The ability of the former CEO of FTX to get bail and the conditions imposed have come under heavy fire from the cryptocurrency community. Crypto Twitter has taken issue with Sam Bankman-Fried’s $250 million bail bond, letting him spend the Holiday season at his parents’ Palo Alto house without paying anything in advance.
The ex-CEO of FTX traveled from the Bahamas to New York on December 21 during a postponed extradition, and on December 22, he appeared in court. A “personal recognizance bond,” which is a written guarantee from the defendant to attend upcoming court appearances and refrain from participating in any unlawful behavior while out on bail, was used to give him bail.
According to the release agreement submitted on December 22, no cash was needed to be placed with the court. Still, the bail conditions stipulate that Bankman-Fried’s parents’ five-bedroom Palo Alto home would be used as security for the $250 million bond.
As a result, While SBF was not required to pay $250 million to avoid going to jail if he “skips bail,” Wall of All Streets Podcast host Scott Melker also tweeted that SBF’s parents will need to work “17 more jobs” to earn money.
The $250 million no-upfront-cost bail conditions first confused several cryptocurrency community members on Twitter, who questioned how Sam Bankman-Fried would post the $250 million bail figure given that he had previously claimed to have less than $100,000 in his bank account.
The bail agreement states that the bond is only paid if Sam Bankman-Fried violates other bail terms, such as skipping court sessions, turning himself in to serve a sentence, or failing to appear for further court appearances.
However, others who reviewed the court documents raised concerns about Fried’s Bankman-guarantors, particularly his mother, Barbara Fried, and father, Allan Joseph Bankman, who would be held accountable if SBF failed to follow the terms of his release.
Talking crypto, he has put his parents, relatives, and non-relatives in a difficult situation, according to a comment by Twitter user Autism Capital.
The presenter of the Regulatory Jason Podcast, Jason Brett, reminded his listeners that everyone in the US has a right to a fair trial and the assumption of innocence, even if it may not be fair that SBF lives in a luxurious home while being tried.
David Schwartz said that Twitter users laughed at the fact that SBF’s bail conditions did not prevent him from using a computer while out on bond. Schwartz accused investor organizations of promoting FTX frauds.