As Daily Mail reports, FTX’s former CEO Sam Bankman-Fried may very well be going through extradition. After increasingly more stunning particulars about FTX, Alameda and their leaders got here to mild in current days, Bankman-Fried is going through extradition by the FBI, in accordance to the newest stories.
Already on Monday, it was revealed that the U.S. Department of Justice (DOJ) has teamed up with officers from the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to examine FTX’s enterprise practices.
Specifically, the regulators’ focus is on how FTX dealt with buyer funds whereas attempting to prop up its sister agency, Alameda Research.
In order to interrogate Bankman-Fried on this regard, U.S. and Bahamian authorities are presently discussing the potential for bringing the FTX founder to the United States, in accordance to Bloomberg News, citing three folks conversant in the matter.
BREAKING: FBI to extradite SBF to the U.S – DailyMail
About time!
— Bitcoin Archive 🗄🚀🌔 (@BTC_Archive) November 16, 2022
Is FTX Contagion Taking Hold Of Genesis Trading Today?
Several crypto corporations have already disclosed their publicity to FTX and Alameda. While some are merely writing off the losses to zero, different corporations have been hit more durable. BlockFi has halted all withdrawals and is making ready for chapter except it recovers its funds from SBF.
However, issues might additionally look crucial for Genesis Trading. The dealer had made public that its derivatives enterprise had $175 million stashed in an FTX buying and selling account, which is now gone.
As a outcome, the trade large and Genesis’ mum or dad firm, Digital Currency Group, has reportedly promised a $140 million capital infusion to bolster its stability sheet. An e-mail from Genesis to its prospects states:
While the operation of our lending and buying and selling companies has not been impacted by current market occasions, Genesis has taken steps to strengthen its stability sheet with a further fairness infusion of $140M from our mum or dad firm, Digital Currency Group.
However, Autism Capital, a Twitter channel that has obtained robust consideration within the wake of the FTX collapse due to its proximity to the occasions, is warning of one other exhausting blow to the crypto trade.
The Twitter person reports, citing “semi credible rumors” that Genesis might have solvency issues.
They are having a name with their collectors tomorrow at 8 AM EST to clarify the scenario. If true, they might probably be dissolving ETHE and GBTC to pay again their lenders. We will know extra tomorrow.
We are conscious that Grayscale controls GBTC and ETHE, not Genesis. DCG (the mum or dad firm of Genesis and Grayscale) is backstopping Genesis, and dissolving the trusts could also be needed if there is a solvency problem, and if it is sufficiently big.
At presstime, the Bitcoin appeared unfazed by the rumors and was buying and selling at $16.596. Levels of significance for Bitcoin are $17.3K and $18K to the upside in addition to $14K and $16.5k to the draw back.
