Crypto News 12/6/22
Alameda FTX Margin Position Negative $1.3B in May 2022, Goldman Spends 'Tens of Millions' on Discounted Crypto Investments, FTX fallout hits Aussie crypto player and more...
Forget crypto winter, this is a bitcoin 'bloodbath'
Bitcoin balances on crypto exchanges - where retail investors typically transact - have fallen to around 2.3 million from its 2020 all-time high of 3.1 million, exchange Bitfinex said. Self-custody wallet balances have not grown at the same pace, indicating more selling than storage, it added.
"This is not the winter season anymore, this is a bloodbath, because the FTX crisis was like a domino that toppled so many companies,"
FTX fallout hits Aussie crypto player Maple Finance
Melbourne-based crypto start-up Maple Finance has severed ties with crypto hedge fund Orthogonal Trading, alleging the firm has defaulted on $US35 million ($51 million) in loan repayments and has been trading insolvent after the dramatic collapse of crypto exchange FTX.
Orthogonal Trading has defaulted on six loans across Maple Finance’s pools run by a third party called M11 Credit. The loans were worth about $US35 million in total.
Silvergate Stock Gets a Big Downgrade. Wall Street Is Turning on a Crypto Darling.
Morgan Stanley has downgraded Silvergate Capital , becoming one of the first big players on Wall Street to express a firmly downbeat view about the “crypto bank,” which has been a darling of analysts despite major losses in the stock price.
Investors watching the repeated bullish calls from other Wall Street firms should take note: Morgan Stanley doesn’t advise buying the dip. They may be the first to flip bearish on Silvergate, but given the challenges crypto faces after FTX’s collapse, Morgan Stanley may not be the last.
Goldman Sachs to Spend 'Tens of Millions' on Discounted Crypto Investments After FTX Implosion
The investment bank sees a bigger need for trustworthy and established players in the crypto market.
Goldman Sachs (GS), one of the world's largest investment banks, is looking to spend tens of millions of dollars on crypto firms whose valuations have been hit after the implosion of FTX, Reuters reported on Tuesday.
Document Claims Alameda CEO Caroline Ellison’s FTX Margin Position Was Negative $1.3B in May 2022
In a number of recent interviews, the former co-founder of FTX, Sam Bankman-Fried (SBF), explained that he “wasn’t running Alameda” and he “didn’t know the size of their position.”
In a more recent discussion with The Block’s Frank Chaparro, SBF explained that auditors were looking at FTX’s corporate financials, but the auditors were “not looking at customer positions and not looking at customer risk.”
This week, an FTX insider speaking to Bitcoin.com News under terms of anonymity shared a document that purportedly shows Alameda Research CEO Caroline Ellison’s personal account was in the hole by $1.31 billion in May 2022.
U.S. agency investigating crypto firms for misconduct
A U.S. agency that probes allegations of deceptive conduct confirmed on Monday that it had investigations open into several cryptocurrency firms for "possible misconduct."
"While we can't comment on current events in the crypto markets or the details of any ongoing investigations, we are investigating several firms for possible misconduct concerning digital assets,"