One of Joe Biden’s largest donors is in hot water.
After his crypto empire collapsed, billions of dollars vanished overnight.
And now, Sam Bankman-Fried could be heading to prison.
For years, Sam Bankman-Fried spent millions of dollars bankrolling Democrats with the money he made building a cryptocurrency empire.
His crypto exchange FTX was one of the largest in the entire world, enabling Bankman-Fried to amass a fortune of over $10 billion before he turned 30.
Having become one of the world’s richest people in just a few short years, Bankman-Fried proceeded to leverage that newfound wealth to buy the loyalty of Democrats throughout Congress.
But it wasn’t just congressional Democrats that Bankman-Fried donated to.
He also became the second largest donor to Joe Biden in the 2020 presidential election, having personally given him over $5 million.
During the 2022 election cycle, Bankman-Fried gave even more to Democrats than he ever had before, dishing out a staggering $40 million to the Left in races all across the country.
As a result, he has earned the support of liberal members of Congress who are more than willing to turn a blind eye to the subsequent collapse of FTX in November, which resulted in Bankman-Fried reportedly losing over 94% of his wealth almost overnight.
And now, the collapse of FTX could lead to Bankman-Fried finding himself behind bars.
CNBC reports, “Fraud is the kind of criminal charge that can put you behind bars for life. With Bankman-Fried, the question is whether he misled FTX customers to believe their money was available, and not being used as collateral for loans or for other purposes.”
“It sure looks like there’s a chargeable fraud case here,” said Renato Mariotti, a former federal prosecutor and trial attorney. “If I represented Mr. Bankman-Fried, I would tell him he should be very concerned about prison time. That it should be an overriding concern for him.”
The rapid collapse of FTX and the disintegration of Bankman-Fried’s own wealth almost overnight has prompted questions about where all the money went.
Several billion dollars appeared to have vanished in the matter of just a few days.
Now, the question is whether anyone involved in FTX or its investment arm Alameda were engaged in fraud.
But it’s not just concerns over criminal prosecution which are bearing down on Bankman-Fried, but also civil lawsuits as well.
CNBC adds, “Bankman-Fried could face a host of potential charges – civil and criminal – as well as private lawsuits from millions of FTX creditors. Investors who have lost their savings aren’t waiting. Bankman-Fried has been sued in Florida and California federal courts. He faces class-action suits in both states over ‘one of the great frauds in history,’ a California court filing said.”
These class-action lawsuits could end up destroying the rest of the wealth that Bankman-Fried has remaining, which suggests that he will not be in any position to bankroll Democrats to the tune of over $40 million in the coming 2024 presidential election cycle.