FTX's Bankman-Fried Under Spotlight As Ether Holdings Show Unusual Activity

A substantial amount of Ethereum ETH/USD, previously connected to an FTX account drainer, has started showing activity.

What Happened: According to the blockchain data, about 2,500 ETH, worth over $4 million, started moving on Saturday. 

The funds were split into two and a few more times in subsequent transactions. The data showed 700 ETH transferred using the Thorchain Router and about 1,200 ETH moved through the Railgun privacy tool.

Along with that, another 550 ETH was held in an intermediate wallet. 

Also Read: Bankman-Fried's Move To Jail Sparks Strong Reactions On X: 'Hope You Enjoy Prison'

This sudden movement has raised eyebrows within the cryptocurrency community, leading to speculations about its potential market impact.

Blockchain data reveals that the entire Ether exchange involved a significant sum, further intensifying this transaction's intrigue.

Sam Bankman-Fried, who headed FTX, is gearing up for a trial in the U.S. He faces allegations of fraud and conspiracy to commit fraud, charges that were initiated by federal prosecutors last year.

While Bankman-Fried staunchly denies all accusations, several of his former colleagues from FTX and Alameda Research have admitted guilt. It's anticipated that some of these individuals will testify against him in the forthcoming trial.

Now Read: FTX's Sam Bankman-Fried Backs Down On $1B Political Donation, Calls It 'Dumb Quote'

This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo: Shutterstock