In a motion filed on October 10, legal representatives for Sam "SBF" Bankman-Fried have requested that the court permit the introduction of evidence demonstrating favorable investment outcomes, including an investment in the AI (artificial intelligence) startup Anthropic.
This request comes in response to a request from U.S. prosecutors on October 9, who sought to prevent SBF's legal team from making arguments about the recovery of FTX client funds through investments in Anthropic.
Bankman-Fried made a $500 million investment in the AI startup in April 2022, shortly before the FTX exchange's collapse. The U.S. Department of Justice (DOJ) intends to present evidence indicating that the investment was funded using fraudulent funds derived from customer deposits.
SBF's attorneys argue that the government's stance "mischaracterized" the relevance of the evidence and have "respectfully" requested the court to reject the government's motion.
They further asserted that the government had brought up Alameda venture capital investments several times during the trial, describing them as "risky" and "loss-making." In response, the defense seeks permission to present evidence of positive investment outcomes, such as Anthropic's recent substantial investments of $4 billion from e-commerce giant Amazon and $100 million from South Korean telecommunications giant SK Telecom.
The lawyers representing SBF clarified that the defense does not object to the court providing "appropriate limiting instructions" on how evidence regarding AI investments could be employed.
The criminal trial of the former CEO of FTX continues into its second week as of October 11. SBF is facing seven charges of conspiracy and fraud related to FTX's downfall, to which he has entered a not guilty plea.
