Bankman-Fried Knew of Alameda Risks, Ex-Girlfriend Testifies

Jurors in the fraud trial of FTX co-founder Sam Bankman-Fried heard his ex-girlfriend Caroline Ellison explain how he allegedly arranged for billions of dollars in customer funds to back risky investments that led to the collapse of the cryptocurrency exchange.

Ellison, a math whiz who Bankman-Fried hired and eventually promoted to chief executive officer of Alameda Research, FTX’s sister trading firm, was the latest star witness and close associate to testify against him since the trial began last week. Ellison, who has pleaded guilty and is cooperating with prosecutors, blamed him for orchestrating the fraud and said she continually warned him that his moves could bankrupt FTX and Alameda.