The Bahamas Asked SBF to Mint New Crypto Worth Hundreds of Millions, US Lawyers Claim

The situation surrounding Sam Bankman-Fried and the bankrupt cryptocurrency exchange that he used to run, FTX, escalated.

The former was arrested in the Bahamas at the request of the US Government, while new information keeps surfacing.

• In a new motion filed late Monday, the American lawyers working on the FTX bankruptcy case made some serious accusations toward their Bahamian counterparties.
• The motion claims that the Bahamas asked SBF to mint new tokens worth hundreds of millions of dollars and transfer the control to island officials.
• Meanwhile, Liquidators in the island nation have also asked a US-based judge for access to the FTX data that’s currently controlled by the American team.

It is a request for live, dynamic access that would be provided immediately to the government of the Bahamas and to Messrs. Samuel Bankman-Fried and Gary Wang, who are located in the Bahamas and working closely with Bahamian officials. – Reads the motion.

• Information about the initial Bahamian withdrawals was also brought to light. The US lawyers called out an email from November 9 – just a few days before SBF filed for bankruptcy, where he said he would happily open withdrawals for Bahamian customers.

It’s your call whether you want us to do this – but we ar emore than happy to and would consider if the very least of our duty to the country, and could open it up immediately if you reply saying you want us to. – SBF wrote.

• Over $100 million left the platform on the following day.
• It’s also worth noting that. in an interview with Tiffany Fong, SBF said that the reason he approved the withdrawals to Bahamas customers was that he doesn’t want to be in a country with a lot of angry people in it.

The reason I did it was that it was critical for the exchange to be able to have a future because it’s where I am right now, and you do not want to be in the country with a lot of angry people in it.

• By the looks of it, it appears that the FTX Bankruptcy case will be a fight between jurisdictions as both the US and the Bahamas squabble over who has authority over it.
• This is further highlighted by a separate motion filed by Bahamian liquidators who claim that the holding company of FTX, which owns over 35 luxury villas in the Bahamas, was transferred into the hands of US authorities without any grounds.