Sam Bankman-Fried (SBF), a crypto billionaire and the enigmatic founder of the collapsed crypto exchange FTX, has gained much public attention following his legal case. The polarizing figure in the crypto world is currently facing a legal case against him and is set to take the stand in the upcoming trial.
Among the financial experts who commented on the case is Anthony Scaramucci, who highlighted there is no way SBF would outwit the prosecution when he takes the stand. The comments sent shockwaves through the crypto community, which meant FTX was in jeopardy and would affect its investors. He commented that SBF has no chance of “outfoxing” the prosecution.
Comments on SBF taking the stand
Anthony Scaramucci, a SkyBridge Capital founder, commented that SBF would not be a match for the prosecution team. He highlights the prosecution’s intent on grilling the defendant and pokes holes in his defense when he takes the stand during his trial.
On October 25, Scaramucci stated in his interview on CNBC Last Call that the United States Department of Justice (DOJ) will highlight all contradictory information and activities SBF did that will influence his sentence. In Anthony’s words:
He’s gonna get skinned alive; there’s no way to escape. He thinks he’s going to outfox the prosecutors, but they’re very, very well experienced with this stuff.Anthony Scaramucci
Based on his comments, Scaramucci believes that the prosecution has been revising the nature of the case and the entire history of SBF. This included the history of Bankman-Fried as a “congenial nerd who was to give all his money away.” However, testimonies against him presented by the prosecution’s witnesses, who were also former FTX executives, illustrated “there was malevolence.” Anthony continued and stated
He thought he was going to take that money, and he was so smart that he would out-trade the market and put the money back and end up as a half-a-trillionaire, but it never works like that.Anthony Scaramucci
SBF’s future if he takes the stand
Scaramucci also invested with FTX in September 2022, when he let the crypto exchange ventures acquire a 30% stake in his company, SkyBridge. Currently, Anthony is trying to buy back these shares from the bankrupt firm.
This deal was done based on Scaramucci’s beliefs that SBF was the “Mark Zuckerberg of cryptocurrencies,” but this was before the allegations placed against him that included misappropriation of investor funds.
Scaramucci stated in his interview that he linked SBF to heads of state and was “embarrassed” about the whole ordeal. He explained that he had much faith in the former FTX CEO at the time. In his words, he saw SBF as “a smart guy who was well-intended.”
Now Scaramucci says that Bankman-Fried will get nailed when he takes the stand, commenting that “It’s a very bad move for him,” saying he will be “skinned alive.”
The seasoned financier shared his views based on various reasons, including legal scrutiny the former FTX CEO is facing. The US is keen on SBF’s crypto activities and compliance with the regulation frameworks. As such, if any misconduct is discovered, it is best to believe that legal actions will follow.
Reputation is also a paramount attribute in the crypto world, and following the current legal case against Bankman-Fried, any negative insinuation might have lasting consequences.
Additionally, the crypto space must mitigate and navigate legal challenges. It is essential to note that Scaramucci’s views on the matter are not equivalent to a condition. The outcome of any proceedings on the legal case is still uncertain, even when SBF takes the stand.
What’s left for SBF to say?
You’ve probably already heard the news. Sam will testify in his own criminal case. It will most likely be later today. But what will he say? Nobody, and I mean nobody, has an idea.
Has he already said so much or so little? Sam created a story for the world’s cameras in the month between FTX’s demise and his arrest in the Bahamas. According to him, the crypto exchange’s early November crisis was not caused by unlawfully lending billions of dollars in customer deposits to his hedge fund, Alameda. Or perhaps it was. But, if it was, he was unaware of it.
“I was vaguely aware,” Sam Bankman-Fried remarked in a hesitant interview with George Stephanopoulos on December 1, 2022, portions of which were broadcast throughout the trial. Few people in the crypto sector believed him. Nobody else did in the financial ecosystem did. Well, except Kevin O’Leary, who beacons, he would invest with SBF again.
Nonetheless, Sam had two advantages at the time: 1. He was working in a low-information setting, and 2. He wasn’t under oath. Both factors are now null and void, and they are working against him as he takes the stand.