testimony

According to Bloomberg, members of the board of Coinbase Global Inc. failed to successfully block the public disclosure of testimony related to an insider trading lawsuit against CEO Brian Armstrong, venture capitalist Marc Andreessen, and other board members.A judge in Delaware's Court of Chancery ordered that the special litigation committee established by the crypto company must disclose the trial records of two testimonies: one from angel investor and committee member Gokul Rajaram; the other from Joseph R. Slights III, the head of the legal team responsible for leading the internal investigation into shareholder allegations.The presiding judge, Chancellor Kathaleen St. J. McCormick, dismissed the notion that witnesses would be less candid in their testimony if they knew their statements could be made public.

ChainCatcher news, according to Jinshi reports, Federal Reserve Chairman Powell attended a hearing of the Senate Committee on Banking, Housing, and Urban Affairs, delivering his semiannual monetary policy testimony and answering questions from lawmakers. Key points from Powell's testimony include:Inflation has significantly approached the long-term target of 2%, although it remains slightly high. He is closely monitoring various risks under the dual mandate.Recent data shows that economic activity continues to expand at a robust pace.A wide range of indicators suggest that the labor market is overall balanced and does not pose significant pressure on inflation.The Federal Reserve will continue to reduce the size of its securities holdings.The restrictiveness of monetary policy has significantly decreased, and the economy remains strong, so there is no need to rush to adjust the policy stance.The FOMC will comprehensively assess the latest data, changes in the economic outlook, and the balance of risks. As the economy develops, the Federal Reserve will adjust its policy stance to maximize employment and ensure price stability.

ChainCatcher news, according to Jinshi reports, Federal Reserve Chairman Powell will attend the Senate Committee on Banking, Housing, and Urban Affairs hearing today at 23:00 Beijing time to deliver his semiannual monetary policy testimony. Trump's proposals on trade, taxes, immigration, and regulation have increased uncertainty in the U.S. economy, complicating the Fed's efforts to reduce inflation and maintain a healthy labor market.Federal Reserve Vice Chairman for Supervision Quarles announced his resignation last month, providing an opportunity for Trump to appoint new regulators. Since 2021, the Fed has failed to achieve its 2% inflation target, making inflation a key issue in the 2024 presidential election.Sarah Binder of the Brookings Institution in Washington stated that the hearing will be very tense. Although the Fed usually avoids partisan disputes, it must gain public support. Trump criticized the Fed's decision to keep interest rates unchanged but later stated that he does not intend to intervene.

ChainCatcher News, the U.S. Securities and Exchange Commission (SEC) Gary Gensler announced the full text of his testimony before the U.S. House Financial Services Committee.It disclosed that the work of the enforcement division is at the core of the SEC's investor protection responsibilities. In fiscal year 2023, the SEC took 784 enforcement actions, with fines and recoveries totaling $4.9 billion. Whenever possible, civil penalties and recoveries obtained by the SEC in civil enforcement actions will be returned to the harmed investors, with $930 million allocated to harmed investors in fiscal year 2023.

According to ChainCatcher news, reported by The Block, a lawyer claims that Caroline Ellison, the former CEO of Alameda Research involved in the FTX collapse, should not be imprisoned for her role in the downfall of FTX. He advocates for her to serve some time in prison before being placed under house arrest. The reasoning is that Caroline Ellison has been cooperating with the government and FTX debtors, and her testimony in last year's trial of Sam Bankman-Fried was very helpful. "There is no risk of reoffending, nor does she pose a threat to public safety. Therefore, considering Caroline's early disclosure of her crimes, her unwavering acceptance of responsibility, and most importantly—her extensive cooperation with the government, leniency would help uphold the law."Earlier news today states that Caroline Ellison will be sentenced in a New York court on September 24, facing fraud charges that include two counts of conspiracy to commit wire fraud, two counts of actual wire fraud, and one count of conspiracy to commit money laundering.In March of this year, former FTX CEO Sam Bankman-Fried was convicted on seven counts of fraud and conspiracy and was sentenced to 25 years in prison.

ChainCatcher news, according to Jinshi reports, Powell's remarks indicate that the FOMC is unlikely to cut interest rates at the end of this month meeting. After Powell's testimony was released, U.S. Treasury yields fluctuated but rose during the day, while the S&P 500 index maintained its upward trend. Traders expect a slightly over 70% chance of the Federal Reserve cutting rates for the first time in September, and anticipate two rate cuts in 2024, each by 25 basis points.

ChainCatcher news, Judge Kaplan stated in the sentencing trial of SBF that he found SBF had committed perjury in a previous trial, where he appeared and falsely testified that he did not know Alameda had spent FTX customer funds until the fall of 2022, claiming that he first learned of the $8 billion shortfall in October 2022.Kaplan asked SBF's lawyer if they would refute this, and SBF's lawyer Mukasey stated that they were unaware of the situation.

ChainCatcher news, according to The Block, SBF's lawyer Mark Cohen confirmed that his client will testify on October 26 (this Thursday), stating that the testimony may take a whole day.

ChainCatcher news, according to The Block, accounting expert Peter Easton testified in the SBF criminal trial that Alameda Research's FTX account balances were negative throughout 2021 and 2022, and he believes that customer funds must have been used.According to Easton, many of Alameda's venture capital investments and Bahamian real estate transactions were paid for with FTX customer funds.

ChainCatcher news, according to Bloomberg, Caroline Ellison, former girlfriend of Sam Bankman-Fried (SBF) and former CEO of Alameda Research, testified on the third day of SBF's criminal fraud trial that Alameda Research borrowed approximately $10 billion from FTX and loaned about $5 billion to FTX executives and affiliated entities. I was very concerned about Alameda's lenders recalling loans in June 2022. I prepared seven different spreadsheets under SBF's guidance, showing Alameda's balance sheet, including loans to FTX executives and the amounts borrowed from FTX.Additionally, during her testimony, Caroline Ellison detailed how she worked with SBF to lie about the health of Alameda and FTX, deceiving lenders and customers. Caroline Ellison testified that she falsified Alameda's balance sheet at Bankman-Fried's direction to conceal the large amounts of money the company received from FTX customers.Caroline Ellison also stated that the FBI had previously seized computers belonging to her mother and her new boyfriend, who also worked at Alameda and FTX. Caroline Ellison discussed this with the government in multiple meetings last December and acknowledged the criminal charges.

ChainCatcher news, according to Fortune, during the trial of the SBF case, U.S. prosecutor Danielle Sassoon told Judge Lewis Kaplan that SBF displayed "loud laughter, obvious head shaking, and mocking" reactions while former Alameda Research CEO Caroline Ellison was testifying.Danielle Sassoon stated that she has not yet communicated with the witness (Caroline), but this may have had a significant impact on her, especially considering that SBF had previously intimidated her, as well as their power dynamics and romantic relationship, hoping that SBF could control his behavior during the trial.

ChainCatcher news, according to CoinDesk, former Alameda Research CEO Caroline Ellison testified in court that it was FTX founder Sam Bankman-Fried who instructed her to commit crimes. Ellison stated that Alameda misappropriated FTX customer funds for investments and political donations; after being appointed CEO of Alameda Research, she continued to report to SBF, and despite her requests, she did not have equity in Alameda, owning only a small portion of FTX; SBF instructed them to borrow as much money as possible and had mentioned wanting to buy more FTT.SBF's lawyer stated in last week's opening remarks that Caroline Ellison ignored SBF's instructions to hedge Alameda's trades, which could have mitigated some losses.

ChainCatcher news, according to CoinGape, in the latest developments of the lawsuit filed by the SEC against Terraform Labs and its co-founder Do Kwon, the SEC is seeking testimony from Do Kwon.According to court documents submitted on September 22, the SEC urged the court to allow notification of the defendant Do Kwon's testimony. If obtaining Do Kwon's testimony proves difficult, the SEC also suggested alternative measures. It urged the court to prohibit the use of any statements made by Do Kwon in a summary judgment. The defendants Terraform Labs and Do Kwon plan to submit a response on September 26.It is reported that until the end of the year, Do Kwon is still serving time in a Montenegrin prison due to passport fraud charges, and the extradition process has not yet begun.

ChainCatcher news, Circle co-founder and CEO Jeremy Allaire submitted testimony to be presented at the upcoming digital asset hearing before the U.S. House Financial Services Committee: "The actions taken by the U.S. government in the coming years will have a significant impact on the dollar's competitiveness for decades to come. The stablecoin legislation is a critical piece of legislation and the first step in creating a regulatory framework, which will also have significant effects far beyond the digital asset market. Now is the time for the U.S. to lead in setting global rules. With the right regulatory framework, stablecoins and blockchain networks can scale to support billions of users and trillions of dollars in payment activity." (source link)

ChainCatcher message, based on a draft testimony prepared by FTX founder Sam Bankman-Fried (SBF) to be submitted to Congress, highlights that SBF sent five emails to FTX's new CEO and Chief Restructuring Officer John J. Ray III, but received no response; previously, many people (including FTX.US General Counsel and former Sullivan & Cromwell partner Ryne Miller) pressured SBF to quickly file for Chapter 11 bankruptcy.SBF stated that John J. Ray III and the law firm managing the bankruptcy, including Sullivan & Cromwell, are trying to extract huge fees from the FTX bankruptcy. SBF also devoted seven pages detailing instances of John J. Ray III and his team spreading false and inaccurate information about the company he founded.Additionally, SBF claimed that FTX did not have a risk management team; although FTX International had a team dedicated to finance and many other business areas, there was no team specifically responsible for risk management or user position monitoring. Potential investors signed a Letter of Intent (LOI) to restructure capital for the exchange. (Forbes)