The second richest crypto billionaire warns that some companies with digital assets are facing financial difficulties as the market downturn continues.
Forbes reports that FTX co-founder and CEO Sam Bankman-Fried believes that some lesser-known crypto exchanges are already bankrupt.
“There are some third-tier stock exchanges that are already secretly insolvent.”
According to the report, Bankman-Fried is of the opinion that some of the numerically active companies facing difficulties are inevitable.
“There are companies that are basically too far away, and it’s not practical to stop them for reasons like a significant gap in the balance sheet, regulatory issues, or that there is not much of a business left to save.”[ads1];
The report says that the FTX CEO’s goal to financially help weary crypto companies is to stabilize the affected businesses and protect users.
“You know, we’re willing to make a bad deal here, if that’s what it takes to stabilize things and protect customers.”
Last week, FTX injected about $ 250 million into cryptocurrency lender BlockFi to strengthen its balance sheet after digital asset prices fell.
Earlier this month, the cryptocurrency platform Voyager Digital received a $ 200 million revolving line of cash and 15,000 Bitcoin from Alameda Research, a quantum trading company founded by Bankman-Fried. The funds will be used to protect customers’ assets in the midst of market volatility.
Bankman-Fried is ranked number two on the Forbes 2022 list of the world’s richest crypto billionaires, with a net worth of $ 24 billion. The world’s richest crypto billionaire is Binance co – founder and CEO Changpeng Zhao, who has a net worth of $ 65 billion.
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