4 ms·

Nowhere does it say that FTX invested in Alameda. Alameda invested in FTT which is minted by FTX which is not the same thing.

• JumpCrisscross 4y ago
  > Alameda invested in FTT which is minted by FTX FTX issued FTT to Alameda. We have no idea what Alameda gave them as collateral, but it's clear it wasn't cash. Lending is a form of investing. (I don't get what unlocked versus collateral FTX on Alameda's balance sheet means.)
  • ucha 4y ago
    How can you say it's clear it wasn't cash? What's the source? Also, FTX minted FTT out of nothing - effective cost zero - so no matter what they received in exchange, even if they had received nothing that is not an investment unless they received Alameda equity. I agree that lending is a form of investment but nothing says that they received a loan in exchange. You could still be right, but it's all speculation :)
    • JumpCrisscross 4y ago
      > How can you say it's clear it wasn't cash? FTT spiraled and FTX went insolvent.
      • lmm 4y ago
        Doesn't mean they never received any cash. Maybe the CEO spent it all on crack and hookers.