Prosecutors Seek to Restrict Mention of Anthropic in Trial
In the ongoing trial of Sam Bankman-Fried, prosecutors are attempting to prevent him from discussing his involvement with AI startup Anthropic. Media reports have revealed that Anthropic recently secured significant investments from Google and Amazon. FTX creditors are hopeful that Bankman-Fried’s investment in Anthropic will lead to a substantial financial recovery.
However, the prosecutors argue that any mention of Anthropic in the trial should be restricted. Assistant US Attorney Thane Rehn has filed a motion urging the judge to disallow Bankman-Fried from raising the topic. Rehn argues that evidence related to Anthropic is immaterial and could potentially mislead the jury and waste time.
The defense has not yet responded to the motion, and the trial is set to continue with the cross-examination of Gary Wang, co-founder of Alameda Research and FTX, and potentially the testimony of Caroline Ellison, former CEO of Alameda Research.
Wang Testifies Against Bankman-Fried
Last week, Gary Wang testified in court, admitting to committing wire fraud alongside Sam Bankman-Fried. Wang revealed that they engaged in financial crimes and deceitful practices that led to the collapse of FTX. As the chief technical officer at FTX and co-owner of Alameda Research, Wang confessed to wire, securities, and commodities fraud.
He disclosed that they illegally withdrew $8 billion from FTX funds through Alameda Research under Bankman-Fried’s direction. They allowed Alameda Research to withdraw unlimited funds without restrictions while deceiving the public. The hedge fund had a line of credit totaling $65 billion.
Earlier in the trial, software developer Adam Yedidia testified that he left FTX when he discovered that investor funds were being used to pay off creditors.
Hot Take: Implications for the Trial and Crypto Community
The prosecutors’ attempt to restrict any mention of Anthropic in the trial indicates the significance of Bankman-Fried’s investment and its potential impact on FTX creditors. If Anthropic’s fundraising success translates into financial gains, it could provide much-needed relief for those affected by the collapse of FTX.
Wang’s testimony further strengthens the case against Bankman-Fried, revealing the extent of their fraudulent activities and deceitful practices. This trial serves as a reminder of the risks and consequences associated with unethical behavior in the cryptocurrency industry.
By
By
By
By