Sam Bankman-Fried, the former CEO of FTX, has expressed deep remorse for his decision to file for Chapter 11 bankruptcy, describing it as his “biggest mistake.” In an extensive interview with Vox, Bankman-Fried discussed various topics including the bankruptcy filing, his views on regulators and ethics, the use of customer funds by FTX and Alameda, and the FTX hack.
Screenshots of a Twitter conversation between Vox reporter Kelsey Piper and Bankman-Fried reveal his admission of multiple errors, with the filing for Chapter 11 being the most significant. Bankman-Fried stated that if he had not taken this action, the situation would be significantly improved, with withdrawals opening up and customers being fully compensated in a month’s time.
On November 8, Bankman-Fried acknowledged a liquidity issue and sought emergency funding of $8 billion from investors to cover the shortfall. He even offered his personal wealth to ensure the satisfaction of customers and investors. When asked about his future plans, Bankman-Fried mentioned that he still had two weeks to secure the $8 billion, which he considered crucial for the rest of his life.
However, FTX CEO and chief restructuring officer John Ray clarified on November 16 that Bankman-Fried no longer has any involvement with FTX, FTX US, or Alameda Research Ltd., and his statements do not represent their views.
Regarding his stance on regulations, Bankman-Fried initially admitted that his advocacy for regulations was merely a public relations strategy. However, he later retracted this statement, emphasizing the importance of responsible practices.
Bankman-Fried also confirmed that the money withdrawn from FTX was a result of a hack, suggesting it could have been carried out by a former employee or through malware on an ex-employee’s computer.
Furthermore, Bankman-Fried reiterated his claim, which has since been deleted, that FTX never invested clients’ assets. He stated that this assertion was factually accurate, as it was Alameda, not FTX, that handled the investment of funds.
Cointelegraph has reached out to Sam Bankman-Fried for additional comments but has not yet received a response at the time of publication.