Key Points:
- Caroline Ellison, the star witness in the trial against Sam Bankman-Fried, highlighted FTX gender discrimination and unequal rewards.
- Ellison received smaller rewards compared to her male colleagues despite taking similar risks.
Caroline Ellison, the key witness in the trial against Sam Bankman-Fried, the former CEO of FTX, provided insight into FTX gender discrimination during her testimony.
Unlike male colleagues who turned against Bankman-Fried, Ellison took similar risks but received significantly smaller rewards. Despite holding only a half-a-percentage-point stake in FTX and no equity in Alameda Research, she discovered that Bankman-Fried considered granting her equity too complex.
FTX Gender Discrimination and Unequal Reward
On the other hand, Gary Wang, the former CTO of FTX, held a 16% stake in FTX and a 10% stake in Alameda, while Nishad Singh, the former director of engineering at FTX, owned 5% of the company. Bankman-Fried himself had the majority share in Alameda and over half of FTX.
According to Fortune, Ellison’s compensation was considerably lower compared to her male counterparts. Despite her base salary of $200,000 and substantial bonuses, including a $20 million windfall in 2021, half of which she invested in a startup, her compensation was far below that of Bankman-Fried, Singh, and Wang.
During her testimony, Ellison disclosed that Bankman-Fried repeatedly disregarded her concerns about risk management and pushed for risky actions that she cautioned against. She emphasized that Bankman-Fried instructed her to overlook significant risks Alameda Research took.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Source: https://coincu.com/222780-ftx-gender-discrimination-in-sam-inner-circle/