According to evidence presented at the one-time wunderkind’s criminal trial, FTX engaged BlackRock and Google as potential investors while Sam Bankman-Fried's cryptocurrency exchange was in trouble last November.
Can Sun, a former general counsel for FTX, testified that federal prosecutors provided a spreadsheet maintained by the now-defunct exchange related to its fundraising activities. FTX’s Series C1 funding rounds begin “in late summer and autumn of 2022”. The spreadsheet showed that 15 potential investors should “engage pronto”, stated Sun.
The spreadsheet also indicated a “medium” chance that BlackRock and Google would participate in the round. Both firms conducted due diligence on the Bankman-Fried Exchange before it collapsed on 11 November. Meanwhile, Bankman-Fried is defending itself against seven fraud and conspiracy charges for its actions at FTX. He is also accused of misleading FTX investors, which is now the subject of a Securities and Exchange Commission (SEC) lawsuit.
In addition, this week’s spreadsheet shows six firms including a16z and General Atlantic “declined” to participate in the mid-2022 round.