Bankman-Fried apologizes, says FTX has more assets than client deposits
FTX CEO Sam Bankman-Fried apologized for the collapse of his crypto exchange, saying he is “sorry” and that he “fucked up.”
“I’m sorry. That’s the biggest thing,” Bankman-Fried said in a tweet. “I fucked up, and should have done better.”
FTX collapsed this week after a run on its utility token. Binance, a rival exchange, backed out of a deal to bail out the beleaguered company on Wednesday.
“I also should have been communicating more very recently. Transparently–my hands were tied during the duration of the possible Binance deal; I wasn’t particularly allowed to say much publicly. But of course it’s on me that we ended up there in the first place,” Bankman-Fried said.
Bankman-Fried further claimed that FTX is only facing liquidity issues, implying that it’s not insolvent.
“FTX International currently has a total market value of assets/collateral higher than client deposits (moves with prices!). But that’s different from liquidity for delivery — as you can tell from the state of withdrawals. The liquidity varies widely, from very to very little,” he said.
He said he’s focusing on raising liquidity and the priority will be to make users whole before investors.
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Author: Stephanie Murray
