Sam Bankman-Fried, disgraced founder of the cryptocurrency exchange FTX was arrested in the Bahamas Monday, authorities said.
Bahamian authorities said Bankman-Friedâs arrest came after the United States filed charges against him and was likely to request extradition.
The U.S. District Court for the Southern District of New York confirmed Bankman-Fried's arrest based on a sealed indictment from the court. FTX filed for bankruptcy on Nov. 11 when the firm ran out of money after the cryptocurrency equivalent of a bank run.
Customers tried to withdraw their assets all at once because of growing doubts about the financial strength of the company and its affiliated trading arm, Alameda Research.Sam Bankman-Fried, disgraced founder of the cryptocurrency exchange FTX was arrested in the Bahamas Monday, authorities said.Â
The U.S. District Court for the Southern District of New York confirmed Bankman-Fried's arrest based on a sealed indictment from the court.Â
FTX filed for bankruptcy on Nov. 11 when the firm ran out of money after the cryptocurrency equivalent of a bank run. Customers tried to withdraw their assets all at once because of growing doubts about the financial strength of the company and its affiliated trading arm, Alameda Research.