AT LEAST $1 BILLION OF CLIENT FUNDS MISSING AT FAILED CRYPTO FIRM FTX:
Customer withdrawals had surged last Sunday after Changpeng Zhao, CEO of giant crypto exchange Binance, said Binance would sell its entire stake in FTX’s digital token, worth at least $580 million, “due to recent revelations.” Four days before, news outlet CoinDesk reported that much of Alameda’s $14.6 billion in assets were held in the token.
That Sunday, [Sam] Bankman-Fried held a meeting with several executives in the Bahamas capital Nassau to calculate how much outside funding he needed to cover FTX’s shortfall, the two people with knowledge of FTX’s finances said.
Bankman-Fried confirmed to Reuters that the meeting took place.
Bankman-Fried showed several spreadsheets to the heads of the company’s regulatory and legal teams that revealed FTX had moved around $10 billion in client funds from FTX to Alameda, the two people said. The spreadsheets displayed how much money FTX loaned to Alameda and what it was used for, they said.
The documents showed that between $1 billion and $2 billion of these funds were not accounted for among Alameda’s assets, the sources said. The spreadsheets did not indicate where this money was moved, and the sources said they don’t know what became of it.
And as a result: FTX Customers Face a Long Road to Try to Get Their Money Back. The exchange paused customer withdrawals at its international unit this week; ‘If you can’t trust exchanges, the whole premise of cryptocurrency doesn’t work:’
Gianluca Giuffra, a 25-year-old investor from Lima, Peru, used FTX to trade digital assets and picked the exchange because he thought it was a safe bet.
“Sam looks like a very honest person,” he said, “He doesn’t look like the type of guy that would do crazy stuff behind users’ backs.”
Errr:
This creepy crook became a hero to the ESG grifters & those genuinely dumb enough to believe his BS. @SBF_FTX belongs in jail. pic.twitter.com/ZJ6NDn7H7I
— Rita Panahi (@RitaPanahi) November 13, 2022
“‘Earning to give’ is thinking about which causes, which charities save the most lives per dollar:” Collapsed cryptocurrency exchange FTX had ties to Ukrainian government, WEF, and top Biden adviser.
UPDATE: FTX Founder Sam Bankman-Fried Lists Bahamas Penthouse For $40 Million.