|
|
|
|
|
|
by colinmhayes
1316 days ago
|
|
|
FTX's ceo also runs a prop trading firm which is the real source of his wealth. FTX loaned the trading firm billions of its own token FTT. FTX also gave binance billions of dollars of FTT because binance invested in them. Over the weekend FTX's ceo and Binance's ceo got in a fight on twitter and binance sold all of their FTT which collapsed the price. FTX's assets are tied up in the loans to their trading firm which are denominated in the now essentially worthless FTT and so they can't convert the FTT to cash which means can't process withdrawals. |
|
|
That implies they embezzled customer funds (customer deposits should never be invested or loaned or intermingled with company funds)