- FTX CEO predicts the collapse of a number of crypto exchanges
- They have already lost solvency, but are still moving by inertia
- Sam Bankman-Fried ready to save some projects
The richest crypto billionaire and head of FTX, Sam Bankman-Fried, shared his market analysis with Forbes. Now many are waiting for the end of the crypto winter and are horrified to read the news about the collapse of well-known projects.
Sam Bankman-Fried (SBF) believes that this is not the end, and that some exchanges will go bankrupt ahead of us. The process has already begun – many companies have lost their solvency, but so far they are working by inertia or hoping for a miracle.
The SBF clarified that these are “tier 3 exchanges” and not top brands.
“Never heard of AAX, Billance and Hotbit? Like well-known exchanges, they trade bitcoin, ether and dogecoins, offering generous margin loans – these loans are 20 times higher than the initial capital. Such companies are almost unregulated, they are vulnerable to fraud and theft.”
Benkman-Fried Alameda is ready to support some projects in order to prevent a collapse in the market. So, they financed the Voyager crypto broker and a number of smaller projects. For this, many compare Alameda with JPMorgan. During the crisis of 1907, JPMorgan bought several companies cheaply and thus expanded its influence in the market.
At the end, the businessman shared his forecast about USDT. He does not support bearish views and is confident in the reliability of this stablecoin.
Yesterday Bloomberg wrote that FTX plans to buy the Robinhood exchange. The head of the company has already denied such rumors, but not all experts believed it. In any case, such a talented businessman as Benkman-Fried will definitely take advantage of the crisis and “build up fat” for his company by buying promising assets.