In many recent interviews, former partners FTX founder Sam Bankman-Fried (SBF) explained that he “didn’t run Alameda” and “didn’t know the size of their position.” In a recent discussion with The Block’s Frank Chaparro, SBF explained that while auditors were looking at his FTX corporate financials, auditors “do not look at customer positions or customer risks.” . He told Bitcoin.com News this week, on condition of anonymity, that her FTX insider said that her CEO of Alameda Research, Caroline Ellison, had her personal account with $1.31 billion in May 2022. shared documents showing that it suffered the loss of
SBF interviews continue to highlight aggravated massive margins in his position
Former FTX co-founder Sam Bankman-Fried (SBF) , has shared a lot of information during the interview. Knowledge, large margin accounts have spiraled out of control. This has been blamed on “improperly labeled accounting” practices, which the SBF says has been “messed up”.
“Frankly, in many ways. SBF told New York Magazine.
“We should not have allowed the margin position to be this large,” he stressed to New York Magazine reporter Jen Wieczner, SBF said. “It was too big. Given the liquidity of the collateral, it was too big,” SBF added. In a separate statement, SBF detailed that Alameda’s margin positions were so large that they “could not be closed in a liquid manner to meet its obligations.”
“In retrospect, that position seems to have grown considerably in the middle of the year,” he added. The co-founder of FTX continued:
This goes from a slightly risky position to a position too large to manage during a liquidity crisis and said it would seriously jeopardize its capabilities. To deliver your funds.
In his SBF’s recentinterview with The Block’s Frank Chaparro, the former FTX CEO, from a customer standpoint and from his Alameda Research standpoint, argued that regulatory Authorities and auditors said they didn’t see a financial hole. It was not included in FTX’s financials. SBF said the auditors focused on certain aspects but “not looking at the customer’s position or the customer’s risk”.
“This is effectively a customer negative position, and many customers have opened a negative position on his FTX,” SBF told Chaparro. “These were not part of FTX’s assets or liabilities, they were customer assets and liabilities, and FTX’s financials were not directly affected by this.” He also talks about whether he has “extended a large personal line of credit.”
FTX Insider documents appear to show Caroline Ellison’s margin position was a $1.3 billion hole
This week, seven months ago in May, Caroline Documents purportedly showing Ellison’s FTX balance were sent to Bitcoin.com News in 2022. A source familiar with the matter said Ellison shared this data with a number of FTX staff members when his personal trading account experienced a technical glitch.
The documents ostensibly show that Ellison had a negative balance of about $1.31 billion at the time in her May 2022. Either the payment was not cleared or the user was in debt from a margin position. Documents allegedly associated with Ellison show huge balances that normal users would never have, including negative amounts of FTX equity.
Documents viewed by our news desk indicate that users have negative balances held in outstanding or margin positions, and large amounts of FTT, Megaceram (MSRM) , Locked Megaceram (MSRM), and Locked Serum (SRM). ), locked maps (MAPS), Solana (SOL), Ethereum (ETH), Bitcoin (BTC), and millions of dollars worth of stablecoins. Alameda’s user balances allegedly tied to her CEO, Ellison, show nearly all accounts negative by about $1.31 billion.
Chaparro notes that around her 9:30 in her interview, Ellison stated that her FTX provided her Alameda Research with significant credit. doing. “[Ellison] said you know, Gary knows,” Chaparro stressed in his question, noting that people at both companies knew about these lines of credit. “I think she’s probably right. Alameda Research was extended a substantial amount of credit by FTX, and ultimately its margin position was severely stressed and blown away.”
63} A negative $1.31 billion margin position, as disclosed on the news desk this week, is a very large hole. Margin positions refer to trades made using borrowed funds and typically the position is liquidated to pay back the borrowed funds if the trader is unable to maintain the required minimum margin. The large margin position shared in May 2022 is roughly the same time frame that the Terra LUNA debacle happened.
An insider who shared documents allegedly linked to Ellison asked, “How can a friend of SBF generate debt of that magnitude ‘without collateral’?” . There are many open questions that keep coming back to Ellison, and people have been investigating his CEO of Alameda for quite some time. Ellison was reportedly spotted in New York last weekend with an FTX office dog called “Gopher.” What do you think of the documents that supposedly show you had a $100 million negative margin? Position in May 2022. Let us know what you think about this subject in the comments section below.
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