Cryptocurrencies
Bankman-Fried Courted Legislators and Regulators. Now, They're Shunning Him
- Crypto bill backed by Bankman-Fried jeopardized by turmoil
- Critics say proposed legislation has weak investor protections
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Before last week, FTX cofounder and political megadonor Sam Bankman-Fried had some lawmakers and regulators convinced that he was one of the few adults in the room in the wild crypto industry. Now, they can’t run fast enough away from him.
His fall from grace, with his digital-asset empire filing for bankruptcy and under investigation by US regulators, is calling into question the future of legislation he championed as a way to bring more regulatory clarity to the crypto world. It leaves a power vacuum for the industry as officials consider new laws and rules, including several that Bankman-Fried was helping to shape.