Sam Bankman-Fried, former CEO of beleaguered crypto exchange FTX, is still tweeting.
In the latest installments of a puzzling series of posts on Twitter, Bankman-Fried said that “too much leverage” and a run on the bank scenario were to blame for FTX’s collapse.
15) A few weeks ago, FTX was handling ~$10b/day of volume and billions of transfers.
— SBF (@SBF_FTX) November 16, 2022
But there was too much leverage--more than I realized. A run on the bank and market crash exhausted liquidity.
So what can I try to do? Raise liquidity, make customers whole, and restart.
“So what can I try to do? Raise liquidity, make customers whole, and restart,” Bankman-Fried wrote. He said he may fail, but added, “part of me thinks I might get somewhere.”
The tweets will raise many an eyebrow given that FTX filed for Chapter 11 bankruptcy protection last week and may have more than a million creditors — not to mention the fact that Bankman-Fried is no longer CEO after resigning on Nov. 11, and reports that sister company Alameda Research used FTX customer funds for risky bets. Many Twitter users responded to Bankman-Fried’s latest statements derisively.
Bankman-Fried did not immediately respond to questions about how he planned to raise liquidity.
The Wall Street Journal reported earlier today that Bankman-Fried is trying to raise capital despite the bankruptcy filing, citing people familiar with the matter.
Bankman-Fried’s latest tweets extend a bizarre Twitter thread that began on Nov. 14.
