FTX Founder Sam Bankman-Fried Utilizes Attorney Advice Defense in Trial

Sam Bankman-Fried, the founder and former CEO of FTX, plans to use a defense strategy in his upcoming trial based on alleged attorney advice. This defense aims to shift responsibility away from Bankman-Fried and has a track record of effectiveness. However, concrete evidence in the form of documents or written communications is needed to support this defense. Bankman-Fried will argue that he had no intention of breaking the law and relied solely on the guidance of his lawyers, who assured him that his actions were appropriate. This defense could potentially weaken the testimony of a key witness who is a former in-house attorney of FTX and may impact attorney-client privilege. The specific attorneys and areas of legal counsel they provided to Bankman-Fried remain undisclosed, leading to concerns from prosecutors regarding transparency. Government attorneys have requested more information from Bankman-Fried’s legal team, and non-compliance could affect the defense’s tactics during the trial. Bankman-Fried is currently in custody following a request from the US Department of Justice to deny him bail. The trial’s outcome will carry implications for the cryptocurrency industry, as it will shape the future landscape of digital currency exchanges.