Caroline Ellison, a close associate of Sam Bankman-Fried, has admitted to aiding in the embezzlement of billions from FTX customer assets. During the fraud trial, Ellison testified that she constantly lived in fear that the truth about the cryptocurrency exchange would be exposed. She expressed immense relief when FTX eventually collapsed, as it lifted the overwhelming dread that had consumed her. Ellison, the former co-CEO of Alameda Research, grew emotional as she described the days leading up to FTX's declaration of bankruptcy in November 2022. While she acknowledged feeling guilty about the harm caused to customers and employees, she tearfully confessed that she was relieved she no longer had to lie. Prosecutors claim that Bankman-Fried used customer funds to support his hedge fund, acquire real estate, and contribute to political campaigns. The sudden collapse of FTX left financial markets in shock and destroyed Bankman-Fried's reputation as a responsible figure in the crypto industry. Ellison also revealed that Bankman-Fried instructed her to manipulate Alameda's balance sheets to deceive lenders. Additionally, she recounted his directive to repay loans by utilizing FTX's line of credit. Ellison is one of three former members of Bankman-Fried's inner circle who have pleaded guilty to fraud and are cooperating with the Manhattan U.S. Attorney's Office. While Bankman-Fried pleads not guilty, his defense lawyer questions the intentions of the cooperating witnesses and argues that they are distorting his past decisions. Ellison further disclosed that Bankman-Fried aimed to present himself as a brilliant and unconventional founder. She mentioned his interest in selling a stake in FTX to the Saudi Arabian Crown Prince and his plan to increase market share by prompting regulators to crack down on rival exchange Binance. When questioned about this, Ellison claimed that regulators had informed Bankman-Fried about an impending Binance crackdown. The trial is expected to last up to six weeks, with more witnesses, including former FTX engineering chief Nishad Singh, set to testify.