Skybridge Capital founder Anthony Scaramucci believes that failed cryptocurrency exchange FTX cannot be saved after filing for bankruptcy.
Betrayal of the former FTX boss
In an exclusive interview while attending the World Economic Forum in Davos, Switzerland, the American founder and entrepreneur opened There is no way the exchange can be saved.
However, Scaramucci considers FTX founder Sam Bankman-Fried to be a friend who got a seat at the “VIP” table. The problem is, he feels betrayed by Sam It turned out to be “fake” and allegedly a scam.
He adds that whether or not Sam is in prison is up to the jury and the presiding judge.
FTX, at its peak, was among the largest cryptocurrency exchanges in the world, providing what was thought at the time to be a powerful trading platform to hundreds of thousands, if not millions, of users.
However, with the cryptocurrency market crashing and Bitcoin sliding towards this week’s trading range of around $20,000, cracks are starting to show in FTX.
In the end, an explosive piece exposing the missteps of its founder, Sam Bankman-Fried, and the many accounting errors in their finances broke the camel’s back. FTX halted customer withdrawals prior to news that they were filing for Chapter 11 bankruptcy protection in the US. It later emerged that FTX and its business wing Alameda Research had misappropriated billions in client funds.
Anthony Scaramucci: Skybridge Capital Is Patient
Looking at the evidence presented and the claims from the restructuring official in charge of FTX’s bankruptcy proceedings, Anthony Scaramucci said there was nothing that could be done.
He revealed that his fund was not spared from the cryptocurrency winter and the FTX contagion as market prices fell, which affected their income. Anthony said their core fund was down 30 percent in 2022. In January 2023, there were signs of a recovery, and their core fund was up double digits. Scaramucci also confirmed that Skybridge Capital is “completely debt free” and owns its stock.
When asked if he lost money last year, he confirmed that his Bitcoin (BTC) is intact and he did not lose any money because he did not use leverage. Leverage is when a trader borrows money to trade. The borrowed money works with the deposit as a margin allowing for higher profits. However, there can be losses if the trader makes wrong predictions. Traders can lose all their deposits if they use leverage and trade any other assets, including cryptocurrencies.
Anthony revealed that despite FTX finding itself in a crisis and could unravel, the exchange was one of the first investors in Skybridge Capital, buying 30% of the fund. As part of the deal, the fund bought 10 percent of FTX’s FTT token only to sell it at a loss of $9.5 million.
Despite this, Anthony said they are patient and waiting for “what the bankrupts say” so they can buy back their shares. He makes it clear that the fund will not blame the disgraced founder of FTX for all the problems in the crypto market or Skybridge Capital. Overall, he remains confident about the prospects for cryptocurrencies.
Featured image from Harvard Political Review, charts from TradingView.com