Absent Since FTX 2022 Downfall, Sam Trabucco Breaks Silence With Letter Of Endorsement

Absent Since FTX 2022 Downfall, Sam Trabucco Breaks Silence With Letter Of Endorsement

In a recent development, Sam Trabucco, a key figure in Sam Bankman-Fried’s inner circle, has resurfaced after his absence from the public eye following the collapse of crypto exchange FTX in late 2022. 

According to Bloomberg, Trabucco has come forward to support Ryan Salame, another former FTX executive who awaits sentencing for his involvement in the platform’s downfall.

Sam Trabucco’s First Communication Since FTX Bankruptcy

Trabucco’s endorsement of Salame was expressed in a letter describing Salame as the “funniest, most passionate, most supportive friend” he has ever had. The letter, made public as part of court filings on Wednesday, marks Trabucco’s first communication since the days leading up to FTX’s bankruptcy in November 2022.

Formerly serving as the co-chief executive of Alameda Research, a crypto fund established by Bankman-Fried, Trabucco played a crucial role in venture capital and market-making. However, in August 2022, three months before FTX’s failure, he abruptly stepped away from Alameda and retreated from public life.

Unlike other close associates of Bankman-Fried, such as Caroline Ellison, the other co-chief executive of Alameda, and FTX executives Gary Wang and Nishad Singh, Trabucco did not participate in Bankman-Fried’s trial or contribute publicly available evidence. 

As Bitcoinist reported, Bankman-Fried received a 25-year prison sentence in March, while his former colleagues await their verdicts in the following months. Notably, Trabucco has not faced any public accusations of wrongdoing.

Diverse Group Rallies Behind Former FTX Executive

Trabucco has a long association with Bankman-Fried, having known each other since their early days at the Massachusetts Institute of Technology (MIT) math camp. According to Bloomberg, he often shared how his poker strategy influenced Alameda’s trading decisions.

Prior to Alameda’s collapse, Trabucco allegedly received approximately $25 million in transfers from the firm. Moreover, Alameda spent $2.5 million to purchase a 52-foot yacht for Trabucco, which he affectionately named “Soak My Deck.” 

Ryan Salame, who formerly oversaw FTX’s digital assets unit in the Bahamas, has pleaded guilty to conspiracy charges related to operating an unlicensed money-transmitting business and engaging in campaign finance fraud. 

Several individuals, including a Georgetown finance professor, a martial arts grandmaster, family members, neighbors, former FTX employees, and Bahamian residents, have submitted letters in support of Salame.

As the legal proceedings progress, the emergence of Sam Trabucco and his endorsement of Ryan Salame sheds new light on the ongoing fallout from FTX’s collapse. 

The exchange’s native token, FTT, trades at $1.65, down over 3% in the past 24 hours.

Featured image from Bitcoinist, chart from TradingView.com

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