Helprin Management Tokyo Japan Investigates the Bankruptcy of FTX Firm

1. Helprin Management Tokyo JANUARY 5 Helprin Management Review 1

2. Helprin Management Tokyo Japan Investigates the Helprin Management Tokyo Japan Investigates the Bankruptcy of FTX Firm Bankruptcy of FTX Firm The Futures Exchange (FTX) made news when it filed for Chapter 11 bankruptcy and its CEO and founder, Samuel Bankman-Fried (SBF), resigned. In an instant, the ex-CEO lost 94% of his net worth. Helprin Management Japan investigates the FTX event because of its implications for the future of financial technology as one of the top cryptocurrency exchanges. What happened to SBF and FTX may teach investors a lot about investing and managing funds. Bankman Bankman- -Fried, Sam Fried, Sam California-born The Massachusetts Institute of Technology awarded Sam Bankman-Fried a physics degree with a minor in mathematics (MIT). According to Helprin Management Tokyo Japan, SBF founded Alameda Research in 2017 after working at Jane Street, a trading business, and in the charitable sector. SBF and his team founded FTX, a cryptocurrency exchange platform with extensive features and minimal trading costs, in 2019. According to Bloomberg, the cumulative net profit of both 2

3. companies in 2020 was $1.350 billion. SBF was valued $26 billion at his height and was a prominent political donor at the age of 30. He was regarded as the wealthiest guy in cryptocurrency before to the sad tragedy that wiped all his net fortune. According to the Bloomberg Billionaires Index, he will have no substantial wealth by November 11, 2022. What became of FTX? What became of FTX? SBF garnered news for his many activities, such as naming an arena and having celebrities hawk FTX. He was at the pinnacle of the cryptocurrency business. So, what occurred? Alameda x FTT Alameda x FTT CoinDesk, a widely read cryptocurrency magazine, questioned the durability of SBF's empire in early November. The research revealed that, while Alameda Research and FTX are independent businesses, the majority of Alameda's assets were in FTT, a currency produced by FTX. Technically, there is nothing illegal with doing so, but the fact brought the FTX's liquidity into doubt. 3

4. Things worsened a few days later when Binance CEO Changpeng Zhao (CZ) liquidated about $500 million in FTT, prompting more clients to withdraw, with FTX receiving $6 billion in withdrawal requests within three days of consumers panic selling. FTX against Binance FTX against Binance The platform struggled to meet the sudden demand, causing the value of FTT to plummet by 32%. The value finally rebounded after Binance, the world's largest cryptocurrency exchange by daily trading volume, announced on November 8 that it would acquire FTX. The deal excited investors. However, after due diligence allegations of client money mismanagement and possibly government investigations, Binance declared on November 9 that it was no longer interested in FTX. The news pushed FTT further lower, wiping off 94% of SBF's net worth. SBF began contacting other industry competitors for assistance, but no one was willing to help him recover the damage. SBF resigned as CEO of FTX after the company filed for Chapter 11 bankruptcy on November 11. 4

5. Where did FTX go wrong? Where did FTX go wrong? SBF rushed to Twitter to admit to making mistakes, blaming FTX's demise on a combination of inaccurate debt estimations and large consumer withdrawals. However, an unidentified source told Reuters that earlier in 2022, SBF shifted cash from FTX to Alameda after the former suffered a string of losses. He supposedly didn't notify anyone, and FTX declined to comment. What does this signify for the cryptocurrency industry? What does this signify for the cryptocurrency industry? Following their due diligence, Sequoia Capital, SoftBank Vision Fund, BlackRock, Tiger Global, and other high-profile investors funded FTX. Aside from that, CoinDesk says that SBF's close circle was in charge of the activities in the Bahamas alongside him. According to an unknown source, some employees invested their life savings in FTX, believing that everything would be OK. The crypto sector has had a difficult year, with a $2 trillion blow in May, and the market value is currently down 12% after word of FTX reached the streets. Crypto investors are concerned about a crash, however some argue that FTX is only one exchange and has no bearing on the rest of the market. 5

6. Elon Musk took to Twitter to declare that he didn't believe SBF had $3 billion in cash assets when it made the offer for Twitter. Bottomline Bottomline Financial technology still has a long way to go, and it need the full backing of investors and other corporate decision-makers. However, owing to recent market fluctuations, bitcoin and blockchain investments have gotten riskier as more participants have entered the area. To some investors, FTX's demise puts doubt on the industry's long-term viability. Helprin Management Tokyo Japan believes in adequate investment portfolio diversification, thus the company's financial experts will guarantee that each customer has a proper variety. If you reclaim your funds from FTX, you might utilise them to invest with experienced financial advisers for greater growth and earnings. 6

7. 7