Sam Bankman-Fried considered selling FTX equity to Saudi crown prince, says Caroline Ellison

Testimony from the former Alameda Research CEO continued on the sixth day of Sam Bankman-Fried’s criminal trial, delving into potential investments prior to FTX’s bankruptcy.

Former Alameda Research CEO Caroline Ellison claimed in court that Sam “SBF” Bankman-Fried attempted to raise equity for FTX by considering an investment from Saudi Crown Prince Mohammed bin Salman, or MBS.

Addressing the court at SBF’s criminal trial Oct. 11, Ellison reportedly said she had discussed ways of hedging Alameda investments with Bankman-Fried in 2022. According to the former Alameda CEO, Bankman-Fried said MBS was a potential investor in the crypto exchange prior to its collapse in November.

The potential investment by MBS was one of the notes mentioned on one of Ellison’s online journals titled ‘Things Sam is Freaking Out About’, which prosecutors said in August they could present at trial. According to her testimony, the list included “raising funds from MBS” as well as turning regulators against crypto exchange Binance.

With a net worth in the billions, MBS — both crown prince and prime minister of Saudi Arabia — has made investments into blockchain gaming through the nation’s sovereign wealth fund. However, he was also reportedly connected to the 2018 assassination of Washington Post journalist Jamal Khashoggi at the Saudi consulate in Istanbul.

This is a developing story, and further information will be added as it becomes available.