The Biggest Political Scandal Of Our Lifetimes Just Cracked Open?

By ProCoinNews • November 12, 2022 2:52 pm • Comments

We write about crpyto here at ProCoinNews, not politics, but sometimes the two intersect.

After all, we’ve had a “Vote Them Out” Twitter campaign for the past two years, which has been very successful.

Sometimes the intersection is small, and sometimes it’s massive.

Trending: Ripple Spells Out Penalty Terms To SEC

As in, “the biggest scandal of your lifetime” massive.

And yes, of course I am referring to FTX, Sam Bankman-Fried and Alameda.

Let’s dig in…

Best place to start might be right here:

Full post:

That’s just the warm up.

Let’s go here next:

Probably nothing.

I love this from ZeroHedge:

So true.

The Digital Asset Investor was on this story like a dog on a bone way back when FTX first came on the scene…

I wish I would have made a YouTube short of his very first comments about FTX the day after the Super Bowl commercial, I think they would prove stunningly prophetic right now, if memory serves.

How does this guy always have the right gut feeling?

Pretty incredible.

Here’s more:

Want to see the entire story wrapped up in 99 seconds?

Here’s a simplified summary:

Now let’s get into some of the players…

Start here:

Then just listen to this and try to keep your head from exploding:

If that wasn’t bad enough, now listen to this SBF guy:

Financial genius?

The man is suffering to string together a sentence.

Sounds like Fetterman’s brother.

Now go here:

I mean, they look like solid financial geniuses…right?

Yikes.

Not only that, but many reports now are saying the entire company was ran by these 10 hippie “losers” who were into banging each other.

Not my words, that’s a quote:

This sums it up nicely…

Truer words have never been spoken:

Red flags everywhere:

To put it another way:

Even Mr. Wonderful, Kevin O’Leary, seems to have been ensnarled in the mess, wittingly or unwittingly.

Here he is before the scandal unfolded, prophetically explaining how a major player needs to go under:

He probably hoped it wasn’t the major player he was backing:

Then of course this happened:

And then the remaining assets were “hacked”:

As if all of that weren’t bad enough, now we hit the big part.

This may be where the whole thing blows wide open…

Was Ukraine part of this all along?

Oh my….

Look at this:

And in case you think that’s not a reliable source, here is the article from back in March 2022 from Coindesk:

It’s real folks!

From Coindesk back in March 2022:

The Ukrainian government launched a new crypto donations website on Monday, streamlining its multimillion-dollar effort to turn bitcoin into bullets, bandages and other war materiel.

“Aid for Ukraine,” which has the backing of crypto exchange FTX, staking platform Everstake and Ukraine’s Kuna exchange, will route donated crypto to the National Bank of Ukraine, Everstake’s Head of Growth Vlad Likhuta told CoinDesk. Ukraine’s crypto-savvy Ministry of Digital Transformation is also involved.

The country’s collective efforts have already raised some $48 million in bitcoin (BTC), DOT, ether (ETH), SOL, tether (USDT) and other cryptocurrencies, according to the website. Other estimates place the amount closer to $100 million, but totals vary with market swings and exactly which websites are included.

The website deepens an unprecedented tie-up between public and private sector forces in crypto. FTX is converting donations into fiat for deposit at the National Bank of Ukraine, a press release said. It described this relationship as a “first.”
Everstake’s involvement allows more cryptocurrencies to be accepted by the website.

Are the funds “gone” or have they been stolen?

Laundered?

Hmmm…..

Here’s more:

The DARK Truth About Sam Bankman-Fried?

Self-made man, or a tool of the Democratic Party?

In the wake of FTX’s collapse, the market has been reeling and plunged below $900 million in total market capitalization for the first time in months.

The crypto trading giant announced that it filed for Chapter 11 under the United States Bankruptcy Code early Friday morning after facing a twin liquidity and consumer confidence crisis.

FTX’s troubles began way back in May with the collapse of Terra and Alameda’s exposure to Terra, Alameda is another crypto trading firm co-owned by Bankman-Fried.

In an effort to save the ailing Alameda, Bankman-Fried initiated a loan from FTX to bail out Alameda.

Soon, Investors and the wider public learned of the insolvency issues plaguing Alameda and began to withdraw their funds from Bankman-Fried associated projects.

Sensing weakness, and perhaps a golden opportunity, Binance announced that it planned to acquire FTX—further exacerbating worries among investors…

In response to this, FTX halted all customer withdrawals and since that time Binance has walked away from the deal following the discovery of a glaring hole in FTX’s balance sheet.

Sources are reporting a $9 billion imbalance in the assets of the now-bankrupt FTX. The FTX token—FTT was sent plummeting in response:

The background information to the collapse of FTX is all too reminiscent of many crypto firms in the current bear market; however, what is not all too reminiscent is Bankman-Fried’s seemingly overnight success and the rise of FTX.

Bankman-Fried was hailed as the world’s youngest billionaire, with a staggering $16 billion net worth, and was a darling of the corporate, mainstream financial media.

What was not known at the time was that Bankman-Fried’s mother, Barbara Fried, a Stanford Law professor, and the co-founder of a Democrat Super PAC may have been the reason for his meteoric success.

Barbara Fried is the co-Founder of Mind The Gap, a Democrat PAC, and Get-Out-The-Vote—another left-leaning political organization.

Sam Bankman-Fried and FTX rank #3 on all federal donors to political campaigns for 2021-2022, only falling behind Uline and the notorious Soros group.

Bankman-Fried is alleged to have been one of Biden’s largest donors and the timing of his success seems to suggest that the overnight rise of FTX may not have been so organic…

To be fair, he has also donated over $20 million to GOP politicians; however, sources are claiming that donations to Democratic candidates make that amount pale by comparison:

Influence Watch had this entry on Barbara Fried:

Barbara Fried is a Stanford Law School professor and a co-founder of Mind the Gap, a pro-Democratic super PAC. Hale’s academic work is focused on the intersection of business and economics, and she has written numerous critiques of political libertarianism.

 

Yahoo Finance had more on the Fried family:

Sam Bankman-Fried was born March 6, 1992, on the Stanford University campus. Both his parents were—and are—law professors there. Barbara Fried writes about the intersection of law, economics, and philosophy, while Joseph Bankman mainly teaches tax policy. (In conversations, Bankman-Fried will sometimes use the word quaere—the imperative of the Latin verb quaerere, meaning to inquire. It’s a term commonly used by law professors that means, essentially, “Ask yourself ….”)

In an interview, Barbara Fried says that while she herself has only been “inching toward” utilitarianism over her career, her husband and both of her sons have long been “take-no-prisoners utilitarians.”

“The ethical goal of utilitarians,” she explains in a followup email, “is to maximize the total well-being of the world’s people (and for some, animals as well). . . . That goal leads utilitarians to focus their efforts on helping people in the direst straits . . . and on policy interventions that will lower the risk of existential threats to present and future generations.”

More here:

FTX Was An Official Partner To The World Economic Forum

A little internet digging has revealed the World Economic Forum had an official partnership with FTX.

As most of you know by now FTX which at one time was the 4th largest cryptocurrency exchange in the World has filed for bankruptcy.

After facing a major liquidity crunch, FTX along with Alameda research have both filed for chapter 11 bankruptcy.

Along with filing for chapter 11 bankruptcy, CEO Sam Bankman-Fried has also stepped down from his CEO position.

After the major crash, journalist Jack Posobiec pointed out FTX’s ties to the WEF.

Take a look:

WEF about FTX:

FTX is a cryptocurrency exchange built by traders, for traders. FTX offers innovative products including industry-first derivatives, options, volatility products and leveraged tokens. It strives to develop a platform robust enough for professional trading firms and intuitive enough for first-time users.

What makes things a bit more interesting is that Sam Bankman-Fried’s aunt is an epidemiologist that has connections with the WEF and his brother is a founder of “guarding against pandemics”.

Forbes had these details to add:

Crypto investors have endured more than their fair share of sudden market meltdowns this year thanks to shocking revelations about poorly managed crypto projects.

This week brings yet another seismic disruption. This time it’s FTX—the fourth largest crypto exchange in the world—which until just last week, was considered to be an industry stalwart.

After facing a liquidity crunch, FTX, its sister firm Alameda Research and 130 affiliated companies under the banner of FTX Group filed for bankruptcy, according to a company statement posted on Twitter on Nov. 11. The statement also announced that Sam Bankman-Fried, CEO of FTX, would step down from his role and be replaced by John J. Ray III. However, Bankman-Fried will help with the transition.

“The immediate relief of Chapter 11 is appropriate to provide the FTX Group the opportunity to assess its situation and develop a process to maximize recoveries for stakeholders,” said Ray, the new FTX CEO.

The Chapter 11 filing caps off a tumultuous week for FTX and Bankman-Fried.

At the heart of the issue is FTX’s native token, FTT, which has been eviscerated in a huge sell-off, plunging more than 80% since Nov. 6.

So…basically this?

We warned you early on:

Something Very “Wrong” With Sam Bankman-Fried?

In case you don’t immediately recognize the name, Sam Bankman-Fried is the CEO of FTX, a (suddenly) surging crypto trading platform.

The Digital Asset Investor frequently mentions that while he keeps close tabs on the crypto space, he had never heard of FTX before they suddenly appeared in a SuperBowl ad with Tom Brady as spokesman.

Things that make you go “hmmm”.

So we’ll call that Red Flag #1.

Interesting, but by no means definitive of anything.

But recently, things started to escalate.

Next we had this:

So Elon Musk is widely reported to have “overpaid” for Twitter and for months the deal was on-again, off-again.

It was unclear if Elon had the funding needed.

It was unclear if he needed to sell more Tesla stock or if the bankers funding his debt would try to back out.

In the midst of all of that, he was allegedly offered a $15 billion (with a “B”) investment by FTX CEO Sam Bankman-Fried and Elon declined.

Who declines $15 billion?

Unless you REALLY do not want to be associated with that person.

Again, interesting but no evidence of any wrongdoing or malfeasance.

Just interesting.

Then we have Bitboy, infamous in his own regard.

Bitboy has been absolutely going off on some rants recently.

In one, he got so mad someone remixed it and turned it into a death-metal mix.

It worked.

But this latest one is Bitboy absolutely going off on Sam Bankman-Fried.

I mean, no holds barred.

Bitboy says SBF is the devil and out to destroy crypto.

I’ll just let you watch in his own words:

Here’s more on the Bitboy takedown:

And now I just want to add my two cents…

I posted this yesterday.

NOTE: this is speculation.  Wild speculators only.  Do not continue reading if you don’t like wild speculation…or critical thinking. 

I’m not making any allegations, I’m just pointing out that the name “Sam Bankman-Fried” is quite coincidental if it’s his given birth name.

Sir Isaac Newton pointed out another part I had not noticed:

If the name was created to make you think he’s going to “free us from the Bankers” then I direct you only to the “Patriot Act” which was about 180 degrees from anything patriotic, to suggest that whatever name the powers-that-be give to something, you can usually assume the truth is the exact opposite.

And is that not exactly what Bitboy is saying?

I think so.

Again, no accusations here just reporting on various puzzle pieces.

And back to Elon…Elon is no dummy.

I’ll defer to his judgment any day of the week (1) because I assume he has access to more inside information than I do, so I assume he’s making more informed decisions based on info we are not privy to, and (2) the man is freaking smart.  As in, he’s a rocket scientist.  Better yet, a self-taught rocket scientist.

It doesn’t mean we should dismiss SBF.

No, if anything, I think he’s here to stay and he’s one to watch:

Here’s more from Axios on the Elon/SBF saga:

Crypto billionaire Sam Bankman-Fried backed off helping Elon Musk acquire Twitter, after a phone call with the Tesla and SpaceX founder, Axios has learned.

Why it matters: The call, previously unreported, is a missing link to last week’s court filing, in which Musk’s text messages suggested that he had brushed off Bankman-Fried’s interest.

What’s in the court docs: In late March, Musk received texts from William MacAskill, an adviser to Bankman-Fried’s philanthropic fund, encouraging Musk to meet with the FTX CEO. Soon, there were similar messages from Morgan Stanley tech banker Michael Grimes.

  • Bankman-Fried said investing between $1 billion and $3 billion would “be easy,” and that be “could do” up to $8 billion without securing outside financing, MacAskill wrote in a message to Musk.
  • Grimes told Musk that Bankman-Fried had put $5 billion in writing, but verbally suggested an investment up to $10 billion.
  • Grimes added that the deal could be sealed with just a one-hour meeting, and that Bankman-Fried had offered to “do the engineering for social media blockchain integration,” were Musk interested (he wasn’t, per a thumbs-down reply).

What’s not in the court docs: Bankman-Fried and Musk spoke via phone following the intros. Afterward, the crypto billionaire told Musk that he was no longer interested in participating on the Twitter deal.

  • The text messages disclosed in the court filing do not include any messages from Bankman-Fried to Musk in this time period. They do, however, include one from Musk to Bankman-Fried, asking: “Sorry, who is sending this message?”
  • It’s unclear if Musk was truly confused, or if he was trying to shade Bankman-Fried for bailing on the investment.

We started this article with the Digital Asset Investor and now that’s where we need to finish it.

Because this just happened:

The man says his gut is not often wrong…

Looks like he may have sniffed this one out from Day 1.

And who is in this up to their eyeballs?

None other than the “cop on the beat”….Gary Gensler.

We’ve warned you about him for a long time too.

Remember this?

FLASHBACK: Gary Gensler Was Hillary Clinton’s Campaign CFO During Russia-gate Payments…

Time to revisit this one…

Was the “cop on the beat” dirty?

We’re beginning to wonder…

The revolving door of Wall Street / Government can lead to some lucrative opportunities if you’re in the club, but as we’re now learning it can also put you in some very compromising situations.

ProCoinNews does not take a side in politics, other than we vote with our wallets and we vote for those people who are pro-crypto and pro-American innovation.

But we’re also not shy about reporting on a story when it touches politics because we have a mission here to report the truth wherever we find it.

And the truth has found Gary Gensler.

After leaving as Chair of the Commodity Futures Trading Commission, it appears Gensler found his way to a cozy position as CFO of the Hillary Clinton 2016 Campaign…and the money was flowing free and fast according to many reports.

There appears to be an all-out MSM blackout of this story by any media source even slightly left of John F. Kennedy, but it appears based on recent court filings by John Durham that not only is Hillary’s campaign accused of spying on both the Trump Campaign and the Trump Presidency (is that treason?) but also of creating and spreading the discredited Russia-gate story.

Take a look:

Her campaign’s CFO at the time?

Gary Gensler.

Why is this important?

Because many of the allegations made by Durham include the intentional payments of money to promulgate the Russia-gate hoax, and it appears to be inconceivable that those could not have flown through Gensler.

As I said above: UH-OH!

The story is breaking wide open today with The Gateway Pundit leading the charge in connecting the dots:

Let’s go back in time to 2016 and this article from CNN praising Gensler’s abilities on the Hillary campaign:

Hillary Clinton’s campaign will add to its top ranks a man who’s known for being tough on Wall Street.

Gary Gensler, the former chairman of the Commodity Futures Trading Commission, will serve as the Clinton campaign’s chief financial officer, Bloomberg reported.

Gensler would bring a wealth of knowledge about the financial industry, as well as the federal agencies that regulate it, to the newly launched campaign.

He was chairman of the CFTC, the government agency that oversees the derivatives markets, from 2009 to 2014. He previously served in senior Treasury Department roles under President Bill Clinton, and prior to joining the Clinton administration worked at Goldman Sachs for almost 20 years.

Bart Chilton, a former CFTC commissioner who served alongside Gensler, told CNN that Gensler was an “effective leader” at the agency, adept at juggling the demands of working with lawmakers on Capitol Hill and regulating the financial sector.

“Secretary Clinton will be well served by his financial and strategic acumen,” Chilton said. “I know he’s deeply committed to the Secretary, and to her public policy agenda.”

Talk about things that didn’t age well.

And from Politico:

It might seem surprising that Hillary Clinton picked a former Goldman Sachs guy to manage her campaign finances as CFO and advise her on economic policy, considering all the criticism she gets over her Wall Street ties. But Gary Gensler is no ordinary veteran of the “Government Sachs” cabal. By his own admission, Gensler underwent a major transformation from a Goldman Sachs executive and Rubinite (part of the group of loyalists around former Treasury Secretary and Goldman chief Robert Rubin who deregulated Wall Street in the 1990s) to a true believer in regulation following the 2008 financial crash. “All of us that were involved at the time, and certainly myself, should have done more to protect the American public through aggressive regulation,” he said shortly before he became chairman of the Commodity Futures Trading Commission in the Obama administration, where he would earn praise from liberals for cracking down on derivatives trading.

From his Bloomberg profile (see the part in bold):

Over tea at Hillary Clinton’s Washington home in late 2014, Elizabeth Warren warned her host that when it comes to Wall Street, what mattered most was the people Clinton surrounded herself with. Months later, as Clinton launched her presidential campaign, Gary Gensler, who had been a Goldman Sachs banker before he became a senior policy aide and Bob Rubin protégé during the deregulatory years of B

The deeper explanation is that Gensler is a financial-policy unicorn—a deregulator turned reformer. As head of the Commodity Futures Trading Commission, Gensler became known as one of President Barack Obama’s toughest regulators, willing to buck his friends and former colleagues to tighten rules on the $400 trillion swaps market following the 2008 crisis. His name became an expletive to many on Wa

Even for a former regulator, it’s not the most glamorous role; every day, he’s given a big stack of checks to sign. He insisted on using strict accounting practices so that the campaign wouldn’t fall into debt by leaving costs off its balance sheet until bills are paid, as campaigns often do. He hopes to end the campaign in November with nothing left in the bank and no debt, either. Obama 2012 end

Read more at: https://www.bloombergquint.com/business/gary-gensler-profile
Copyright © BloombergQuint

The Gateway Pundit summed things up nicely with this:

The Hillary campaign took over the DNC’s financials and then hid how the money was being spent by funneling it through its attorney Elias and Perkins Coie. Millions were passed onto its attorneys where they used this money for activities being investigated by the Durham investigation now. The Clinton campaign paid Perkins Coie $5.6 million in legal fees from June 2015 to December 2016, according to campaign finance records, and the DNC paid the firm $3.6 million.

We now know the money that Hillary’s team paid entities to link Trump to Russia.

This all happened while Marc Elias was general counsel and Gary Gensler was CFO of the Hillary campaign. What are the odds these two individuals knew everything that was going on?

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