Not Just FTX Token: Solana Price Rises 40% Along with Other “Sam Coins”
Cryptocurrencies exposed to Sam Bankman-Fried and his companies, Alameda Research and FTX, have fallen an average of 40% this week.
Altcoin WatchSolana (SOL) is on course to record its worst daily performance ever.
On Nov. 9, SOL's price fell over 40% to around $16, primarily due to its association with Sam Bankman-Fried, the founder of crypto-focused hedge fund Alameda Research, and the FTX cryptocurrency exchange.
Sam tokens are "fried"Fried was an early investor in the Solana blockchain project through Alameda Research. On Nov. 8, the entrepreneur's estimated fortune fell from $15.6 billion to around $1 billion, according to the Bloomberg Billionaires Index.
At the heart of this wipeout was a near collapse of FTX. On November 6, Binance, FTX's rival exchange and first investor, decided to sell its $2 billion stake, which it held in the form of FTX's native token, FTX Token (FTT). In response, FTT's price fell over 85% and was trading at around $3.60 as of November 9.
Alameda Research's balance sheet was worth about $12 billion as of June 30, half of which was FTT. The company was reportedly $8 billion in debt on the same day, sparking speculation about its potential insolvency after the massive FTT crash.
Cryptocurrencies exposed to Sam Bankman-Fried and his companies, Alameda Research and FTX, have fallen an average of 40% this week.
Altcoin WatchSolana (SOL) is on course to record its worst daily performance ever.
On Nov. 9, SOL's price fell over 40% to around $16, primarily due to its association with Sam Bankman-Fried, the founder of crypto-focused hedge fund Alameda Research, and the FTX cryptocurrency exchange.
Sam tokens are "fried"Fried was an early investor in the Solana blockchain project through Alameda Research. On Nov. 8, the entrepreneur's estimated fortune fell from $15.6 billion to around $1 billion, according to the Bloomberg Billionaires Index.
At the heart of this wipeout was a near collapse of FTX. On November 6, Binance, FTX's rival exchange and first investor, decided to sell its $2 billion stake, which it held in the form of FTX's native token, FTX Token (FTT). In response, FTT's price fell over 85% and was trading at around $3.60 as of November 9.
Alameda Research's balance sheet was worth about $12 billion as of June 30, half of which was FTT. The company was reportedly $8 billion in debt on the same day, sparking speculation about its potential insolvency after the massive FTT crash.
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