Former FTX president Sam Bankman-Fried (C) shows up to get in a plea prior to United States District Judge Lewis Kaplan in the Manhattan federal court, New York, January 3, 2023.
Timothy A. Clary|AFP|Getty Images
His post offers his point of view on the collapse of FTX and his hedge fund Alameda Research, and consists of supposed FTX and Alameda monetary metrics, caveated as “JUST AN ESTIMATE.”
In the start of 2022, for instance, Bankman-Fried states he approximated Alameda’s overall net possessions at $99 billion. By October, he thought that his hedge fund’s net possessions had actually been up to $10 billion. He pinned the collapse on a more comprehensive market recession, even comparing his FTT token’s efficiency to that of Tesla, bitcoin and the Invesco QQQ, an ETF that tracks the Nasdaq 100
Bankman-Fried compared the efficiency of his exchange’s token versus the Invesco QQQ and other possessions in his Substack post.
Bankruptcy legal representatives, federal district attorneys and regulators have actually opposed a lot of the claims Bankman-Fried made in his post.
Regulators and district attorneys declare that neither FTX nor Alameda were entirely genuine services however were instruments of Bankman-Fried’s scams.
FTX’s restructuring officers have stated business dealt with substantial and mysterious money shortages after FTX declared insolvency in November.
The case versus Bankman-Fried was built with the support of his long time executives Caroline Ellison and Zixiao “Gary” Wang, both of whom pleaded guilty to charges of scams. Bankman-Fried’s post did not acknowledge their cooperation with federal probes.
In his post, Bankman-Fried likewise kept in mind that other crypto companies have actually been “blown out.” He did not acknowledge that 3 of those companies– BlockFi, Genesis and Gemini– presumably suffered due to the fact that of FTX’s collapse.
Many of his claims were ones he’s made in the past, consisting of that FTX United States stayed solvent, that Alameda’s liquidity crisis was not due to misbehavior however due to the fact that of more comprehensive market turbulence, which FTX International and Alameda were entirely genuine, lucrative services.
The previous FTX CEO likewise indicated aNov 6 tweet from Binance’s Zhao as the conclusion of an “extremely effective months-long PR campaign against FTX.”
Zhao has actually rejected those claims. “FTX eliminated themselves […] due to the fact that they took billions of dollars,” the Binance CEO tweeted in December.
At completion of the post, Bankman-Fried doubled down. “All of which is to say: no funds were stolen,” the 30- year-old composed.
