SBF: FTX US Had Enough Funds To Repay All Customers

SBF: FTX US Had Enough Funds To Repay All Customers

Despite news of their liquidity crunch last week and announcing that they were filing for bankruptcy, the former CEO of FTX claims that they actually had enough funds to repay all customers.

SBF’s Tweets

In a series of tweets he made, former CEO of crypto exchange FTX, Sam Bankman-Fried or SBF gave out several statements claiming to show his side of things in what happened leading up to the insolvency and bankruptcy of FTX.

Bankman-Fried asserted that despite everyone’s assumption, FTX US actually in fact had enough funds within their platform to repay all their customers. Though he noted that not everyone may agree with this sentiment.

My goal—my one goal—is to do right by customers.” SBF wrote.

Related: Circle Has a $10.6 million Investment in FTX Group

FTX’s Liquidity

The former CEO then goes on to explain FTX’s current standing in liquidity, arguing that his one goal will now be to not only work on and provide more transparency, but to also “make customers whole.”

Bankman-Fried says in his thread that just a few weeks ago, FTX was processing ~$10 billion/day in volume and billions in remittances. However, a run on the bank and market crash ended up exhausting liquidity.

I know you’ve all seen this, but here’s where things stand today, roughly speaking… Liquid: -$8b, Semi: +$5.5b Illiquid: +$3.5b. And yeah, maybe that $9b illiquid M2M isn’t worth $9b (+$1b net). OTOH–a month ago it was worth $18b; +$10b net.” SBF wrote.

Related: Golden State Warriors Become The Latest Sports Franchise Terminating The Deal with FTX 

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