By
Tolu Ajiboye
April 16th, 2024
Former White House staff Scaramucci plans to invest in a DeFi-servicing endeavor set up by ex-FTX US president Brett Harrison.
One-time White House Director of Communications, Anthony Scaramucci, is reportedly investing in a company set up by ex-FTX US president Brett Harrison. According to inside sources, the new company looks to offer order management and algo-development services for the decentralized finance (DeFi) market.
Scaramucci Keen on Supporting Former FTX US President
Scaramucci will prop up the new venture with his own money and appears keen to empower Harrison’s new blockchain-focused endeavor. In a direct tweet reply to the former FTX US president’s lengthy censure of Sam Bankman-Fried, Scaramucci expressed support.
“Brett [Harrison], I am proud to be an investor in your new company. Go forward. Don’t look back. Wishing you the best,” said he.
Harrison also reciprocated the good show of faith shown by Scaramucci, responding with:
“Thank you so much, Anthony. Your support and advice mean the world to me. I can’t wait to work together!”
In a separate media session, the former FTX US president also said:
“Anthony has been a true mentor and friend to me since I joined the crypto industry two years ago. I’m honored to have him as an investment partner, and know his guidance will be invaluable as I begin this new chapter.”
Scaramucci Changes Tone on ‘Fraud Factor’ Following FTX Executives’ Admissions of Guilt
Although he initially refrained from criticizing FTX following its epic collapse last year, Scaramucci recently changed his tune. The high-profile American financier now opines that a string of fraudulent activities within FTX played a primary role in its downfall. “It’s very clear now that there was fraud,” Scaramucci explained, suggesting his previous hesitancy to proclaim such was “because that’s actually a legal term.”
Scaramucci claims he changed his mind regarding FTX’s alleged fraud culpability due to recent admissions of guilt by former company executives. Last month, FTX co-founder Gary Wang and former Alameda Research co-CEO Caroline Ellison pleaded guilty to various charges. These include complicity in the misuse and appropriation of customers’ funds, as well as wire and securities fraud. Ellison also agreed to pay restitution of an amount determinable by the courts at a later date.
SBF Maintains Innocence, Denies All Charges Levied Against Him
Meanwhile, SBF maintains his innocence in the turn of events that led to the FTX crash. Less than two weeks ago, the disgraced former CEO pleaded not guilty to all eight US criminal charges against him. In the presence of his attorneys and a New York District Court judge, Bankman-Fried denied ever conspiring to commit money laundering. In addition, the once-touted crypto wunderkind pleaded not guilty to wire fraud and appropriation of customers’ funds.
In a recent substack letter, Bankman-Fried doubled down on his innocence.
“I didn’t steal funds, and I certainly didn’t stash billions away. Nearly all of my assets were and still are utilizable to backstop FTX customers,” explained he.
SBF’s trial will begin on October 2nd this year. He could face up to 115 years in federal prison if found guilty.
FTX’s bankruptcy sent shockwaves across the entire crypto industry and worsened the existing crunch.