Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
💰 Buffett reveals a $6.7B stake in Chubb. Copy the full portfolio for FREE with InvestingPro’s Stock Ideas toolCopy Portfolio

FTX and Alameda likely colluded from the very beginning: Report

Published 11/17/2022, 03:00 PM
Updated 11/17/2022, 04:40 PM
FTX and Alameda likely colluded from the very beginning: Report

According to a new report published by blockchain analytics firm Nansen on Nov. 17, bankrupt cryptocurrency exchange FTX was allegedly intertwined with that of crypto trading firm Alameda Research from the very beginning. Both entities were created by crypto businessman Sam Bankman-Fried, who is now being considered for extradition by U.S. authorities for his role in the collapse of the exchange.

Based on available on-chain evidence, Nansen identified a series of wallets placing Alameda as one of the earlier liquidity providers for FTX in May 2019. Of the initial 350 million in its native token FTT's supply, 27 million allegedly ended up on Alameda's FTX deposit wallet, while the two firms controlled 86% of the supply combined. The setup meant very little FTT was circulating in the open market, making the tokens extremely susceptible to price manipulation.

Continue Reading on Coin Telegraph

Latest comments

I'm not "dissing" crypto traders: you guys go ahead and keep trading those tokens...I could care less. If you're paying commissions to trade crypto I'd say that you're a special kind of stupid, though. If it gets you out of the order flow then pay those commissions, brother! What you really DON'T need is a person to show you how to trade nothing...er, crypto I mean. There are plenty of trading teachers on Youtube and elsewhere. Their specialty is teaching people how to deliver their money to the market while they trade NOTHING hoping to win SOMETHING.
I think we're going to find that SBF was an average young fella with a baby-face and a very, very bad haircut. His success - again, this is what I think - will eventually be recognized as the result of a so-so solution (the FTX exchange) to the problem of accounting for a lot of...nothing. The value in crypto is blockchain, the value in FTX (and other exchange solutions) is what it can do in the future with REAL assets...not...whatever "crypto" is.
I think the sad fact that people will pee themselves to avoid is that SBF is a perfect example of the best that our government education system can produce.
My understanding is that the guy who unraveled the Enron books is working on FTX and Alameda. One week into his examination and he’s saying SBF’s accounting prowess is the worst he’s seen. I think it will be shown that SBF is worse (apparently) than a crook: he will be proven incompetent enough to bedazzled equally incompetent people, like Bill Clinton and Tony Blair.
I’m not sure collusion is the right word, given boy genius SBF is one person, and given he ran both Alameda Research and FTX.
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.