Sam Bankman-Fried’s ongoing legal dispute, which involves charges of wire fraud and money laundering, has shifted direction as his attorneys and U.S. prosecutors have agreed on updated bail conditions, as per sources. The FTX crypto exchange founder is on bail and has pleaded not guilty to the charges.
The agreement pointed on Monday, outlines the conditions that Bankman-Fried must abide by while awaiting trial in October for wire fraud and money laundering charges.
The primary condition worth mentioning is that Bankman-Fried will receive a new phone without internet access and a laptop with restricted functionality, which can only access approved websites.
These restrictions will prevent him from contacting potential witnesses, which prosecutors claim he attempted to do while on bail. Bankman-Fried’s parents, with whom he will be living, have also agreed to prohibit him from using their devices or bringing any unpermitted devices into the house.
This news comes after Bankman-Fried was unleashed on a $250M bond in December, which was co-signed by his parents, who offered their home in Palo Alto, California as collateral. While on bail, Bankman-Fried has been cooperating with authorities, surrendering his passport and agreeing to have his financial accounts monitored.
The proposed bail conditions are a compromise between the defense and prosecutors. If approved by District Judge Lewis Kaplan of the Southern District of New York, will go into effect immediately.
The case against Bankman-Fried has attracted significant attention within the crypto community, given his high profile as the founder of FTX. The charges against him relate to his alleged involvement in a scheme to manipulate the price of a cryptocurrency futures contract on his platform, which prosecutors claim resulted in millions of dollars in losses for traders.
While the case is ongoing, the bail conditions agreement is a positive development for Bankman-Fried and his legal team, who are no doubt eager to minimize any potential risks or disruptions to his defense. The restrictions on his access to technology may be challenging, but they are necessary to ensure that he does not interfere with the ongoing investigation.
