SBF also shot down accusations that Alameda was involved in threatening Celsius’s security, saying, “This is certainly wrong.” We really would like to aid people in the environment who we can, and we have no desire to harm them. “
During the present bear market, Sam Bankman-(SBF) Fried’s Alameda Analysis is “stepping in” to stop future contagion across the cryptocurrency industry.
Due to the dramatic market collapse in 2022, several cryptocurrency firms are experiencing liquidity problems (of varying severity). Major companies like Celsius and Three Arrows Capital (3AC) are apparently on the verge of going bankrupt, and if they do, they could drag others along with them.
SBF indicated in an appearance with NPR on June 19 that he thinks his businesses, Alameda and FTX, “have an obligation to contemplate moving in, even if at a risk to ourselves, to halt infection.”
“Even since we’re not the ones who started it or were a part of it.” I believe that is what is good for the environment, but I’m doing everything I can to help it flourish and prosper. “
SBF said that his firms have accomplished this “a lot of times throughout history,” citing FTX’s $120 million funding of Japanese cryptocurrency exchange Liquid last year, up from $100 million in August. Shortly after, FTX revealed plans to purchase Liquid.
“We moved in and granted them a really broad credit facility, I think around 24 hours later, to be able to satisfy all of their requests, to make sure clients were made entire while looking about the lengthier issue,” he added.
Yet, on June 18, crypto stockbroker Voyager Digital said that Alameda has consented to provide the company with a $200 million USDC loan and a “going to revolve personal loan” of 15,000 Bitcoin (BTC) valued at $298.9 million at current prices.
Alameda’s access to credit given by Voyager Digital will terminate on December 31, 2024, with an annualized rate of 5% due on expiration, according to Voyager Digital. The lines of credit will only be used “if necessary to protect in addition to assess,” according to the company.
“Given the present economic uncertainty, the revenues of the credit agreement are designed to be used to preserve, in addition to assessing only if such use is required,” the firm wrote.
While SBF has stated that it wants to help struggling crypto firms, there have been conflicting reports this month that Alameda was involved in the making of a significant amount of Celsius.
Experts like ‘PlanC’ recommended to their 145,300 Twitter followers last week that Alameda sell 50,000 stETH earlier this month to depeg its cost from ETH and jeopardize a large stETH stance taken by Celsius, as it would prevent the company from swapping the resource for an equal number of ETH.
SBF entirely refuted the charges once they were brought to their attention via Twitter on June 20.
“This is unquestionably false. We want to aid people in the environment who we can, and we have no motivation in harming them because that would only harm ourselves and the ecosystem in general.”
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