A former FTX executive is being investigated for possible campaign finance violations.
Crypto

A former FTX executive is being investigated for possible campaign finance violations.

Ryan Salame, the former co-CEO of FTX Digital Markets, is apparently being investigated by US authorities for possible campaign funding violations. Salame and his fiancée Michelle Bond, who ran for New York’s 1st congressional district as a Republican in 2022, are at the centre of this probe.

Authorities are particularly interested in Salame and Bond’s financial relationships in relation to Bond’s congressional race in 2022. This information is based on a recent New York Times report. It’s crucial to note that this inquiry is separate from the federal accusations brought against other persons associated with FTX and its companies since the exchange declared bankruptcy in November 2022.

The Federal Election Commission (FEC) has established limits on individual campaign contributions. Individuals could donate up to $2,900 to a primary campaign for a federal office candidate in the 2022 election cycle, and an extra $2,900 to the general election. Salame gave two $2,900 donations to Bond’s primary campaign in Massachusetts, and two more $2,900 donations to the general election. Bond herself made considerable financial contributions to her campaign in addition to Salame’s. She directly contributed about $145,000 and loaned her campaign around $877,000.

Salame’s home was allegedly searched by FBI agents in April. However, no charges have yet been filed against Salame in connection with his time at FTX Digital Markets. Salame took over as co-CEO of the exchange’s Bahamian subsidiary in December 2021.

Salame, interestingly, was the one who first reported FTX to Bahamian authorities, citing worries about the exchange moving customer funds to Alameda Research. The probable role he may play in the impending criminal prosecutions of Sam Bankman-Fried, former FTX CEO, slated to begin in October 2023 and March 2024, remains to be seen.