“I have not stolen any funds and certainly not hidden billions”: Fallen FTX founder Sam Bankman-Fried brands the crypto giant’s implosion as “another market collapse” and claims sister company Alameda has them in the damning new substack positions drawn in
- In a Substack post, Sam Bankman-Fried blames Alameda for the collapse of FTX
- He suggests his collapsed company could be salvaged in a post on Thursday
- He was “heavily armed” to appoint a bankruptcy CEO who filed for bankruptcy, he says
Sam Bankman-Fried has published a 2,000-word blog post defending and explaining the collapse of his crypto exchange FTX, which he attributes to sister firm Alameda Research, which had a “contagion.”
In a Substack post Thursday morning titled “FTX Pre-Mortem Overview,” Bankman-Fried claims he was “heavily armed” to appoint a new CEO who filed for bankruptcy and that with more time he could have cashed out clients .
“I believe that if FTX International had been given a few weeks, it probably could have used its illiquid assets and equity to raise enough funding to essentially make clients complete,” he wrote.
He also suggested he might be able to save the collapsed company as early as now, saying “if FTX International were restarted there was a real possibility that customers would be essentially restored.”
Bankman-Fried secretly transferred $10 billion in client funds from FTX to trading firm Alameda Research. Much of that money has disappeared, and he estimates he lost investors between $1 billion and $2 billion.
Sam Bankman-Fried a published a 2,000-word blog post defending and explaining the collapse of his crypto exchange FTX
“I have not stolen any funds, and I certainly have not hidden billions,” Bankman-Fried wrote in Thursday morning’s Post.
‘Almost all of my assets were and still are usable to hedge FTX clients. For example, I’ve offered to donate nearly all of my personal shares of Robinhood to clients.
Nonetheless, he concedes that FTX’s illiquidity and inability to pay out clients is related to a turbulent crypto market that Alameda suffered in 2022.
“Alameda lost approximately 80 percent of its wealth over the course of 2022 due to a series of market crashes,” Bankman-Fried wrote. ‘FTX was impacted by the decline of Alameda.’