankman-Fried and Wang’s Robinhood Shares

The filing also illuminated Bankman-Fried’s and FTX co-founder Gary Wang’s acquisition of Robinhood shares in April and May 2022. Their investments totaled an impressive $54.64 million. Bankman-Fried held a dominant 90% share ownership, with Wang retaining the remaining 10% through their company, Emergent Fidelity Technologies.

However, a twist in the story occurred in January when the U.S. Department of Justice seized the shares belonging to Bankman-Fried and Wang. This development marked a significant turn of events in their financial portfolios.

Robinhood’s Share Repurchase

On August 31, Blockchainbytes reported Robinhood’s successful repurchase of all shares previously owned by FTX and Alameda Research. Robinhood acquired a whopping 55,273,469 shares for approximately $606 million, signaling its strategic move in the market.

Robinhood’s Chief Financial Officer, Jason Warnick, expressed the company’s satisfaction with the outcome, stating,

“We are happy to have completed the purchase of these shares and look forward to executing on our growth plans on behalf of our customers and shareholders.”

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