“I don’t believe I was a criminal,” Bankman-Fried stated during his dialogue with conservative commentator Tucker Carlson. This statement echoes the sentiments he expressed in his initial press interactions following the downfall of FTX.

Bankman-Fried was found guilty on several charges relating to wire fraud, conspiracy to commit securities and money laundering, and more in 2023, nearly a year after FTX’s fall. He is currently serving his 25-year sentence at the Metropolitan Detention Center in Brooklyn.

The recent interview, released just before his 33rd birthday, seems to be part of a campaign by the Bankman-Fried family to seek a presidential pardon for their relative. In his conversation with the New York Sun last month, Bankman-Fried discussed his political leanings, seemingly in an attempt to align himself with then-President Donald Trump.

In the latest interview, Bankman-Fried continued to compare the crimes within the crypto space, arguing that while there is some level of crime today, it’s significantly less than it was a decade ago. He used the example of the Silk Road, a notorious online black market that was a common use of crypto back then.

Bankman-Fried also reiterated his claim that FTX was fully solvent at the time of its collapse. He suggested that the exchange would have had an astounding $100 billion in assets against approximately $15 billion in liabilities today.

The crypto tycoon also shared his disappointment with Democrats, despite his significant donations to the party. He expressed his shock at the direction of the administration after his contributions to Biden’s campaign in 2020.

While Bankman-Fried may be hoping for a pardon, he does acknowledge that he could be well into his 50s before his release if not granted. Thus, he continues to express his views on the crypto industry and its regulations while behind bars.

It’s clear that the world has not heard the last from Bankman-Fried, and his future statements will continue to draw attention. Especially as the crypto industry evolves, his insights from the past may still have relevance.

The post Imprisoned Crypto Tycoon Sam Bankman-Fried Proclaims Innocence in Recent Interview appeared first on Crypto Market Insights: Dive In with CryptoUpdate.io.

DOJ’s Focus on DeFi and Chain Bridges

Eun Young Choi, director of the US Department of Justice (DOJ) national cryptocurrency enforcement team (NCET), revealed in a Financial Times report published on May 15 that the department is prioritizing the investigation of DeFi-related thefts and hacks, especially those concerning chain bridges. Choi highlighted that the rise of North Korean state-sponsored hackers as key perpetrators in these cybercrimes makes this issue particularly significant for the DOJ.

According to a Cointelegraph report from February, these North Korean hackers are believed to have pilfered crypto assets ranging from $630 million to over $1 billion in 2022. Choi, who was appointed as the inaugural director of the NCET in February 2022, brings almost a decade of DOJ experience to her role.

The DOJ had previously underscored that “mixing and tumbling services” would be the agency’s primary target. However, there was no specific mention of DeFi platforms at that time.

DOJ Targets Crypto Firms Engaging in or Enabling Crime

Speaking at the Financial Times Crypto and Digital Assets Summit, Choi clarified that the DOJ is targeting crypto firms either involved in committing crimes or those enabling crimes, such as money laundering. By focusing on these platforms, the department aims to create a “multiplier effect,” making it harder for criminals to profit from their illicit activities.

Choi also noted a significant increase in the use of digital assets for a variety of illicit activities over the past four years. DeFi platforms, in particular, have been the targets of numerous attacks recently.

Recent Attacks on DeFi Platforms

The most significant DeFi hack this year occurred on March 13 when Euler Finance fell victim to a flash loan attack. Over $196 million in DAI, USDC, staked Ether (StETH), and Wrapped Bitcoin (WBTC) were stolen. Furthermore, in November 2022, the DeFi trading platform Mango Markets was exploited due to its low liquidity, leading to a significant fund drain.

The exploiter deposited $5 million of their own money into the platform, skyrocketing the price of MNGO from $0.03 to $0.91 and inflating their MNGO holdings to $423 million. They then acquired a $116 million loan using various tokens on the platform, including Bitcoin (BTC), Solana (SOL), and Serum (SRM), effectively depleting Mango Markets’ entire liquidity.

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