Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Disgraced FTX founder Sam Bankman-Fried has made a social media comeback. ​ Bankman-Fried’s X account reawakened on Sept. 24 to post "gm," which is the preferred way of saying good morning in cryptocurrency circles. ​ It would not be the first time that Bankman-Fried, who is serving a 25-year sentence for defrauding customers and investors, has found ways to bypass strict prison internet access controls ...

FTX’s token FTT surged 17% in the last 24 hours, baffling traders as bankruptcy proceedings continue and unlocked tokens re-enter circulation. As of Sept. 18, the token traded at around $0.93, up more than 17% in the past 24 hours. Notably, the token has no utility as of now. Interestingly, most of the trading volume is coming from centralized exchanges like Binance, Toolbit, Pionex and Bitget. A collapsed exchange, a ghost token FTX was once one of the largest global exchanges, offering futures, leverag ...

Crypto Asset Valuation - FTX estate deemed FTT worthless, while assigning value to megaSerum (7yr locked deals) [1] - Holding USD and rebuying SOL in other accounts would have been the best strategy during FTX's crisis [1] Trading Strategies & Market Dynamics - A common trade in Nov 2022 involved buying FTT under the logic of potential solvency or worthlessness [1] - FTX's situation presented gradations between solvency and worthlessness [1] Historical Comparison - The situation is similar to Mt Gox, where holding JPY instead of BTC claims and rebuying BTC would have been preferable [1] - Domestic JPY claims in Mt Gox were paid out at a higher priority [1]

Group 1 - The story of Sam Bankman-Fried (SBF) and FTX illustrates the rise and fall of a significant player in the cryptocurrency market, highlighting the intersection of technology idealism, utilitarian philosophy, and human weaknesses [2][4] - SBF's philosophy of Effective Altruism (EA) emphasizes using rational and efficient methods for charity, aiming for the "greatest good for the greatest number" [5][6] - SBF's approach to wealth generation was driven by the belief that earning money was a moral responsibility to fund charitable causes, leading to the establishment of Alameda Research and FTX, which rapidly grew to a valuation of $40 billion [6][7] Group 2 - The concept of "infinite games" versus "finite games" is introduced, with SBF claiming to play an infinite game aimed at enhancing human welfare, while his methods reflected a finite game mentality focused on winning at all costs [9][10] - The blurred lines between FTX and Alameda Research raised concerns, as FTX's initial funding came from Alameda, and the use of FTT tokens as collateral created a precarious financial situation [10][11] - The misuse of customer funds by Alameda, which were intended for high-risk investments and personal loans, ultimately led to the collapse of FTX, revealing a Ponzi-like scheme [11][12] Group 3 - The internal culture at Alameda, characterized by high intelligence but social challenges, fostered a reality distortion field that led to a disregard for ethical standards and risk management [12][13] - The collapse of FTX was triggered by a media report exposing Alameda's balance sheet, leading to a panic and a bank run that resulted in $6 billion in withdrawal requests within 72 hours [13][14] - The story serves as a cautionary tale about the dangers of placing too much trust in "genius narratives" and the importance of adhering to traditional financial rules, which are crucial for maintaining trust and stability in the market [15][16]