Sam Bankman-Fried “Misaccounted” $8 Billion Balance Sheet Deficit
Sam Bankman-Fried (SBF), FTX’s former CEO, exposed the money’s location in a recent Bloomberg interview. SBF stated that during an emergency bailout, he presented investors with a different balance sheet.
SBF has $8.9 billion in debt, $9 billion in liquid assets, and $15.4 billion in less liquid assets, according to the report. In addition, the study revealed $3.2 billion in illiquid assets.
The imbalance on FTX’s financial sheet continued to increase. The company first claimed only $2 billion before increasing it to $5 billion. The gap has now widened to more than $8 billion.
Sam Bankman-Fried produced another balance sheet that depicted the current state of affairs at the time of the bailout meeting. The balance sheet shows comparable figures but $8 billion fewer liquid assets. SBF stated that he misquoted the numbers.
According to a quote from SBF’s interview with ByZeke Faux:
Faux asked: “You didn’t have $8 billion in cash that you thought you had?
SBF: “That’s correct. Yes.”
Faux: “You misplaced $8 billion?”
SBF: “Misaccounts”
Customers were directing money to Alameda Research rather than directly to FTX, he claimed. According to his statement, the cash was double-counted and awarded to both businesses by FTX’s internal audit system.
Following SBF’s announcement, FTX and Alameda Research had the most cash flow, while Binance, a competitor, became the most expensive. He spent a total of $2.5 billion to acquire Binance’s interests. Bankman-Fried also admitted to spending $250 million on real estate and $1.5 billion on other costs.
Some $4 billion and $1.5 billion were invested in venture capital to buy other enterprises, respectively, while $1 billion was miscounted.
According to the report, Bankman-Fried and the remaining staff spent the previous weekend trying to gather finances. The cash will be used to close an $8 billion shortfall in FTX’s balance sheet and reimburse consumers.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu
Website: coincu.com
Harold
Coincu News
Author
News
Sam Bankman-Fried “Misaccounted” $8 Billion Balance Sheet Deficit
Sam Bankman-Fried (SBF), FTX’s former CEO, exposed the money’s location in a recent Bloomberg interview. SBF stated that during an emergency bailout, he presented investors with a different balance sheet.
SBF has $8.9 billion in debt, $9 billion in liquid assets, and $15.4 billion in less liquid assets, according to the report. In addition, the study revealed $3.2 billion in illiquid assets.
The imbalance on FTX’s financial sheet continued to increase. The company first claimed only $2 billion before increasing it to $5 billion. The gap has now widened to more than $8 billion.
Sam Bankman-Fried produced another balance sheet that depicted the current state of affairs at the time of the bailout meeting. The balance sheet shows comparable figures but $8 billion fewer liquid assets. SBF stated that he misquoted the numbers.
According to a quote from SBF’s interview with ByZeke Faux:
Faux asked: “You didn’t have $8 billion in cash that you thought you had?
SBF: “That’s correct. Yes.”
Faux: “You misplaced $8 billion?”
SBF: “Misaccounts”
Customers were directing money to Alameda Research rather than directly to FTX, he claimed. According to his statement, the cash was double-counted and awarded to both businesses by FTX’s internal audit system.
Following SBF’s announcement, FTX and Alameda Research had the most cash flow, while Binance, a competitor, became the most expensive. He spent a total of $2.5 billion to acquire Binance’s interests. Bankman-Fried also admitted to spending $250 million on real estate and $1.5 billion on other costs.
Some $4 billion and $1.5 billion were invested in venture capital to buy other enterprises, respectively, while $1 billion was miscounted.
According to the report, Bankman-Fried and the remaining staff spent the previous weekend trying to gather finances. The cash will be used to close an $8 billion shortfall in FTX’s balance sheet and reimburse consumers.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu
Website: coincu.com
Harold
Coincu News
Other Posts
Related Posts
Latest
Gate.io Launches USDE Financial Products with Annualized Returns of Up to 54%, Ushering in a High-Return Era for Stablecoin Investments
Bitdeer Convertible Notes Worth $360 Million Offered for Expansion Efforts
Sui Foundation Enters into Strategic Partnership with Franklin Templeton Digital Assets
Press Release
Gate.io Launches USDE Financial Products with Annualized Returns of Up to 54%, Ushering in a High-Return Era for Stablecoin Investments
Sui Foundation Enters into Strategic Partnership with Franklin Templeton Digital Assets
