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BlackRock CEO Larry Fink say company put $24 million into FTX: Reuters

  • BlackRock CEO Larry Fink says the company invested $24 million in FTX before it went bankrupt.
  • Sam Bankman-cryptocurrency Fried’s empire is officially split into two main parts: FTX, his exchange, and Alameda Research, his trading firm.

BlackRock Discloses it Invested $24M in FTX

Larry Fink CEO of BlackRock, told Reuters on Wednesday that the company put $24 million into the crypto exchange FTX before it went bankrupt.

Fink also said at the New York Times Dealbook conference that FTX seemed to have done wrong, but he wouldn’t say if BlackRock and Sequoia, which had invested $214 million in FTX but has since written that amount down to zero, were tricked by the company.

FTX owes more than $3 billion to its top 50 creditors, and it is thought that it has about 1 million creditors in total. The company went bankrupt earlier this month after a series of events that started with a CoinDesk article about the balance sheet of Alameda Research, a trading company that was connected to FTX.

Division in Sam Bankman-Fried’s Crypto Empire

Sam Bankman-cryptocurrency Fried’s empire is officially split into two main parts: FTX, his exchange, and Alameda Research, his trading firm. Both are giants in their own industries.

But even though they are two different businesses, the division is clear in a key place: on Alameda’s balance sheet, which CoinDesk looked at. (It’s possible that the document only shows part of Alameda.)

That balance sheet is full of FTX, specifically the FTT token, which is issued by the exchange and gives holders a discount on trading fees on its marketplace. Even though there’s nothing inherently bad or wrong with that, it shows that Bankman-trading Fried’s giant Alameda is mostly built on a coin that a sister company made, not on a fiat currency or another cryptocurrency. The situation is more proof that FTX and Alameda are very close to each other.

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