MORE ON THE FTX SCANDAL

I hope you had a fun and delicious Thanksgiving! Mine was delicious, fun, and relaxing! There has been so much drama surrounding cryptocurrency over the past week that we’ve been off, so let’s dive in!

For starters, there’s the FTX drama and all the client's money that has disappeared from FTX’s coffers. The rapid collapse of this company has caused BlockFi (crypto loan platform) to file for Chapter 11 bankruptcy protection. You do remember that this past summer, BlockFi received a bailout of $250M, a line of credit from FTX when crypto prices plunged?😳🤑

It seems to me that after the FTX collapse BlockFi didn’t really have much of a choice but to protect themselves, their clients, and staff by filing for Chapter 11 and freezing customer accounts. Genesis and Gemini (also crypto exchanges) temporarily paused some transactions on their platforms as well.

Now let’s move on to the Bahamas where FTX was based - the Attorney General of the Bahamas in a press conference this weekend defended the country’s reputation as a crypto paradise where cryptocurrency schemes are hatched. He said that the Bahamas is not one of those countries where there is no “legislative or regulatory authority over the crypto and digital asset business.” In other words, he was saying that it’s not like FTX had a home there because there were no laws. OK! 😩

He acknowledged the FTX case and said that there was enormous interest in it but that "the basic facts have been obscured by guessing games and rumors." So …. for now, we’ll play the waiting game and see how this all turns out. It seems like Sam Bankman Fried has a lot to answer for.🤷🏾‍♀️ Stay tuned, there’s more to dig into tomorrow!

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