Former FTX exec says he illegally donated millions to Democrats, Republicans

globalnews.ca:

A former top executive at the failed FTX cryptocurrency exchange pleaded guilty Thursday to making tens of millions of dollars in illegal campaign contributions to U.S. politicians and engaging in a criminal conspiracy to operate an unlicensed money transfer business.

Ryan Salame, the former co-chief executive of FTX Digital Markets, is the fourth high-ranking official at the company or its affiliates to plead guilty to criminal charges.

Under a deal with prosecutors, he agreed to forfeit up to $1.55 billion in assets. He could also be called as a witness to testify at the trial of FTX founder Sam Bankman-Fried, who was arrested last year in the Bahamas and extradited to the U.S. to face charges that he committed a host of crimes while running the popular digital currency trading platform.

Salame, 30, entered his plea before a judge in Manhattan, admitting to the court that he illegally used millions of dollars from a hedge fund controlled by Bankman-Fried to make political contributions in 2020 and 2021 to both Democrats and Republicans.

The purpose of those donations, he said, was to fund political initiatives supported by Bankman-Fried. In a criminal complaint unsealed Thursday, prosecutors said they had obtained private messages in which Salame wrote that Bankman-Fried wanted to support politicians in both parties who were “pro crypto,” while working to get “anti crypto” lawmakers out of office.

A lawyer for Salame, Jason Linder, didn’t immediately return an email seeking comment. Salame’s sentencing was tentatively scheduled for March. He was ordered released from federal custody until then and left the courthouse without speaking to reporters.

Bankman-Fried is awaiting trial on charges that he defrauded customers