The Wall Street Journal reviewed the Google documents of former Alameda Research CEO Caroline Ellison through people familiar with the matter, which recorded many of her feelings and thoughts. She seemed to be tortured by taking over as CEO and breaking up with SBF.
Caroline Ellison and SBF Origins
After graduating from Stanford University, Caroline joined the quantitative agency Jane Street and got to know SBF.
SBF started Alameda and recruited Caroline after leaving Jane Street in 2017.
Since SBF claimed in October 2021 that it would focus on FTX operations, it decided to step down as the CEO of Alameda Research and hand it over to Sam Trabucco and Caroline Ellison as CEOs.
And Sam Trabucco announced his resignation in August 2022 and became a consultant. So far, Alameda has only been led by Caroline.
Hates being a CEO and is overwhelmed by work
Caroline wrote in a Google filing in February 2022:
I have always been very unhappy with my job and felt overwhelmed by it. When the day is over, I can't wait to go home and turn off my phone, have a drink and get away from it all.
She mentioned in another document that she does not think she is suitable to manage Alameda, nor is she good at making decisive decisions as a leader.
And Caroline's relationship with SBF also seems to complicate things, and she sometimes worries that SBF thinks she's not good enough:
When SBF is around, I automatically cringe and become quieter and more submissive.
No longer passionate about Alameda due to break up with SBF
Caroline stated in a document to SBF in April 2022 that the breakup with SBF had greatly reduced her enthusiasm for Alameda, and that her days in Alameda were too closely intertwined with SBF, which made her feel very painful.
In response, Caroline refused to contact SBF for a certain period of time, she said:
Keeping you out of reach on purpose is the only way I feel to regain power.
After the breakup, she also seemed to be tired of SBF's celebrity aura, pointing out that she stayed in Alameda, which meant she had to stay with SBF to do things, and kept receiving news about how great SBF was.
FTX Crashes, Caroline: It Feels So Good
Previously, the CFTC indictment mentioned that SBF considered closing Alameda in September last year and invested more than $400 million in another trading institution , Modulo Capital .
Informed sources said that Caroline had expressed her dissatisfaction with the move in her diary, jealous of Modulo and feeling excluded.
When FTX collapsed, the communication between Caroline and SBF was also excerpted from the court records. Caroline said:
I was getting more and more scared and stressed before that day, and now that it's actually happening, it feels great to end it.
It was previouslyreported that Gary Wang and Caroline Ellison, the co-founder and chief technology officer of FTX, have pleaded guilty and may face up to 110 years and 50 years in prison, respectively.
Former engineering director Nishad Singh received a $543 million loan from Alameda Research, although he has no substantive charges.
The above three executives have all been turned into tainted witnesses. SBF’s criminal proceedings will be officially heard in October. Insiders pointed out that the trial process will mainly focus on the continued records of SBF and the other three executives on Signal.
