Hints and tips:
...Carlberg said Armanino “never had a client relationship” with either Alameda Research, Bankman-Fried’s crypto hedge fund, or FTX’s larger international exchange business, where the former billionaire is...
...“There is maximum trust between Alameda and FTX and Genesis Block just because we have been working with them for so long,” Genesis Block’s Yang told a podcast in July 2020....
...The biggest holding in FTX’s brokerage accounts is the Grayscale Bitcoin Trust, which has more than doubled this year thanks to its narrower discount to NAV and Bitcoin’s rebound....
...But it was the detail of the relationship between Alameda and FTX that lingered longest....
...Alameda owns more than 22mn shares in Grayscale’s flagship bitcoin trust, the complaint said, and a further 6mn shares of the company’s Ethereum trust, which equate to more than 3 per cent and 2 per cent...
...Genesis loaned them to other investors, notably crypto hedge fund duo Three Arrows Capital of Singapore and Sam Bankman-Fried’s Alameda Research....
...News round-up Hipgnosis shareholders vote against continuation of UK-listed music investment trust (FT) Stellantis to invest €1.5bn for 20% stake in Chinese EV maker Leapmotor (FT) Western Digital and...
...Yet at the same time, FTX employees were losing track of investments and catastrophically allowing Alameda to “borrow” client money to make risky trading bets. It’s great detail....
...FTX debtors are now suing Bankman and his wife, Barbara Fried, quoting statements in which Bankman described FTX and Alameda as “a family business”....
...FTX affiliate Alameda has sued crypto investment company Grayscale and its owner over the structure of their large bitcoin and ethereum trusts, Chinese companies are flocking to Switzerland to raise capital...
...Most of FTX/Alameda’s leadership were devoted effective altruists....
...So if I understand this correctly, and bear with me because there is a lot going on here, FTX and Alameda bought into a Grayscale cryptocurrency investment called a trust....
...“Before appointing someone, speak to collectors you trust, dealers you trust,” says the established dealer and adviser Emily Tsingou....
...If Alameda could redeem 28mn of shares in the trusts and Grayscale reduced its management fees, the stakes would be worth double and close to $600mn, Ray estimated....
...If you do not trust that your money is safe, it's very easy for a bank run to develop. 24 hours later, on November 7, Sam tweets that FTX is fine, and assets are fine....
...On one hand, FTX is known for auto-liquidating customers who fall into the red. This is ostensibly to protect its other customers from this exact type of situation....
...This will require liquidating projects from mostly privately owned developers, many of which are located in lower tier cities. So we’ve discussed what this means for banks and developers....
...Moreover, 90 per cent said they would trust a traditional financial group to act as custodian of their crypto tokens....
...Second, Alameda used client funds to engage in margin trading which exposed customer funds to massive losses....
...One question concerns the relationship between FTX and SBF’s separate crypto investing vehicle, Alameda Research....
...Price movements don’t mean much if the industry isn’t making meaningful progress to regain trust and attract new investors,” he added....
...Days after FTX went bankrupt, Circle said it had minimal exposure to FTX and sister trading firm Alameda Research....
...I have seen so many companies walking towards death because the management is just the trust circle of whoever was in charge.”...
...Crypto was supposed to eliminate the need for trust between people. “Don’t trust, verify” was the mantra. But the entire system now seems to depend on a few big personalities, trusted by thousands....
...Responding to the government’s proposal that Bankman-Fried only be able to use certain monitored devices, Kaplan retorted: “You are putting an awful lot of trust in him aren’t you?”...
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