Sam Bankman Fried, a crypto billionaire, is contesting allegations that two of his companies, FTX and Alameda Research, are integrating their venture capital investing activities. The companies in question are FTX and Alameda Research.
The announcement, which was made public by Bloomberg, came just one day after Alameda co-CEO Sam Trabucco resigned from his position, making Caroline Ellison the sole CEO of the company.
The action was credited to Ellison, which is a business news service. The agency added that the consolidation “hasn’t been previously publicized” and that it was undertaken “to unify elements of billionaire Sam Bankman-empire Fried’s as it copes with a lengthy slump in bitcoin values.”
Bankman-Fried was quick to reject the news of the merger on Twitter. In response to an alert from DB News, he wrote, “This seems like a massive misrepresentation to me!”
He went on to say that “FTX has been doing more venture recently, and I believe maybe Alameda has been doing less.” “The implication of that sentence in the title couldn’t be further from the truth!”
this seems like a big misrepresentation to me!
FTX has been doing more venture recently, and I guess maybe Alameda has been doing less? That's a really different thing than what the headline implies! https://t.co/qQUCOHtIUg
— SBF (@SBF_FTX) August 25, 2022
According to what Bankman-Fried wrote, “I think maybe a line was misconstrued.” In contrast to Alameda’s initiatives, which are not centralized under a single entity, FTX’s venture investments fall under the purview of FTX Ventures.
Despite this, Bankman-Fried serves as the CEO of both FTX Ventures and Alameda, which are both members of the same corporate family. On crypto Twitter, memes have already been created in response to the news as well as Bankman-bewildered Fried’s reaction.
It would appear that the transformation in question started back in January when FTX Ventures first opened its doors for business.