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Caroline Ellison says she’s ‘really sorry for what I did’ when she pleads guilty


Caroline Ellison has apologized for stealing billions of dollars in customer deposits at crypto exchange platform FTX to bet on Alameda Research, the hedge fund she runs.

‘I’m really sorry for what I did.’


— Caroline Ellison, former director of Alameda Research

Ellison made her comments before a judge in New York federal court, as she pleaded guilty to helping Sam Bankman-Fried make billions of dollars in clients’ money while defrauding investors and lenders and reduce the risk of their cryptocurrency trading platform.

‘I know that’s wrong.’


— Ellison

Along with Ellison, Zixiao “Gary” Wang, a 29-year-old former chief technology officer and co-founder of FTX, pleaded guilty this Monday in separate hearings.

Federal authorities and regulators are making the case that Wang wrote software code that, at the behest of Bankman-Fried, created backdoors into FTX’s system that gave Ellison’s Alameda access to client funds and support FTX’s own FTT token.

The pair could potentially face decades in prison if convicted after pleading guilty to charges including wire fraud, securities and merchandise fraud in exchange for clemency.

The two have agreed to work with authorities to lay the groundwork for Bankman-Fried’s own case as the alleged brains behind one of the largest crypto scams in memory. recently.

On Thursday, Bankman-Fried was released on a $250 million bondafter his first appearance in the United States, the court for fraud.

FTX filed for bankruptcy on November 11 when Bankman-Fried was dropped from the company he co-founded in 2019.

The demise of FTX was, perhaps, hastened by its competitor, Binance, who announced that it sold $500 million in FTT coins in November due to “recent revelations that were made.” light” on the company’s books. That triggered mass withdrawals of depositors, which FTX was unable to accommodate.

Ellison is a Stanford University graduate raised in suburban Boston, the daughter of two MIT economists, according to The Wall Street Journal. After graduation, she worked at the quantitative trading firm Jane Street, where she met trader Bankman-Fried. It is rumored that she is related to Bankman-Fried, an MIT graduate student, according to the report.

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