Only rumors, user would say that he can't be due to the structure of the bond issuance and his super voting shares, but I've heard 12k and 8k. If we've learned anything, the most entertaining outcome is the most likely
Ya both those numbers are wrong. His borrowed funds are due years from now and a lot of his debt is structured such that he can issue more shares if he wants. Tons of contagion and forced selling associated with FTX. This is the Lehman equivalent. Don’t expect it to stop bleeding any time soon.
Again, rumors, but supposedly Alameda went bust during the LUNA debacle and appears FTX bailed them out with billions in user funds
I'm sure they prefer the term "mishandled" or "lost." But yes, I'd assume that whatever amount they are short is due to stealing client funds. Honestly can't think of a bigger scandal in the industry. Mt. Gox maybe, but I wasn't around back then and crypto certainly wasn't as big/mainstream back then. Creates an awful lot of forced selling and liquidations if I had to guess. Also turns off a ton of investors from the industry generally. If SBF wasn't a dipshit, he would've just swallowed Alameda going bust (assuming he had the funds to do so). Seems like he doubled down instead.
Alameda gets wiped during Luna crash Alameda had a fuck ton of FTT FTX takes that FTT back as collateral, sends customer funds to Alameda to make it all back in a few trades FTX putting floor in on FTT since Luna crash, SBF shills weekly buy backs of FTT on twitter to get people to support price, because otherwise the whole ponzi collapses. CZ connects the dots Market does the rest Sam also floated created a stable coin he was going to issue against their debt - looking for same exit scam Do Kwon did with UST to sell off his Luna
Haha - just rotating, totally not receiving a bunch of worthless FTT for a multi-billion dollar loan to my trading firm Nothing to see here
Because I'm silly and think I can time the market and didn't like the macro setup, I've been hoarding more cash than normal the last few months. Will likely do that through end of year when I get a bonus while buying a few small chunks every 2 weeks. Absolutely no clue where it goes in the coming days/weeks/months because FTX could create a lot of forced sellers. If you believe in the long-term thesis of btc, then there are plenty of indicators suggesting that now is a pretty decent time to buy.
Fair warning, just a guess but: I'd imagine it gets much worse before it get's better. I think there's a lot more to unwind and probably a ton of related stuff will go down, as SBF was involved in / supporting so many different things. Lehman type stuff. Owes a bunch to lots of different people, who now aren't gonna get paid and will go down themselves, etc. In my opinion, the best thing would be to wait a good while before throwing in a significant amount. No one really has any idea what's going on at the moment.
I've been investing all my guilders in tulip bulbs waiting for that market to rebound, but this market set-up also looks really promising.
For those not familiar, Credit Suisse has become a punchline in the industry for how bad their risk controls are to the point where very few firms will do business with them
Actually he was in DC lobbying for tighter controls on decentralized things that take his market share at the same time he was doing all this. Also the entity that is collapsing was outside US jurisdiction, and not usable by US citizens.
Plenty of US citizens were able to use it, just needed to pay someone in another country to do their KYC. Cottage industry
I’d care a lot more about how this impacted the crypto market if my holdings weren’t already nearly worthless.
Tether froze all of FTX's USDT today at request of law enforcement Alameda was swapping USDT for USDC like mad men leading up to that announcement Wonder why hmm
He wasn't the largest donor, was kind of a tell that he said he'd spend up to a billion then didn't donate anything down the stretch. Also he basically just donated to centrists in Dem primaries to fend off progressives and sat out the general. He a broke boy now straight to jail
So Alameda lost a ton on Luna and FTX sent client assets to cover the losses in hopes Alameda would make it back to send back to FTX at some point? But Alameda just lost it all? Is that the general idea of what happened?