It turned out that FTX founder SBF personally embezzled 300 million of the $420 million in funds raised last year to develop the stock market.
FTX had raised funds from major investors last year for topics such as promoting the stock market to wider audiences and improving the user experience. According to The Wall Street Journal 420 million dollars the fund collected 300 million of SBF embezzled itself. This was not mentioned to anyone until the bankruptcy statements came to light, and almost 3/4 of the relief funds were personally used by the SBF.
During the said investment, FTX $25 billion had reached valuation. One of the world’s leading asset management and investment companies BlackRock, Temasek, tiger Global and sequoia capital had attended. Sequoia Capital, one of the key FTX investors, has staked a stake in the company after its bankruptcy. $214 million FTT announced that the entire investment was liquidated.
Many lawsuits have been filed against FTX and investigations are ongoing. Alameda and FTX executives, about approx. With an $8 billion fund deficit He said he was facing New CEO appointed to oversee FTX’s bankruptcy John RayIn his application to the court on Thursday, he made the following statements:
A comprehensive, transparent and deliberate investigation process has been initiated into the allegations against Samuel Bankman-Fried and other founding partners of the organizations. It seems that the main reason for this failure is the concentration of control in the hands of a very small group of inexperienced, ignorant and potentially endangered individuals.