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FTX founder Sam Bankman-Fried will be released on a $250 million bond, U.S. Magistrate Judge Gabriel Gorenstein said. Bankman-Fried is facing charges that he stole billions of dollars from his customers to cover losses at his hedge fund, Alameda Research.
He was taken into custody by authorities in the Bahamas and extradited back to the United States.
As part of his release, Bankman-Fried will have to surrender his passport and remain in home confinement at his parents' house in Palo Alto, California. In addition, he will have to wear an electronic monitoring bracelet and undergo mental health counseling.
His defense attorney, Mark Cohen, told the judge that Bankman-Fried's parents would co-sign the bond and post the equity in their home to ensure that their son returns to court to face trial.
Bankman-Fried is due back in court on January 3.
On Wednesday, two of FTX's top executives, Caroline Ellison and Gary Wang, pleaded guilty to fraud charges and are cooperating with the federal investigation.