Terrence Duffy of CME Group called Sam Bankman-Freed a fraud

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According to the businessman, he had a conversation with the head of FTX, during which the head of CME offered to buy his franchises for $30 million.

CEO of the world's largest exchangeCME Group derivatives manager Terrence Duffy recounted his meeting with FTX CEO Sam Bankman-Fried last March. 

Duffy suggested checking what was going on andIn FTX papers, everything works as it should. This was a condition of the deal. If necessary, the businessman was ready to become a risk manager. However, Bankman-Fried, says Duffy, categorically refused. For which he received an accusation of fraud from the businessman.

“You’re a fraud. You’re an absolute fraud.” – @CMEGroup CEO Terry Duffy recalls his encounter with Sam Bankman-Fried last March.

Listen to the whole interview with Terry, @RiskReversal & @GuyAdami: https://t.co/oMUrL1U90u pic.twitter.com/qZcojWQquU

— On The Tape Podcast (@OnTheTapePod) November 19, 2022

According to the head of CME Group, after this meetinghe testified before Congress just as FTX was seeking approval from the U.S. Commodity Futures Trading Commission (CFTC) to obtain a derivatives clearing license. Congress refused to listen to the businessman.

"I told them you could lose 85%up to 95% of its value overnight, and Bankman-Fried will not stop at just cryptocurrencies. I said he wanted the FTX model to be rolled out across all asset classes and stressed that it would lead to a biblical disaster,” Duffy recalls.

Back in May, the businessman wrote an entire article in which he argued that the FTX development model poses a significant risk to the stability of the market and its participants.

Earlier it became known that the amount of debt obligations of FTX to the 50 largest creditors is $3.1 billion. However, the crypto exchange may have much more creditors.