A former partner of Farmington State Bank, the tiny rural bank embroiled in the FTX scandal, is now building the rails for CBDCs in the Middle East and beyond. Their recent activities may finally reveal the true motives behind Sam Bankman-Fried’s and his allies’ use of Farmington, with major implications for the coming Digital Dollar.
Following the collapse of FTX last year, an unusual and mysterious relationship emerged between Alameda Research and Farmington State Bank. Farmington, previously one of the smallest rural banks in the United States, fell under the control of Jean Chalopin in 2020, known as the chairman of Deltec, a key bank for Alameda Research and still a major bank for Tether (USDT), FTX’s trading arm.
Chalopin gained control of Farmington through FBH Corp., where he served as an executive officer. Intriguingly, Noah Perlman, Chief Compliance Officer at Binance and former DOJ and DEA official, was listed as a director of FBH Corp., with no public explanation for his connection to this Chalopin-controlled entity.
Farmington, post-acquisition by FBH Corp., transitioned to cryptocurrency and international payments, rebranding itself as Moonstone Bank. The approval of Farmington by the Federal Reserve was deemed highly unusual, raising questions about its for-profit foreign interests. In March 2022, Alameda Research, affiliated with FTX, injected $11.5 million into Moonstone Bank, more than twice its net worth at the time, as part of a tech-focused bank initiative.
Jean Chalopin stated that Alameda’s investment symbolizes recognition from a leading financial leader, heralding a new era in banking. Notably, regulators in Washington State, where the bank operates, claimed awareness of Alameda’s investment but defended their decision not to intervene.
Beyond Alameda, Moonstone experienced an influx of funds, with deposits surging from around $10 million to $84 million, primarily from four new accounts in 2022, according to a New York Times article. On the day of Alameda’s investment, Ronald Oliveira became Moonstone’s CEO, having previously worked for Revolut, a fintech company financed by Jeffrey Epstein associate Nicole Junkermann. Shortly after, Joseph Vincent, former general counsel for Washington State’s Department of Financial Institutions, joined as legal counsel.
The intricate connections and financial moves surrounding Farmington, Moonstone, and their affiliates raise questions about the intersection of traditional banking, cryptocurrency, and regulatory oversight.
