SBF is still talking big in prison: Where did FTX users' funds go?

Through his X account, FTX founder Sam Bankman-Fried ((SBF)) has spoken out again recently. This guy has now been sentenced to 25 years in prison, yet he’s still insisting he was right—claiming that FTX users’ crypto assets were never lost and that 98% of legitimate claims have already been compensated.

What He Said

SBF’s logic is: that $10 billion in user funds never really “disappeared,” and when the bankruptcy lawyers took over, there were still enough assets in the accounts to pay everyone back in full. He also claims the remaining funds are enough to cover the $6.5 billion in disputed claims. The implication is—this wasn’t that serious, it’s all a systemic problem.

But Not Everyone’s Buying It

On-chain sleuth ZachXBT immediately called him out: how can you talk about transparency and solvency while hiding a $40 million transfer to Chinese authorities? In 2023, SBF was accused of bribing Chinese officials with $40 million to unfreeze $1 billion in crypto assets belonging to Alameda Research.

SBF argued it was to recover user funds; Chinese exchanges sold $1 billion worth of coins and later agreed to return $960 million. But ZachXBT shot back: if the founder of a Bahamian exchange claimed he only “partially” stole $800 million, would people forgive him?

Where Things Stand Now

The court recently denied the bankruptcy lawyers’ motion to block payments to 49 countries, which is a small win for Chinese creditors. But SBF, still in prison, is trying to maintain his “I did nothing wrong” persona, continuing to blame current debtors for holding up compensation.

Ironically, even behind bars, this guy is still battling it out through legal procedures and public opinion. Will users get their money back? Maybe. But this story is getting fishier by the day.