Entertainment Post

FTX Faces Downfall, Bankman-Fried Resigns

Sam Bankman-Fried

In just eight days, Sam Bankman-Fried went from the “King of Crypto” to his company filing for bankruptcy and resigning as CEO.

Additionally, he may face a federal investigation into his handling of the company’s finances.

Extensive interviews with him have flooded the internet in recent years. In interviews she spoke in video chat from his desk in the Bahamas. Some of them contain an eerie clicking sound.

As the press listens intently to his fantastic story about how he became a multimillionaire in just five years, the sound keeps repeating itself and you hear it coming from the entrepreneur’s mouse.

“Click, click, click,” it goes repeating outbursts while Bankman-Fried’s eyes stare at the screen.

His videos don’t show what he’s doing on his computer. But his tweets give hints.

“I’m (in) famous for playing League of Legends while on phone calls,” he said on Twitter in February 2021. 

Bankman-Fried is the former boss of the collapsing cryptocurrency exchange FTX. He is also a game enthusiast. He explained why in numerous tweets to his nearly one million followers.

Playing the online game was his way of distracting himself from running two businesses that trade billions of dollars a day.

“Some people drink too much, some gamble. I play a League,” he stated. 

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Lost Investments

Following news of his cryptocurrency empire collapsing this week, another story about his participation in the team fantasy battle has surfaced online. 

Per a blog post from venture capital firm Sequoia Capital, Bankman-Fried played a fierce League of Legends battle in a video call with their investment team. 

However, it didn’t appear to be an issue at all. The group invested $210 million in Bankman-Fried’s firm FTX. 

After the news broke, Sequoia Capital erased that blog post and said it is currently writing off its investment as a loss. 

But the firm doesn’t stand alone in this dilemma of heart-stopping investment loss since Bankman-Fried’s $32-billion empire fell down. FTX possessed approximately 1.2 million registered users who used the exchange to purchase cryptocurrency tokens like Bitcoin and more. 

Several FTX investors, from massive traders to daily crypto enthusiasts, wonder whether they’ll ever recover their savings from the exchange’s digital wallets. 

Bankman-Fried Beginning

It’s a heart-stopping collapse. And the journey of Bankman-Fried to the top is also its own story of twists – risks, rewards, and beanbags. 

The multibillionaire attended the Massachusetts Institute of Technology (MIT), where he studied math and physics. The school is a distinguished US research university. 

However, the young, intelligent undergraduate states that the lessons acquired in the student forms contributed to his path to riches.

Bankman-Fried said in an interview with BBC radio last month that he recounted being dragged into the “effective altruism” movement. Effective Altruism is a group of individuals “trying to figure out what practical things you can do with your life to have as much positive impact as you can on the world,” he added. 

Therefore, he decided to dig into banking to make money and give it back in greater initiatives. 

Furthermore, he learned to trade stocks on temporary work at the trading company Jane Street in New York. After a while, he got bored and went on to experiment with Bitcoin. 

That’s where everything started.

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Photo: Aqam

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