Tag Archives: FTX Exchange

A new report by the Wall Street Journal claimed that the disgraced founder and former CEO of FTX took over 70% of the funds gathered from a funding round in October last year. He used the Binance buyback deal to justify his actions. CryptoPotato reported the fundraising round in October 2021 when FTX closed a $420.69 million Series B-1, bringing its total valuation to $25 billion at the time. Aside from the unusual and meme amount, the round saw the participation of exactly...

The enterprise blockchain provider Ripple wants to strengthen its presence in the European Union by seeking to secure a virtual asset service provider (VASP) license from Ireland’s central bank. Ripple’s General Counsel Stuart Alderoty and CEO Brad Garlinghouse also gave their two cents on FTX’s fiasco, arguing that global regulators should impose comprehensive rules on the sector to prevent future adverse events. Focusing on Europe In a recent interview for CNBC, Alderoty...

After Sam Bankman-Fried’s crypto empire imploded last week, exchanges are rushing to soothe the nerves of infuriated investors. Digital banking firm, Revolut is the latest one to distance itself from FTX. In an emailed statement, Revolut told users that it did not have “material exposure” to the bankrupt crypto exchange. Revolut Monitoring the Situation The London-based company said it is still monitoring the situation while reminding the volatility associated with digital...

As the public opinion of former crypto hotshot Sam Bankman-Fried continues to wane, criticism aimed at him and his business is only growing fiercer. Jesse Powell, Kraken’s current CEO, who will be stepping down shortly, already criticized Sam Bankman-Fried for his attitude and hubris. According to Powell, SBF acted like he knew everything despite being late to the party and spent far too much money currying political favor. Although Powell will be retiring from the position...

After the previous week, which saw the deterioration of one of the largest crypto exchanges, this one was significantly less volatile in terms of price movements but quite eventful for reports popping left and right that revealed intriguing information regarding SBF, FTX, Alameda, and other involved parties. Let’s start with the price developments. The primary cryptocurrency had already suffered a lot from the FTX meltdown, dropping from over $21,000 to a two-year low of...

One week after the implosion, legal woes for FTX have only intensified. According to the latest court filings from the company’s Bahamian liquidators, there are signs of “serious fraud and mismanagement” on the bankrupt crypto exchange’s part. The document filed in the US Bankruptcy Court of the Southern District of New York revealed that the Joint Provisional Liquidators’ findings to date indicate that FTX may have committed serious fraud and mismanagement. The filing seeks...

Changpeng Zhao – CEO of the world’s leading crypto exchange Binance – advised Sam Bankman-Fried to refrain from dropping misleading messages on Twitter and instead focus on his colossal problems with FTX. In one of his announcements, SBF referred to a mysterious “sparring partner” who could have played a role in the exchange’s collapse, and some estimated this might be Zhao. The latter said only a “psychopath” could come up with such a tweet, claiming the industry is not a...

Michael Burry, the fund manager and investor who became popular from the “The Big Short” movie, believes gold will shine as investors seek safety from crypto risks due to the catastrophic collapse of Sam Bankman-Fried’s FTX.  Burry is notoriously famous for shorting the U.S. housing market and profiting from the 2008 financial crisis. He also netted millions from investing in GameStop in 2019 before the Reddit frenzy and meme stock season in January 2021.  Big Short Investor:...

The revelations surrounding FTX’s downfall continue with full force. Now, according to the most recent court filings, Alameda Research – SBF’s trading firm, had some privileges. The trading firm of Sam Bankman-Fried, Alameda Research, was secretly exempted from some aspects of the auto-liquidation protocol of FTX. It’s worth noting that SBF was also the acting CEO and founder of FTX. This is just a drop in the stream of information that was made public through the recent...

John J. Ray III may have unwounded major corporate failures, but in over four decades of legal and restructuring experience, he claims to have never seen such “unprecedented” management failures as in the case of the bankrupt FTX cryptocurrency exchange under Sam Bankman-Fried’s tenure. In the latest filing to federal bankruptcy court, FTX’s new chief restructuring officer said, “Never in my career have I seen such a complete failure of corporate controls and such a complete...