FTX employees paid Michigan senator to get favourable crypto laws

The FTX collapse is probably going down as one of the biggest frauds in US history. And this is why there are thorough investigations going on revealing things we would never have known before. Reports suggest that FTX employees paid Michigan Senator just before the crypto bill was led. Now, even though these funds were sent as donations, the intent here is clear.

Michigan Senator receives $55,600 in donations

I assume we all have heard now that FTX and SBF had ties with politicians. This report reaffirms that FTX donated funds to a senator before she led the crypto bill. The Senator’s name is Debbie Stabenow, and she currently oversees the CFTC (Commodities Future Trading Commission).

When we hear what Coindesk reported, we can get the dots to connect. In the congress hearing a few days back, it was clearly stated that SBF intended to keep the SEC away from the crypto market. He didn’t want them to regulate or oversee this new industry. Instead, Sam Bankman Fried had regular meetings with lawmakers, politicians, and regulators to push for crypto regulation. His goal was to ensure that the CFTC gets more authority over crypto regulation.

SBF also wanted Stabenow’s Digital Commodities Consumer Protection Act bill to go through. He tweeted, “I’m optimistic that the Stabenow-Boozman’s bill will provide customer protection on centralized crypto exchanges without endangering the existence of software, blockchains, validators, DeFi, etc. If I were convinced I was wrong about that, I would not support it.” 

The need for proper regulation

The collapse of large crypto exchanges like FTX shows why we need crypto regulation, and that, too, really soon. Without proper regulation, we cannot expect fraudsters like SBF to stop customer funds from being mishandled. It will also improve the space and bring in new users who now fear participating in crypto. Regulations also mean things will be systematic, and exchanges can operate much more smoothly than before while getting government support. This is not the case now, plus regulation in the US means other countries will follow suit sooner or later.

What are your thoughts as FTX employees paid the Michigan Senator before leading the crypto bill? And what do you think was the purpose of this “so-called” donation? Let us know in the comments below. And if you found our content informative, share it with your family and friends.

Also Read: Shaq says he was just a paid spokesperson for FTX.