Clean up company in FTX smoothly

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Aug 6th, 2022
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How to Clean up company in FTX

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- [Narrator] Over $150 billion. In three days, thats how much the worlds 15 largest cryptocurrencies lost in market value. Its because of the Crypto Exchange platform FTX, which is behind this , named FTT. On November 6th, the tokens value began to fall, losing more than 80% of its worth in the span of 72 hours. Once seen as a survivor in a struggling market, the fall of FTX has sent shockwaves through the cryptocurrency industry. So, what went wrong? FTX is the brainchild of Sam Bankman-Fried. Hes commonly known as SBF on social media. Hes been previously hailed as a savior of the crypto industry. - You were called the JP Morgan of crypto. - [Sam] Yep. - Does that bother you or not? - It doesnt bother me too much. - [Narrator] Bankman-Fried founded the quantitative trading firm Alameda Research in 2017. Two years later, he started FTX, an exchange platform for buying or selling cryptocurrencies. Right now, hes the majority owner of both firms. - That kinda aroused some s

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He made his riches through cryptocurrency arbitrage — buying coins for a lower price on one crypto exchange, then quickly selling them for a higher price on a different exchange. He convinced a few fellow effective altruist friends to help in this arbitrage model and founded his trading firm, Alameda Research.
FTX CEO John J. Ray III plans to tell the House Financial Services Committee on Tuesday that the cryptocurrency exchange under Sam Bankman-Fried went on a $5 billion “spending binge” and comingled assets with those of his hedge fund, Alameda Research, ing to the executive's prepared remarks.
John Ray, the new chief executive officer of FTX, has repeatedly been asked to compare the collapse of the company to another famous failure he oversaw — Enron.
FTX.com was an offshore exchange not regulated by the SEC. The problem is that the SEC failed to create regulatory clarity here in the US, so many American investors (and 95% of trading activity) went offshore.
The crypto exchange collapsed after it came to light that Alameda had been using FTX customer assets to cover trading losses. “The owners of the company could really run free-rein” between all of FTX international, FTX US', and Alameda Research's assets, Ray testified.
What to know about Sam Bankman-Fried, FTX's embattled founder. Bankman-Fried was arrested after federal prosecutors filed criminal charges. Bankman-Fried's company, FTX, began 2022 valued at $32 billion and he ended the year getting arrested for defrauding investors.
Sam Bankman-Fried found ways to control the prices of digital coins to benefit his companies, FTX and Alameda, ing to cryptocurrency investors. As a subscriber, you have 10 gift articles to give each month.
FTX Trading Ltd., commonly known as FTX (short for "Futures Exchange"), is a bankrupt company that formerly operated a cryptocurrency exchange and crypto hedge fund. The exchange was founded in 2019 and, at its peak in July 2021, had over one million users and was the third-largest cryptocurrency exchange by volume.
John Ray III, the new FTX CEO, said in an interview that “everything is on the table,” in regards to reviving the bankrupt company's international exchange and he has set up a task force to explore that opportunity.
FTX got deep into crypto s and derivatives, promising a robust risk management system. Soon, it brought on board Binance, the world's largest crypto exchange, as an investor. Between 2019 and 2022, FTX grew to become one of the largest exchanges in the world, competing with Binance.

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