‘FTX Used to be By no means Bancrupt:’ SBF’s X Account Sparks Chaos From In the back of Bars

A 14-page record shared by the use of SBF’s X account claims FTX had billions in property and was once by no means if truth be told bankrupt.

Sam Bankman-Fried’s (SBF) long-dormant X account rapidly got here again to lifestyles on Thursday evening, posting a hyperlink to a 14-page record claiming that FTX was once “by no means bancrupt.” The add, which gave the impression years after the trade’s cave in and the founder’s 25-year jail sentence, rehashed acquainted speaking issues from his 2023 trial whilst injecting a contemporary dose of conspiracy.

The record, allegedly written by way of SBF and his crew, insists that FTX’s downfall was once no longer because of a $10 billion fraud as a New york jury concluded. As an alternative, it was once because of a “liquidity disaster” that will have been “resolved by way of the top of the month” if no longer for “exterior suggest” who supposedly derailed the method.

Jail Partitions Can’t Prevent the Spin

It claims FTX held $25 billion in property and $16 billion in fairness worth towards $13 billion in liabilities on the time of its cave in, and argued that had attorneys no longer stepped in, its portfolio would now be price an eye-popping $136 billion, together with stakes in Anthropic, Robinhood, and Ripple.

The publish briefly stirred up a hurricane throughout crypto circles. To many, it sounded much less like a confession and extra like a follow-up to SBF’s previous interviews, particularly his March chat with Tucker Carlson, the place he insisted there was once “sufficient cash” to pay off everybody. The brand new record suits smartly into his ongoing declare that he’s a sufferer of political focused on slightly than the mastermind of one in every of crypto’s largest frauds.

Simply weeks previous, SBF, or anyone posting for him on GETTR, alleged that his arrest was once politically motivated and went directly to blame his pivot towards centrist politics and donations to Republicans. He even accused the Biden management and the then-SEC Chair Gary Gensler of timing his arrest to silence him earlier than a key crypto invoice vote and a deliberate congressional testimony.

Critics, on the other hand, aren’t purchasing the redemption arc. Criminal professionals and previous FTX collectors had been fast to level out that the claims are very similar to the arguments rejected in court docket and contradict the forensic audits that traced billions in lacking buyer budget.

The crypto group wasted no time pushing again towards the convicted exec’s newest try to rewrite historical past. Project capitalist Adam Cochran summed up the trade’s temper bluntly as he tweeted, “Close the fuck up, Sam. You stole.”

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On-chain investigator ZachXBT additionally known as out SBF’s claims as “incorrect information” recycled from his trial days. ZachXBT identified that FTX collectors had been paid in accordance with crypto costs on the time of the trade’s November 2022 chapter, no longer at nowadays’s some distance upper valuations, that means many customers who held property like SOL or BTC nonetheless took heavy losses. He added that the upward thrust in worth of FTX’s illiquid investments is a natural accident and no longer proof of solvency.

“SBF is simply seeking to weaponize the truth that each FTX asset / funding has long past up from picobottom Nov 2022 costs once they factually may no longer pay out customers on the time of chapter and as a substitute level the chapter crew as the real villain.”

Trump Pardons CZ Whilst SBF Waits for a Miracle

Regardless of receiving a 25-year jail sentence, SBF and his circle of relatives proceed to insist he was once wrongfully prosecuted. His folks, Stanford professors Joseph Bankman and Barbara Fried, are reportedly exploring choices for a presidential pardon from Donald Trump.

Apparently, Trump additionally pardoned Binance founder Changpeng “CZ” Zhao, who as soon as performed a the most important position in triggering FTX’s downfall. In November 2022, CZ introduced on X that Binance would promote its $529 million price of FTT. The revelation, which adopted a CoinDesk record exposing Alameda Analysis’s heavy dependence on FTT, was once sufficient to purpose panic amongst traders and large withdrawals from FTX. The following liquidity disaster resembled a digital-era financial institution run.

Despite the fact that Binance in short regarded as obtaining FTX to include the fallout, it subsidized out after due diligence, which left SBF’s empire to cave in inside of days.