Sam Bankman-Fried (SBF), the founder and former CEO of bankrupt cryptocurrency exchange FTX, has reportedly cashed out $684,000 worth of crypto assets despite court restrictions on spendings above $1,000. On-chain DeFi analyst BowTiedIguana took to Twitter to unravel the location where SBF transferred the funds.
After Bankman-Fried’s $250 million bail last week, the FTX boss allegedly sent all the ETH in his public wallet to a new wallet address – 0x7386df2Cf7e9776bCE0708072c27d6a7135D51CB. Some hours later, $367,000 worth of cryptocurrencies were allegedly transferred from 32 addresses owned by SBF’s trading firm Alameda Research to the same wallet.
The address received another $322,000 from other wallets, bringing the total assets to roughly $689,000. The wallet address, 0x7386, then sent $629,000 worth of tokens from its entire holding into another wallet address – 0x64e9B9cD74A46f71e7631CB033afA6E7849a8683.
Eleven wallet addresses labeled as Alameda-owned accounts sent a total of $1 million into the same wallet address, 0x64e9. Five transactions of less than 51 ETH were then conducted, as they were sent to a freshly created wallet address. The funds were then transferred to a Seychelles-based crypto exchange that does not conduct Know-Your-Customer (KYC) activity for users.
Parts of the funds were also moved through the Ren protocol and subsequently to the Bitcoin network. The Ren protocol is a gateway that allows anyone to send BTC, ZEC, and BCH across blockchains. Alameda acquired the platform in February 2021.
Three sets of 200,000 USDT were also transferred to FixedFloat, a self-custodian crypto exchange that facilitates transactions through its Lightning Network. It is still unclear if SBF was truly behind the withdrawals, but it is only a matter of time before U.S. attorneys begin to probe the transactions.