Former Alameda Research co-CEO Sam Trabucco has decided to give up ownership of two luxury apartments in San Francisco worth $8.7 million, a 53-foot yacht, and his claims totalling $70 million against the now-defunct crypto group.
Recently released documents show that Trabucco’s choice to forfeit these high-value assets is part of a broader strategy to resolve his disputes linked to FTX’s contentious bankruptcy proceedings.
The two San Francisco apartments, celebrated for their prime locations and opulent amenities, had come to represent Trabucco’s past success in the booming crypto industry.
Trabucco was one of Bankman-Fried’s closest comrades in his blockchain enterprise. As co-CEO of Alameda, he led SBF’s hedge fund alongside Caroline Ellison and was part of FTX’s top execs.
Additionally, the yacht, valued at around $2.5 million, highlights the extravagant lifestyle he enjoyed before the market’s sharp decline. As the repercussions of FTX continue to reverberate through the cryptocurrency sector, Trabucco’s decision to let go of these assets reflects a wish to distance himself from the controversies surrounding the exchange and its associates.
The firm’s tight ties to FTX came into sharp focus after FTX’s blowup. Trabucco had stepped down as co-CEO this past August, just months before FTX and Alameda blew up. “Just bought a boat,” he’d said when announcing his resignation.
He is one of several prominent figures under scrutiny following FTX’s downfall, which has left many investors and customers facing substantial financial losses.
Alameda’s joint boss mysteriously left the company in August 2022, months before Bankman-Fried’s firms filed for bankruptcy in November.
SBF was arrested and tried in a Manhattan court. Alameda/FTX tops shots like Ellison, Gary Wang, and Nishad Singh signed plea deals with federal prosecutors in exchange for judicial leniency.
FTX has since filed several bankruptcy lawsuits to claw back cash for its creditors. Recently, it sued Binance and its former CEO Changpeng Zhao for fraud and market manipulation, contending that a 2021 share buyback deal between the companies had been fraudulent and furthered FTX’s distressed financial situation.
