Sam Bankman-Fried ran a $32 billion crypto exchange, then lost all the money and now is sitting in a Bahamian jail, facing several fraud charges.
Legal and ethical questions are now being asked about others around his company, including his parents, both Stanford professors.
With him now in custody, his former company, FTX, and his reputation is being discussed in New York and in his hometown of Palo Alto.
"I would say SBF eclipses what Elizabeth Holmes and Sunny Balwani did to their investors combined,” said Aron Solomon, legal analyst for Esquire Digital.
But even as Bankman-Fried gets set to defend himself, his parents are also in the legal spotlight.
No charges filed yet, but under scrutiny for any involvement in FTX, financial or otherwise.
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At least one legal analyst predicting New York authorities will come after them next.
"Putting charges against his parents and endangering, perhaps justifiably, their academic and professional careers,” said Solomon.
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As this plays out, Bankman-Fried's mother has resigned from the board of a political donor network. His father has cancelled his upcoming class at Stanford, and has hired a defense lawyer.
