- FTX founder Sam Bankman-Fried admits mistakes and apologizes to users publicly.
- Followers and foes leap at his Twitter handle to share views on his public pardon.
- Binance backs out on the FTX deal after seeing FTX’s balance sheets.
FTX founder Sam Bankman-Fried (SBF) publicly takes a stand on Twitter to admit, “I f***** up twice” to all the mistakes he made that led to the insolvency of his exchange, and the dip in the market causing a loss to his investors and users, including himself.
In a nutshell, Binance has withdrawn from acquiring FTX, and investors have also written off the sinking exchange company. Moreover, Alameda Research ceased trading, and FTX is now in need of liquidity. Amongst all this hubbub, ‘the biggest thing’ Bankman-Fried did is publicly acknowledged his ‘f***** up’ errors on Twitter.
In a Twitter thread, FTX CEO Bankman-Fried rehashed the most thorough justifications for the unanticipated cataclysm that has ruined his company. Bankman-Fried stated:
I f***** up, and should have done better. I also should have been communicating more very recently.
The CEO clarified that only FTX’s foreign subsidiary is experiencing issues that do not fall under US banking laws. FTX International’s overall holdings, according to Bankman-Fried, are enough to pay off its debts. Due to liquidity issues, users are unable to withdraw money from the exchange currently.
A takeover by Binance would have provided FTX liquidity to cover withdrawals, but the deal failed. Binance CEO Zhao withdrew the FTX deal due to recently revealed track records and news reports on mismanaged investor funds.
Bankman-Fried’s trading firm Alameda Research was also intertwined with FTX. According to Bankman-Fried, Alameda has ceased its trading currently. Additionally, he explained there are still FTX users who are unable to retrieve their funds, and that FTX is trying to raise money to assist them.
The FTX’s founder felt the company’s future is uncertain and that if it continues to operate, he vows to prioritize radical transparency.
The former tech billionaire concluded, on the sorry state of affairs: “and that’s on me. I’m sorry.”
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