Crypto Community Confused By SBF’s $250M Bail And A Return To Luxury

The crypto community criticized the $250 million Sam Bankman-Fried bail bond. This allowed him to spend Christmas at his parents’ Palo Alto home without paying a dime upfront.

The former CEO of FTX arrived in New York on December 21 from the Bahamas and was present in court on December 22. He was released on bail by a “personal recognizance bail, ” essentially a written guarantee from the defendant that he would appear for future court appearances.

The December 22 release agreement states that no cash is required to be deposited with the court. However, the bond conditions stipulate that Bankman-Fried’s parents’ five-bedroom Palo Alto home will be used to secure the $250 million bond.

Some crypto community members were initially confused by the $250m no-upfront-cost bail conditions. They questioned how Sam Bankman Fried could post that figure after he claimed he had less than $100,000 in his bank account.

The bail agreement states that the bond will be paid if Sam Bankman Fried doesn’t appear for future court appearances or violates any other conditions of his bail, such as surrendering to serve a sentence or appearing in court proceedings.

Those who reviewed the court documents instead shared concerns over Bankman-Fried’s guarantors. They raised concerns about Bankman-Fried’s guarantors, including his father, Allan Joseph Bankman, and his mother, Barbara Fried. If SBF violates the bail conditions, they would be held responsible.

Scott Melker, the host of the Wall of All Streets Podcast, tweeted on December 23 that SBF did not have to pay $250m to keep out of jail. However, if he skips bail, his parents will need to work “17 additional jobs” to make money.

Vocal crypto Twitter user Autism Capital explained the situation, explaining that he has placed his parents, relatives, and other non-relatives in a difficult position, even though he has not had any upfront payments.

Jason Brett, the host of the Regulatory Jason podcast, tweeted that it was unfair that SBF was staying in a luxury home while he was on trial. However, he reminded his listeners that everyone in America has the right to a fair trial and the presumption that they are innocent.

Steven McClurg tweeted a statement implying SBF’s parents shouldn’t be allowed to use their home as collateral for the $250 million bail because the home was purchased with stolen FTX funds.

The Crypto community also found it amusing that SBF’s bail conditions didn’t prohibit him from using a computer while being released.

Related Stories:

🙏 Help Us By Sharing This Article 👇: