Tag: FTX

FTX Estate Stakes $122 Million Solana (SOL), Quells Fear Of Token Sell-Off

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The FTX estate has reportedly staked 5.5 million Solana (SOL), worth $122 million. This development comes amidst fears of the defunct crypto exchange liquidating a substantial portion of its SOL holdings and inducing a bearish trend. FTX Renews Bullish Interest In Solana With Latest Move On October 14, blockchain tracking platform Whale Alert reported that 5.5 million SOL had been transferred between two unknown wallets. Thereafter, a crypto analyst with the X username ashpool soon identified the FTX exchange to be behind this whale transaction. Using data from gelato.sh, ashpool…

Insights Into Alameda’s Financial Stability In FTX Trial

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The trial against FTX co-founder Sam Bankman-Fried took an intriguing turn as Zac Prince, the CEO of defunct crypto lender BlockFi, provided testimony in a Manhattan federal courtroom.  Prince’s appearance provided valuable insights into the intricate relationship between BlockFi, FTX, and Alameda Research. BlockFi’s Bankruptcy Rooted In Alameda And FTX According to a Bloomberg report, Prince revealed that BlockFi had substantial exposure to Alameda and FTX, estimated at around $1 billion, at the time of BlockFi’s failure in November 2022.  Prince asserted that if the loans to Alameda were still…

Caroline Ellison desired to step down but feared a bank run on FTX

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Ellison spent over ten hours testifying during Bankman-Fried’s trial this week, notably entering through the front doors of the federal court in Manhattan, joined by her attorneys. According to Ellison, she had not seen Bankman-Fried since the crypto empire failed in November last year. But their communication eroded even months before. In April 2022, their romantic relationship came to an end, and Caroline started avoiding meetings with Bankman-Fried, even though they still lived in the same luxurious apartment in the Bahamas. Alameda’s growing liabilities with FTX and the breakup made…

FTX founder Sam Bankman-Fried’s trial day 8: Recap 

The second week of Sam Bankman-Fried’s criminal trial concluded with BlockFi CEO blaming FTX and Alameda for its bankruptcy.  FTX founder Sam Bankman-Fried’s historical trial saw the end of its second week today. Throughout this week, the major key witness was Caroline Ellison, former CEO of Alameda Research and ex-girlfriend of SBF.  Ellison testified how Alameda was allowed to take unlimited loans from FTX’s customer funds, how Bankman-Fried used funds for political donations, his failed pursuit of Saudi investment and how he bribed Chinese officials.  Yesterday, Zac Prince, former CEO…

Sam Bankman-Fried’s legal team moves to pursue theory on FTX terms of service

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Lawyers representing former FTX CEO Sam “SBF” Bankman-Fried are seeking to bring up certain information from the crypto exchange’s terms of service during witness testimonies. In an Oct. 12 filing in United States District Court for the Southern District of New York, SBF’s legal team said the motion was aimed at addressing “address certain evidentiary issues” in the ongoing criminal trial. The issue at stake involves competing theories by prosecutors and the defense team over the alleged misuse of FTX funds. According to Bankman-Fried’s lawyers, prosecutors intended to call witnesses and…

THORswap back online 6 days after halt over detecting FTX funds

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Decentralized exchange (DEX) THORSwap has resumed operations after briefly going into maintenance mode due to detecting illicit funds on its platform. THORSwap took to X (formerly Twitter) on Oct. 12 to announce that the platform is back online. The platform asked users to resume their regularly scheduled swapping of over 5,500 assets across 10 blockchains from their own self-custody wallets. The protocol initially halted swaps on its platform on Oct. 6 as an immediate measure to counter the potential movement of illicit funds. THORSwap acknowledged that its DEX platform encountered…

Secret Alameda recording reveals exact moment staff learned about FTX deposits

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A 75-minute secretly recorded audio clip of Caroline Ellison has revealed the exact moment 15 former Alameda Research staff found out the hedge fund was “borrowing” user funds from FTX.  The full-length recording, obtained by Cointelegraph, provides fresh insights into the palpable tension felt by Ellison and Alameda staff in the lead-up to FTX’s collapse. “Alameda was kind of borrowing a bunch of money via open-term loans and using that to make various illiquid investments. So like a bunch of FTX and FTX US equity […] Most of Alameda’s loans…

FTX lost $100m in Terra/UST crash

Defense attorney Mark Cohen cross-examined former Alameda Research CEO Caroline Ellison after the witness said Sam Bankman-Fried cajoled her into making misleading social media statements and ordered loan repayments funded with stolen customer crypto. Witness testimony on day six revealed tenuous months leading to FTX’s collapse marked by subpar corporate practices and buried secrets.  Not only did Bankman-Fried oversee fake financial records sent to lenders like Genesis and hide FTT’s hollow value, per Ellison’s telling, FTX and Alameda also loaned at least $5 billion to select employees for speculative investments…

Changpeng Zhao’s tweet ‘contributed’ to collapse of FTX, claims Caroline Ellison

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According to former Alameda Research CEO Caroline Ellison, a single tweet from Binance CEO Changpeng Zhao (CZ) contributed to the failure of cryptocurrency exchange FTX. Testifying in Sam “SBF” Bankman-Fried’s criminal trial on Oct. 12, Ellison reportedly placed part of the blame for the collapse of FTX on CZ’s social media activity. In the now famous tweet on X (formerly Twitter) from Nov. 6, 2022, CZ announced that Binance would be liquidating its holdings of FTX Token (FTT) “due to recent revelations that have came [sp] to light”. As part…