Connect with us

Published

on

Former FTX Chief Executive Sam Bankman-Fried, who faces fraud charges over the collapse of the bankrupt cryptocurrency exchange, arrives on the day of a hearing at Manhattan federal court in New York City, January 3, 2023.

David Dee Delgado | Reuters

In Sam Bankman-Fried’s fraud trial, prosecutors won quickly by keeping it simple.

Jurors needed only about three hours of deliberations to find the FTX founder guilty of seven criminal counts, which could amount to a life sentence. For a high-profile monthlong trial that involved nearly 20 witnesses and hundreds of exhibits, experts told CNBC they’d never seen such a speedy decision.

“The jury came back in next to no time on seven counts of fraud and conspiracy, a charge that is notoriously difficult to prove beyond a reasonable doubt in typical cases, especially for complex financial wrongdoing,” said Yesha Yadav, professor of law and associate dean at Vanderbilt University.

Working in the government’s favor was a basic fact that’s accepted by just about everyone: stealing money is wrong.

Both the prosecution and defense agreed that $10 billion in customer money that was sitting in FTX’s crypto exchange went missing, with some of it going toward payments for real estate, recalled loans, venture investments, and political donations. They also agreed that Bankman-Fried was calling the shots.

The key question for jurors was one of intent. Did Bankman-Fried knowingly commit fraud in directing those payouts with FTX customer cash, or did he simply make some mistakes along the way?

Nicolas Roos and Danielle Sassoon, the two assistant U.S. attorneys who led the prosecution’s case through the trial, continuously reminded investors that billions of dollars went missing at the expense of ordinary investors. Crypto may be complicated because it’s unregulated and has been difficult to categorize as a currency, commodity or something else. But Roos and Sassoon emphasized how little any of that mattered to the case at hand.

The prosecution called as its first witness a London-based cocoa bean trader who lost $100,000 on FTX. The investor, Marc-Antoine Julliard, turned to the platform in 2021 to diversify his holdings because he said the company gave the impression that it was trustworthy.

“The key at trial, aside from the multiple cooperators, was the way in which prosecutors simplified the case and tried it as a garden-variety fraud instead of as a complex crypto scheme,” Renato Mariotti, a former prosecutor in the U.S. Justice Department’s Securities and Commodities Fraud Section, told CNBC.

Mariotti, who’s now a trial partner in Chicago with Bryan Cave Leighton Paisner, said, “The simpler story is usually the winner at a jury trial.”

Damian Williams, U.S. attorney for the Southern District of New York, underscored that point in a press briefing after the verdicts were read on Thursday evening.

“While the cryptocurrency industry might be new and the players like Sam Bankman-Fried might be new, this kind of corruption is as old as time,” Williams said. “This case has always been about lying, cheating, and stealing, and we have no patience for it.”

What's next after Sam Bankman-Fried's conviction in fraud trial: CNBC Crypto World

Prosecutors had a lot going for them.

Bankman-Fried, the 31-year-old son of two Stanford legal scholars, had shirked legal advice well after FTX and sister hedge fund Alameda Research spiraled into bankruptcy in late 2022. He remained prolific and unfiltered in dealing with the press, even speaking publicly by video to journalist Andrew Ross Sorkin at the New York Times DealBook Summit, which took place three weeks after his crypto empire collapsed.

“What do your lawyers tell you right now,?” Sorkin asked. “Are they suggesting this is a good idea for you to be speaking?

“No, they are very much not,” Bankman-Fried responded. “The classic advice — don’t say anything, recede into a hole. And that’s not who I am. It’s not who I want to be.”

That interview, along with others, came back to haunt him. Audio and video clips and news excerpts, from before, during and after FTX’s failure, gave the prosecution a mountain of evidence on top of the damning witness testimony it was able to present.

‘Impossible position’

In September of 2022, when the crisis had become evident internally, Bankman-Fried told CNBC that he had $1 billion in free cash to deploy across the industry. The following month, at an event in Washington, D.C., he boasted of FTX’s role in helping to prop up the industry through a cascade of failures.

In presenting those statements to the jury, the prosecution made clear that Bankman-Fried knew he was lying.

“SBF lost this case before it started,” Mariotti said. “He put his lawyers in an impossible position by committing outlandish crimes and refusing to keep his mouth shut even after it was apparent that he was under investigation.”

Sassoon ended by telling the jurors that Bankman-Fried thought he could fool customers, reporters and the public. Now, he was aiming to fool them.

“Don’t fall for it,” she said. “Find him guilty.”

Paul Tuchmann, a former federal prosecutor who is currently a partner with Wiggin and Dana LLP, said a three-hour deliberation for a trial of this length is “not common at all.”

“It really goes to show the strength of the government’s case,” said Tuchmann.

While prosecutors brought up witnesses from Bankman-Fried’s inner circle who were cooperating as part of plea agreements, the defense’s case was mostly built on testimony from the defendant himself. Tuchmann described Bankman-Fried’s performance as “unpersuasive.”

Sam Bankman-Fried’s parents, seated to the left, react to the verdict. U.S. Attorney Damian Williams is seated to the far right.

Artist: Elizabeth Williams

Starring for the prosecution was Caroline Ellison, Bankman-Fried’s ex-girlfriend and the former head of Alameda. On the stand, Ellison, who pleaded guilty in December to multiple charges, said that she and Bankman-Fried committed “fraud, conspiracy to commit fraud and money laundering.”

Jurors also got to hear Ellison on tape describing to employees the huge hole in FTX’s balance sheet and the disappearance of customer money. And they saw text messages she sent to Bankman-Fried, including one as the grand scheme was falling apart, in which she wrote “this is the best mood I’ve been in in like a year” because the nightmare was all finally coming to an end.

“No one had a shred of support for SBF, nor should they have,” trial attorney James Koutoulas told CNBC.

Regarding the speedy deliberation, Koutoulas said, “That’s enough time for everybody to be like, I’m glad it’s over, let’s eat our cookies or our sandwiches, recap the facts, and everybody say, ‘OK, well he’s guilty, right?'”

In addition to Ellison, the government called to the stand FTX co-founder Gary Wang, who was Bankman-Fried’s childhood friend from math camp, FTX’s former director of engineering Nishad Singh, and Bankman-Fried’s former roommate and senior FTX coder Adam Yedidia. FTX’s ex-general counsel Can Sun also testified.

“The prosecution featured no fewer than four cooperating witnesses from the senior ranks of the companies, all of whom convincingly described the defendant as the leader of the fraudulent schemes,” said Kevin J. O’Brien, a former assistant U.S. attorney who specializes in white collar criminal defense in New York. “The prosecutors were confident, brisk and well-organized in their presentation, which juries in a complex, lengthy case always appreciate.”

The defense, led by Mark Cohen, tried to create reasonable doubt by pointing out flaws in testimony. But O’Brien said the defense failed to negate the important facts.

When Bankman-Fried took the stand over three separate days, he did himself no favors.

Bankman-Fried rushed through lengthy and convoluted sentences that at times were repetitive and contradictory. That’s when he was responding to his lawyer’s questions. On cross-examination, he clammed up, replying with “Yup,” and some variation of “I don’t recall” over 100 times.

Bankman-Fried’s decision to testify “backfired because of inconsistencies in his testimony and his general lack of appeal,” said O’Brien.

Mariotti credited the Justice Department for working “collaboratively and with urgency” with the Commodities Future Trading Commission and the Securities and Exchange Commission. That allowed the government to move swiftly while gathering highly compelling evidence.

“Sam Bankman-Fried will be remembered as one of the biggest fraudsters of our lifetimes,” Mariotti said. “He has finally met a situation that he can’t talk his way out of.”

WATCH: Sam Bankman-Fried found guilty on all seven counts

Sam Bankman-Fried found guilty on all seven criminal fraud counts: Here's what next

Continue Reading

Environment

This new wireless e-bike charger wants to be the future of electric bikes

Published

on

By

This new wireless e-bike charger wants to be the future of electric bikes

Forget fumbling with cables or hunting for batteries – TILER is making electric bike charging as seamless as parking your ride. The Dutch startup recently introduced its much-anticipated TILER Compact system, a plug-and-play wireless charger engineered to transform the user experience for e-bike riders.

At the heart of the new system is a clever combo: a charging kickstand that mounts directly to almost any e‑bike, and a thin charging mat that you simply park over. Once you drop the kickstand and it lands on the mat, the bike begins charging automatically via inductive transfer – no cable required. According to TILER, a 500 Wh battery will fully charge in about 3.5 hours, delivering comparable performance to traditional wired chargers.

It’s an elegantly simple concept (albeit a bit chunky) with a convenient upside: less clutter, fewer broken cables, and no more need to bend over while feeling around for a dark little hole.

TILER claims its system works with about 75% of existing e‑bike platforms, including those from Bosch, Yamaha, Bafang, and other big bames. The kit uses a modest 150 W wireless power output, which means charging speeds remain practical while keeping the system lightweight (the tile weighs just 2 kg, and it’s also stationary).

Advertisement – scroll for more content

TILER has already deployed over 200 charging points across Western Europe, primarily serving bike-share, delivery, hospitality, and hotel fleets. A recent case study in Munich showed how a cargo-bike operator saved approximately €1,250 per month in labor costs, avoided thousands in spare batteries, and cut battery damage by 20%. The takeaway? Less maintenance, more uptime.

Now shifting to prosumer markets, TILER says the Compact system will hit pre-orders soon, with a €250 price tag (roughly US $290) for the kickstand plus tile bundle. To get in line, a €29 refundable deposit is currently required, though they say it is refundable at any point until you receive your charger. Don’t get too excited just yet though, there’s a bit of a wait. Deliveries are expected in summer 2026, and for now are covering mostly European markets.

The concept isn’t entirely new. We’ve seen the idea pop up before, including in a patent from BMW for charging electric motorcycles. And the efficacy is there. Skeptics may wonder if wireless charging is slower or less efficient, but TILER says no. Its system retains over 85% efficiency, nearly matching wired charging speeds, and even pauses at 80% to protect battery health, then resumes as needed. The tile is even IP67-rated, safe for outdoor use, and about as bulky as a thick magazine.

Electrek’s Take

I love the concept. It makes perfect sense for shared e-bikes, especially since they’re often returning to a dock anyway. As long as people can be trained to park with the kickstand on the tile, it seems like a no-brainer.

And to be honest, I even like the idea for consumers. I know it sounds like a first-world problem, but bending over to plug something in at floor height is pretty annoying, not to mention a great way to throw out your back if you’re not exactly a spring chicken anymore. Having your e-bike start charging simply by parking it in the right place is a really cool feature! I don’t know if it’s $300 cool, but it’s pretty cool!

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Tesla launches new software update with Grok, but it doesnt even interface with the car

Published

on

By

Tesla launches new software update with Grok, but it doesnt even interface with the car

Tesla has launched a new software update for its vehicles that includes the anticipated integration of Grok, but it doesnt even interface with the car yet.

Earlier this week, CEO Elon Musk said that Tesla would integrate Grok, the large language model developed by his private company, xAI, into its vehicles.

Today, Tesla started pushing the update to the fleet, but there’s a significant caveat.

The automaker wrote in the release notes (2025.26):

Advertisement – scroll for more content

Grok (Beta) (US, AMD)

Grok now available directly in your Tesla

Requires Premium Connectivity or a WiFi connection

Grok is currently in Beta & does not issue commands to your car – existing voice commands remain unchanged.

First off, it is only available in vehicles in the US equipped with the AMD infotainment computer, which means cars produced since mid-2021.

But more importantly, Tesla says that it doesn’t send commands to the car under the current version. Therefore, it is simply like having Grok on your phone, but on the onboard computer instead.

Tesla showed an example:

There are a few other features in the 2025.26 software update, but they are not major.

For Tesla vehicles equipped with ambient lighting strips inside the car, the light strip can now sync to music:

Accent lights now respond to music & you can also choose to match the lights to the album’s color for a more immersive effect

Toybox > Light Sync

Here’s the new setting:

The audio setting can now be saved under multiple presets to match listening preferences for different people or circumstances:

The software update also includes the capacity to zoom or adjust the playback speed of the Dashcam Viewer.

Cybertruck also gets the updated Dashcam Viewer app with a grid view for easier access and review of recordings:

Tesla also updated the charging info in its navigation system to be able to search which locations require valet service or pay-to-park access.

Upon arrival, drivers will receive a notification with access codes, parking restrictions, level or floor information, and restroom availability:

Finally, there’s a new onboarding guide directly on the center display to help people who are experiencing a Tesla vehicle for the first time.

Electrek’s Take

Tesla is really playing catch-up here. Right now, this update is essentially nothing. If you already have Grok, it’s no more different than having it on your phone or through the vehicle’s browser, since it has no capacity to interact with any function inside the vehicle.

Most other automakers are integrating LLMs inside vehicles with the capacity to interact with the vehicle. In China, this is becoming standard even in entry-level cars.

In the Xiaomi YU7, the vehicle’s AI can not only interact with the car, but it also sees what the car sees through its camera, and it can tell you about what it sees:

Tesla is clearly far behind on that front as many automakers are integrating with other LLMs like ChatGPT and in-house LLMs, like Xiaomi’s.

Continue Reading

Environment

Robinhood is up 160% this year, but several obstacles are ahead

Published

on

By

Robinhood is up 160% this year, but several obstacles are ahead

Florida AG opens probe into Robinhood. Here's the latest

Robinhood stock hit an all-time high Friday as the financial services platform continued to rip higher this year, along with bitcoin and other crypto stocks.

Robinhood, up more than 160% in 2025, hit an intraday high above $101 before pulling back and closing slightly lower.

The reversal came after a Bloomberg report that JPMorgan plans to start charging fintechs for access to customer bank data, a move that could raise costs across the industry.

For fintech firms that rely on thin margins to offer free or low-cost services to customers, even slight disruptions to their cost structure can have major ripple effects. PayPal and Affirm both ended the day nearly 6% lower following the report.

Despite its stellar year, the online broker is facing several headwinds, with a regulatory probe in Florida, pushback over new staking fees and growing friction with one of the world’s most high-profile artificial intelligence companies.

Florida Attorney General James Uthmeier opened a formal investigation into Robinhood Crypto on Thursday, alleging the platform misled users by claiming to offer the lowest-cost crypto trading.

“Robinhood has long claimed to be the best bargain, but we believe those representations were deceptive,” Uthmeier said in a statement.

The probe centers on Robinhood’s use of payment for order flow — a common practice where market makers pay to execute trades — which the AG said can result in worse pricing for customers.

Robinhood Crypto General Counsel Lucas Moskowitz told CNBC its disclosures are “best-in-class” and that it delivers the lowest average cost.

“We disclose pricing information to customers during the lifecycle of a trade that clearly outlines the spread or the fees associated with the transaction, and the revenue Robinhood receives,” added Moskowitz.

Robinhood CEO Vlad Tenev explains 'dual purpose' behind trading platform's new crypto offerings

Robinhood is also facing opposition to a new 25% cut of staking rewards for U.S. users, set to begin October 1. In Europe, the platform will take a smaller 15% cut.

Staking allows crypto holders to earn yield by locking up their tokens to help secure blockchain networks like ethereum, but platforms often take a percentage of those rewards as commission.

Robinhood’s 25% cut puts it in line with Coinbase, which charges between 25.25% and 35% depending on the token. The cut is notably higher than Gemini’s flat 15% fee.

It marks a shift for the company, which had previously steered clear of staking amid regulatory uncertainty.

Under President Joe Biden‘s administration, the Securities and Exchange Commission cracked down on U.S. platforms offering staking services, arguing they constituted unregistered securities.

With President Donald Trump in the White House, the agency has reversed course on several crypto enforcement actions, dropping cases against major players like Coinbase and Binance and signaling a more permissive stance.

Even as enforcement actions ease, Robinhood is under fresh scrutiny for its tokenized stock push, which is a growing part of its international strategy.

The company now offers blockchain-based assets in Europe that give users synthetic exposure to private firms like OpenAI and SpaceX through special purpose vehicles, or SPVs.

An SPV is a separate entity that acquires shares in a company. Users then buy tokens of the SPV and don’t have shareholder privileges or voting rights directly in the company.

OpenAI has publicly objected, warning the tokens do not represent real equity and were issued without its approval. In an interview with CNBC International, CEO Vlad Tenev acknowledged the tokens aren’t technically equity shares, but said that misses the broader point.

JPMorgan announces plans to charge for access to customer bank data

“What’s important is that retail customers have an opportunity to get exposure to this asset,” he said, pointing to the disruptive nature of AI and the historically limited access to pre-IPO companies.

“It is true that these are not technically equity,” Tenev added, noting that institutional investors often gain similar exposure through structured financial instruments.

The Bank of Lithuania — Robinhood’s lead regulator in the EU — told CNBC on Monday that it is “awaiting clarifications” following OpenAI’s statement.

“Only after receiving and evaluating this information will we be able to assess the legality and compliance of these specific instruments,” a spokesperson said, adding that information for investors must be “clear, fair, and non-misleading.”

Tenev responded that Robinhood is “happy to continue to answer questions from our regulators,” and said the company built its tokenized stock program to withstand scrutiny.

“Since this is a new thing, regulators are going to want to look at it,” he said. “And we expect to be scrutinized as a large, innovative player in this space.”

SEC Chair Paul Atkins recently called the model “an innovation” on CNBC’s Squawk Box, offering some validation as Robinhood leans further into its synthetic equity strategy — even as legal clarity remains in flux across jurisdictions.

Despite the regulatory noise, many investors remain focused on Robinhood’s upside, and particularly the political tailwinds.

The company is positioning itself as a key beneficiary of Trump’s newly signed megabill, which includes $1,000 government-seeded investment accounts for newborns. Robinhood said it’s already prototyping an app for the ‘Trump Accounts‘ initiative.

WATCH: Watch CNBC’s full interview with Robinhood CEO Vlad Tenev

Watch CNBC's full interview with Robinhood CEO Vlad Tenev

Continue Reading

Trending