Tom Dwan's Knowledge of FTX Corruption Sparks Controversy

The cryptocurrency exchange FTX collapsed due to liquidity issues, leading to bankruptcy. This event sent shockwaves through the crypto world, affecting many, including poker players with FTT (FTX’s crypto-token).

The scandal deepened when it was revealed that Daniel S. Friedberg, a lawyer involved in the Ultimate Bet and Absolute Poker scandals, was the regulatory compliance officer at FTX. Friedberg was caught on tape along with 1994 WSOP Main Event champion, Russ Hamilton, trying to limit the damage to the company by offering lies and cover stories. Hamilton held the back-door key that allowed him to view everyone’s cards and he used it to scam more than $20 million from fellow players in a four-year scam from 2004 to 2008. Annie Duke was allegedly a chief beneficiary of the superuser account login passed around by Hamilton.

Tom Dwan was among those who knew about the corruption at FTX before it was publicly known. Dwan was among those stung by the cheating scandal at Ultimate Bet and Absolute Poker. Tom Dwan had a YouTube discussion with Sam Bankman-Fried, the founder of FTX, last year.