Bail Conditions: Disgraced FTX CEO Sam Bankman-Fried Can Use Cellphone Without Internet Access

Sam Bankman-Fried, founder and chief executive officer of FTX Cryptocurrency Derivatives E
Sarah Silbiger/Bloomberg via Getty Images

Disgraced FTX CEO and Democrat megadonor Sam Bankman-Fried will be allowed to use a cellphone without internet as part of his new bail conditions while he awaits trial on federal fraud charges.

Prosecutors and attorneys for Bankman-Fried have agreed on new bail conditions, according to court documents filed on Monday, according to court documents obtained by Coindesk.

The 31-year-old’s parents, whose home Bankman-Fried will be residing in, have agreed not to let their son use their electronic devices, as well as not to allow banned devices into their home.

In addition to being provided with a new phone that won’t access the internet and will be limited to only text messages and voice calls, the disgraced FTX co-founder will also be given a laptop with limited functionality. The laptop computer will be able to access only approved websites.

These new bail conditions have been submitted for approval to District Judge Lewis Kaplan of the Southern District of New York, Coindesk noted.

Meanwhile, Bankman-Fried has been suspected of having tried to contact witnesses while on bail.

In November, FTX and Bankman-Fried’s hedge fund, Alameda Research, collapsed after he told investors that the cryptocurrency exchange was facing a major shortfall of up to $8 billion from withdrawal requests and needed emergency funding. Shortly after that, FTX filed for bankruptcy and Alameda Research shut down.

Bankman-Fried was then arrested in December, and later pleaded not guilty to charges of wire fraud and money laundering. He was also released on a $250 million bond, which was co-signed by his parents and two anonymous guarantors.

On Tuesday, the Department of Justice (DOJ) alleged in a new indictment that Bankman-Fried paid over $40 million in bribes to at least one Chinese government official. He will stand trail in October.

You can follow Alana Mastrangelo on Facebook and Twitter at @ARmastrangelo, and on Instagram.


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