Home » FTX collapse prompts other cryptocurrency admissions • The Register

FTX collapse prompts other cryptocurrency admissions • The Register

by admin

On Friday, cryptocurrency exchange FTX Trading Ltd. and 134 affiliates filed for bankruptcy protection, with CEO Sam Bankman-Fried stepping down as CEO and handing over control to John Ray III, who also oversaw the liquidation of Enron. rice field.

By optimistic calculations, the collapse of FTX, which was worth $32 billion in January, shocked the entire cryptocurrency industry.

Over the weekend, the trading platform BlockFi Withdrawal suspended“FTX.com, FTX US, and [Bankman-Fried’s cryptocurrency hedge fund] Alameda. “

Another cryptocurrency exchange, AAX, Said “Withdrawals have been suspended to avoid fraud and exploitation.” – The company plans to update its system to protect against fraud and malicious attacks observed after the FTX debacle. said.

and cryptocurrency funds Ikigai said to have lost private investor money on FTX.

Also, Hong Kong crypto platform Hbit Limited, a subsidiary of New Huo Technology, Said We were unable to withdraw $18 million in crypto funds from FTX, of which $13.2 million was in customer assets. [PDF].

According to ReutersFTX secretly transferred or lent $10 billion in customer funds to Alameda Research, of which $1 billion to $2 billion went missing.

Bankman-Fried, apparently in the Bahamas, disputed Reuters’ explanation that the funds had been secretly transferred, but did not provide another explanation or explanation for the allegedly missing funds.

The link between FTX and Alameda Research was revealed by Coindesk on Nov. 2 report Alameda’s large holdings of FTT tokens suggest that the two companies run by Bankman-Fried did not operate separately as was claimed.

Rival Binance CEO Zhao Changpeng Said On November 6th, we reported that we were planning to sell FTT tokens and alluded to the report. This caused the price of FTT tokens to drop, fueling the decline as other holders of these tokens also tried to sell their shares.Unable to cover attempted drawer estimated $6 billionFTX became illiquid – there was not enough cash on hand to meet customer withdrawal requests.

Binance After the Crisis Said The company would buy FTX, but only pulled out, citing “corporate due diligence and recent news reports regarding alleged mishandling of customer funds and investigations by US government agencies.”

FTX is reportedly It is being investigated by the U.S. Securities and Exchange Commission and the Department of Justice. The SEC is also said to be investigating Coinbase Global and Binance.

Pricing around $26 at the beginning of the month, FTT tokens are available now about $1.38. FTX Trading Co., Ltd. filing for bankruptcy [PDF] A list of liabilities in the same range as assets of $10 billion to $50 billion.Over the past 12 months, the cryptocurrency market cap has grown to refused About $2 trillion.

Meanwhile, Bankman-Fried, known as SBF on Twitter, shyly tweet a message A series of one-character posts called “WHAT HAPPENE…”. We expect the ‘D’ to drop soon.

Hagiographic Profiling Deleted post On the website of investment firm Sequoia, Bankman-Fried is described by author Adam Fisher. $213 million put into FTXA piece entitled “Sam Bankman-Fried Has a Savior Complex – And Maybe You Should Too” manages to be carelessly accurate about SBF’s abilities. reduce one’s net worth.

“It’s hard to see SBF in a clear light,” Fisher wrote. After hacking mountains and IQ points to spare, I found something unexpected: poverty. …” ®

Related Posts

Leave a Comment