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personpersonChristian DrappiChristian DrappiFormer Alameda Research software engineer who wrote code supporting the firm's cryptocurrency trading.← All People
WitnessAlameda Research

Christian Drappi

Former Alameda Research software engineer who wrote code supporting the firm's cryptocurrency trading.

179 lines·5 proceedings·1 mention

About

Christian Drappi testified for the government on Day 7 about his work as an Alameda software engineer and his observations of the firm's leadership. He said that after Samuel Bankman-Fried left the Alameda CEO title, Bankman-Fried remained in contact with employees, retained access to internal trading data, and weighed in on large trades.

Drappi recounted Caroline Ellison's November 8 explanation that Alameda's borrowing of FTX customer deposits had produced a shortfall. He authenticated six audio excerpts and corresponding transcripts from a November 9 all-hands meeting, where he said Ellison identified Bankman-Fried, Gary Wang, Nishad Singh, and herself as knowing about the use of customer deposits. Drappi testified that he had not previously known Alameda borrowed customer deposits to repay loans, was shocked by the disclosure, and resigned within 24 hours.

Cross-examination tested whether Bankman-Fried was the only person with access to Alameda's pointer data system. After objections that some questions exceeded the scope, mischaracterized Drappi's testimony, or failed to identify the relevant entity, the court required greater precision and Drappi identified other people with access. During direct examination, the court also sustained foundation objections, struck his answer about the co-CEOs' reporting line, and permitted questions focused on his personal observations. The court instructed jurors that the admitted audio controlled over any differences in the transcripts and that other recorded voices could be considered for context, not for the truth of their statements.

Trial Record (5)

FederalFederal Criminal TrialOct 3, 2023 – Nov 2, 2023Called by prosecution

Christian Drappi testified for the government about his work as an Alameda software engineer, Bankman-Fried's continuing involvement with Alameda, and Ellison's statements during the November 2022 crisis. He authenticated recordings of an all-hands meeting and said he resigned within 24 hours.

Day 7

CrossChristian Drappi — CrossChristian DrappiChristian R. Everdell5highlights42lines spoken

Summary

Cross-examination limited Drappi's knowledge of Bankman-Fried's pointer use, identified other possible users, narrowed the audience and tone of Caroline's November remarks, and ended with admission and playback of Defense Exhibit 415B.

Highlights (5)

objectionDuring contested questioning about the pointer system, the court overruled an initial scope objection, sustained objections to imprecise characterizations, and Drappi ultimately identified Gary Wang, Nishad Singh, and potentially Ryan Salame as other people at FTX who had access.Open in transcript →
Quote“I know he requested access. For me, I wasn't watching him when he accessed it.”— Christian DrappiDrappi distinguished his knowledge that Bankman-Fried requested pointer access from any personal observation of what he accessed.Open in transcript →
Quote“To my knowledge, Gary Wang, Nishad Singh, and potentially Ryan Salame.”— Christian DrappiDrappi qualified his identification of other people at FTX who had pointer access.Open in transcript →
testimony highlightDrappi clarified that Caroline's November 8 remarks were directed to the people in Alameda's row rather than the entire office floor, and he described the proposed Binance acquisition as shocking because Binance was a rival and leading exchange.Open in transcript →
Show all 5 highlights
testimony highlightDrappi estimated that about 15 people attended the November 9 all-hands meeting in person and about 10 joined remotely, and he characterized Caroline's delivery as matter-of-fact for most of the remarks.Open in transcript →