Bankman-Fried Said Badly About CZ Before The FTX Crisis
The collapse of the cryptocurrency exchange FTX was watched by the whole world. Bankman-Fried has been a hot issue for quite some time. While things were beginning to calm down, new charges against the former FTX CEO started to surface. The previous FTX CEO was also accused of racism. Hillman posted on Twitter:
A great read by @WilliamCohan at @PuckNews. One thing they missed, Sam was CONSTANTLY spreading fake rumors about @cz_binance, because shading him as an “evil Chinese” was critical to his scam. You can’t pretend to be Luke Skywalker without Darth Vader.https://t.co/oi9JxsqPyz
— Patrick Hillmann (@PRHillmann) April 20, 2023
After a recent piece by Skybridge’s Anthony Scaramucci, this accusation gained traction. The article explains how SBF paid $45 million for a stake in Skybridge. Scaramucci subsequently invested $10 million in FTX’s native coin FTT. The November fall of FTX left the investment almost worthless.
During SBF’s discussions with authorities in Dubai, he had disparaged Binance founder Changpeng Zhao, SBF’s rival crypto billionaire. The Mooch had not attended those sessions, but his Skybridge colleague had and had reported the terrible behavior to him.
Scaramucci also claimed in the paper that SBF “bad-mouthed” CZ in front of Dubai authorities. Nevertheless, the Skybridge CEO was not there at the meeting, and a colleague who was there wired it back to him. The report went on to say:
Also, people talk. “He was lighting CZ up,” The Mooch continued. “And these are small towns. They look glitzy from a travel brochure, but trust me, these are small, very connected, interconnected towns. It got back to CZ” As also recounted previously, SBF’s denigration of CZ led the latter to suggest publicly that he might consider selling his $500 million investment in FTT tokens.
According to Hillman, Binnace’s decision to sell FTX coins was motivated by this rationale. He stated that SBF “denigrating CZ” was the norm for Binance residents.
“[It] had nothing to do with deciding to sell the worthless FTT on the company’s books.”
SBF and CZ have had a personal rivalry for a long time. While FTX was in danger but still running, Binance offered to buy it out for $1 billion. Nevertheless, after doing due diligence on the firm, Binance pulled out of the acquisition the next day. Eventually, everything went apart, forcing FTX to declare bankruptcy.
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