Ex-Mercedes crypto sponsor jailed for 25 years and forced to forfeit a whopping $11 Billion in assets

FTX was Mercedes's sponsor for around 14 months from September 2021 onward.

Ex-Mercedes crypto sponsor jailed for 25 years and forced to forfeit a whopping $11 Billion in assets

Toto Wolff (via IMAGO)

The Mercedes F1 team is one of the biggest names in the world of motorsports. It always has a plethora of sponsors on its cars but there was once one sponsor, with whom things didn’t turn out well. And now the man behind the sponsor has been jailed for 25 years.

In September 2021, Toto Wolff and Mercedes signed a deal with global cryptocurrency firm FTX that was due to last for multiple seasons. Its branding featured on the Brackley-based team’s cars, drivers’ overalls, trucks, garages, and hospitality.

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However, fourteen months later, ahead of the 2022 Brazilian Grand Prix, Mercedes suspended its partnership with FTX as it was announced that the crypto company was filing for bankruptcy and its CEO, Sam Bankman-Fried had resigned. He has now been convinced of being involved in multiple wire frauds and conspiracy to launder money, it is being deemed as one of the ‘largest financial frauds in history.’

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This week, Bankman-Fried was sentenced in a Manhattan federal court to 25 years imprisonment. As per racingnews365, he was also ordered to forfeit $11 billion in assets.

Toto Wolff’s take on FTX’s mega collapse

So far, a lot has been made about FTX’s journey in the unpredictable world of crypto. Mercedes boss, Toto Wolff, has taken the time to talk about the once crypto giant’s sorry state as well.

Toto Wolff
Toto Wolff (via IMAGO)

The firm was once valued at a whopping $32 Billion before its meteoric collapse.

We considered FTX because they were one of the most credible, solid, and financially sound partners out there, and out of nowhere, you can see that a crypto company can be on its knees and gone in one week. That shows how vulnerable the sector still is. hat shows how vulnerable the sector still is. It’s unregulated, and I believe it needs to find its way into regulations.
Toto Wolff said in an interview with racingnews365

The Austrian after FTX’s collapse has realized how unpredictable the world of cryptocurrency really is. Moreover, seeing how things have unfolded for the once-Mercedes sponsor, Wolff genuinely believes that cryptocurrency has to be brought under some kind of regulation soon.

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