Home » Sam Bankman-Fried launches a Substack to defend himself over FTX’s collapse

Sam Bankman-Fried launches a Substack to defend himself over FTX’s collapse

by Icecream
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Transfer over, Twitter Areas, Sam Bankman-Fried has a brand new platform to opine on concerning the collapse of his cryptocurrency empire.

The founder and former CEO of failed crypto trade FTX, Sam Bankman-Fried, often known as SBF, launched a e-newsletter by way of Substack on Thursday. The primary and solely put up right now, titled FTX Pre-Mortem Overview, is a rundown of SBF’s model of occasions that led to the demise of his firm.

This put up marks the primary time Bankman-Fried has spoken out since his arrest within the Bahamas on Dec. 12. SBF is going through a number of felony prices, starting from wire fraud to cash laundering. 

For many who have listened to the a number of audio interviews that Sam Bankman-Fried gave to crypto influencers on Twitter Areas previous to his arrest, the small print on this put up will sound fairly acquainted. SBF continues to assert that he is unaware of what was occurring at his crypto hedge fund, Alameda Analysis, and the improper switch and use of buyer funds from FTX to Alameda.

The pinnacle of Alameda Analysis on the time was SBF’s ex-girlfriend Caroline Ellison, who accepted a plea deal and has agreed to cooperate with prosecutors within the case in opposition to Bankman-Fried.

SBF claims that Alameda Analysis was a sufferer of downturns out there and ultimately “Alameda’s contagion unfold to FTX.” SBF cites different just lately failed crypto companies, like Celsius and Voyager, in an try to point out that this was an industry-wide subject and never distinctive to FTX.

Bankman-Fried additionally continued to criticize FTX’s authorized counsel, Sullivan & Cromwell. SBF has maintained that he may have continued to boost liquidity which might have saved FTX from failure and made its clients complete. Nonetheless, in keeping with the previous FTX CEO, Sullivan & Cromwell pressured him to file for Chapter 11 chapter as an alternative.

FTX was as soon as one of many largest crypto exchanges on this planet. Shortly earlier than its collapse, FTX was valued at $32 billion. In November, stories from Coindesk and impartial crypto investigator Mike Burgersburg revealed that FTX’s hedge fund, Alameda Analysis, seemed to be bancrupt. On account of this information, competing crypto trade Binance offered off its holdings of FTX’s personal crypto token, FTT. FTX clients adopted, with billions of {dollars} being withdrawn from the trade.

In keeping with the inventory web site, Uncommon Whales, SBF initially launched his Substack with a paid subscription, asking readers for both $8 a month, $80 a 12 months, or $150 for a “founding” yearly subscription. The fee plans have since been eliminated fully from SBF’s Substack.

Bankman-Fried is presently out on a $250 million bond, awaiting trial at his dad and mom’ residence per the situation of bail.

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