...By Henry George for TDPel Media.
Patrick Hillmann, the Chief Strategy Officer at Binance, has accused former FTX CEO Sam Bankman-Fried of spreading “fake rumors” about Binance CEO Changpeng Zhao (CZ) to perpetuate his alleged scams at FTX.
Hillmann claimed that Bankman-Fried used his influence to label CZ as an “evil Chinese,” with the intention of denigrating him in the public eye.
Hillmann added that this behavior was common for Bankman-Fried, and was not related to FTX’s decision to sell FTT, its worthless token.
The Antagonistic Relationship between Bankman-Fried and CZ
Bankman-Fried and CZ had a public relationship that was often antagonistic, both before and after FTX filed for bankruptcy in November 2022.
The two exchanges had financial ties, but their relationship was strained, with Bankman-Fried frequently denigrating CZ.
In November, CZ announced plans for Binance to liquidate its position in FTT prior to FTX’s bankruptcy, and hinted that Binance would consider purchasing the competitor.
When the deal fell apart and FTX filed for Chapter 11, the two industry heads traded barbs on social media, with CZ calling Bankman-Fried a “fraudster,” and the former FTX CEO suggesting that CZ lied about the buyout discussions.
The Current Status of Bankman-Fried and Zhao
Zhao remains the CEO of Binance and is active on social media, despite changes to the regulatory environment for crypto firms.
Bankman-Fried, on the other hand, faces 13 federal charges, including those related to bribery and wire fraud.
He has limited Internet access as part of his bail conditions.
Commentary:
The allegations made by Patrick Hillmann are serious, as they suggest that Bankman-Fried intentionally spread false information about Zhao to advance his own interests.
This behavior, if true, is unacceptable in any industry, and particularly in the crypto industry, which is already fraught with suspicion and mistrust.
The antagonistic relationship between Bankman-Fried and Zhao is also concerning, as it highlights the competitive nature of the crypto industry and the lengths to which individuals may go to gain an advantage over their competitors.
Overall, this story underscores the importance of transparency and honesty in the crypto industry, and the need for regulators to hold individuals and companies accountable for their actions.
