A new biography by Michael Lewis has brought forward allegations of mismanagement at the FTX cryptocurrency exchange and revealed some intriguing details about its founder, Sam Bankman-Fried. In an interview on CBS’s 60 Minutes, Lewis disclosed that Bankman-Fried regarded the missing billions of dollars within his financial empire as a mere “rounding error.” These revelations have emerged as Bankman-Fried faces an impending trial on fraud charges.
The U.S. Department of Justice has accused Bankman-Fried of transferring customer funds from FTX to Alameda Research, a sister company, to fund his extravagant lifestyle. Bankman-Fried has maintained his innocence and appears to have downplayed the severity of the situation when speaking to Lewis, describing it as a “rounding error” at the time the funds were moved.
Lewis also supported allegations of poor corporate governance at FTX during Bankman-Fried’s leadership. He cited comments from insiders suggesting that Bankman-Fried was ill-suited to managing people and seemed to view board members as mere rubber-stampers.
Michael Lewis Biography Reveals Allegations of Mismanagement at FTX Exchange
Furthermore, Lewis revealed that before FTX’s collapse, Bankman-Fried had explored the possibility of paying Donald Trump up to $5 billion to discourage him from running for president again.
Lewis’s book about Sam Bankman-Fried is scheduled for release on the same day as the start of Bankman-Fried’s fraud trial.