SBF conviction closes “dark chapter” in crypto: Yat Siu

The conviction of Sam Bankman-Fried, the founder of the bankrupt FTX exchange, brings closure to a dark chapter in the cryptocurrency industry, Yat Siu, the co-founder and chairman of Animoca Brands, told Forkast.

See related article: SFC to monitor illegal VATP activities with Hong Kong Police Force

Fast Facts

• “This brings final closure to a very dark chapter in our industry, and also it makes it very clear that [Bankman-Fried] ultimately was simply a fraud,” Siu told Forkast.

• Bankman-Fried was found guilty of seven counts of fraud and conspiracy on Thursday. His sentencing hearing is scheduled for March 28, 2024. He faces a maximum sentence of 115 years in prison. 

• “It was absolutely always an issue with [Bankman-Fried],” said Siu, highlighting that the fraud case didn’t occur because of cryptocurrencies and their underlying technology.

• Siu added that the conviction also marks the industry’s evolution from other “black swan” events like the bankruptcy of Three Arrows Capital, a Singapore-based hedge fund, and May’s Terra-Luna collapse that erased billions of dollars in value.

• “For us as an industry, I think we’re cheering it on and we’re really glad that we can hopefully not talk too much about [Bankman-Fried] in the future,” he said.

See related article: SBF convicted on all charges, Hong Kong buzzes with Web3 events