Calls for the arrest of the Sam Bankman-Fried founder of tainted cryptocurrency exchange FTX are growing louder and Elon Musk joined the chorus on Saturday. When entrepreneur Devin Simonson tweeted that the SBF didn’t need to be mentioned anymore except for their court date, Musk retorted and said he agreed with him. Let’s just give her an adult timeout in the big house and the billionaire said.
Bankman Fried’s FTX collapsed following reports of leverage and solvency issues, which led to a meltdown of the FTX token crypto: FTT Exchange’s own centralized cryptocurrency. As a result, FTX filed for bankruptcy protection and Bankman-Fried was forced out of the CEO role.
The crypto entrepreneur is now being investigated by federal agencies to see if his role in the FTX collapse constitutes a crime. Galaxy Digital CEO and billionaire Mike Novogratz recently said in an interview with CNBC Squawk Box that Bankman-Fried needed to be prosecuted. Novogratz said he had committed a major fraud and would serve time in prison.