Former FTX executive Ryan Salame will plead guilty to criminal charges, an unnamed source told Bloomberg on Thursday.
Salame is expected for a “proceeding of interest” hearing in Manhattan federal court today at 3pm ET.
Salame was co-CEO of FTX Digital Markets and was said to have handled political donations on behalf of the now-defunct crypto exchange’s executives.
FBI agents in April raided Salame’s Washington, D.C. home. He was accused of giving $24 million to Republicans using FTX customer cash but prosecutors have not yet announced criminal charges against him. However, the New York Times has reported that he’s the subject of an investigation related to campaign finance violations.
The news comes as FTX founder Sam Bankman-Fried prepares for the start of his own criminal trial in October, having recently been denied a motion for his immediate release from prison.
Feds hit ex-FTX boss Bankman-fried with 13 criminal charges following the quick and unexpected collapse of the Bahamas-based company last year.
FTX and its related entities filed for bankruptcy in November following alleged criminal mismanagement. Once one of the biggest crypto brands in the space, it allowed customers to buy, sell and bet on the future price of digital assets.
But prosecutors allege that Bankman-Fried and others recklessly handled client cash by commingling it and making risky bets leading to a $7 billion hole.
This is a developing story and will be updated.
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