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Bankman-Fried agrees to help in lawsuit targeting FTX celebrity endorsers

Bankman-Fried agrees to help in lawsuit targeting FTX celebrity endorsers
Snapshot
Pending court approval, SBF's cooperation in lawsuit will absolve him of civil liability.
  • SBF agrees to cooperate in endorser lawsuit.
  • IRS releases draft tax form for crypto.
  • Grayscale plans mini Bitcoin ETF with low fee.

Bankman-Fried agrees to help in celebrity lawsuit

Jailed former FTX chief Sam Bankman-Fried has agreed to settle with investors who will drop their civil liability claims against him in exchange for his cooperation in a class-action lawsuit against celebrities who promoted the crypto exchange.

The agreement, which pending court approval would resolve plaintiff’s civil claims now and in the future against Bankman-Fried, was first reported by Bloomberg.

The celebrities include sports stars Tom Brady, Shaquille O’Neal, Stephen Curry and Shohei Ohtani, model Gisele Bundchen and actor Larry David, among others, who are accused of promoting unregistered securities for FTX.

A lawyer for O’Neal, Bundchen, and Brady had not yet responded to a request for comment, according to Bloomberg.

The plaintiffs hope to recover some of their losses stemming from the collapse of FTX in November 2022.

Bankman-Fried was sentenced to 25 years in prison for stealing $8 billion from FTX customers, as reported by DL News last month.

Bankman-Fried appealed his sentence and conviction earlier this month.

He is currently being held at the Metropolitan Detention Center in Brooklyn, New York, pending transfer to prison.

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IRS releases draft tax form for crypto transactions

The US Internal Revenue Service released a draft tax form for reporting crypto transactions, applicable for filings in 2025.

“This early draft release may change based on decisions made in response to comments received,” according to the IRS.

The tax agency invited comments about the draft or final forms and said each message would be reviewed.

Grayscale plans mini Bitcoin ETF with low 0.15% fee

A Grayscale filing with the US Securities and Exchange Commission says it is planning a Grayscale Bitcoin Mini Trust with a 0.15% management fee, which would be the lowest in the market.

The current Grayscale Bitcoin Trust (GBTC) charges a 1.5% fee, which is the highest.

The Franklin Bitcoin ETF (EZBC) is the lowest-cost spot Bitcoin ETF presently with a 0.19% fee.

Crypto market movers

  • Bitcoin is up 0.03% today at $64,986.90.
  • Ethereum is up 0.43% today at $3,170.63.

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