{"id":511001,"date":"2022-11-17T00:00:00","date_gmt":"2022-11-16T21:00:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/sam-bankman-fried-updates-investors-we-got-overconfident-and-careless-claims-13b-leverage\/"},"modified":"2022-11-17T00:00:00","modified_gmt":"2022-11-16T21:00:00","slug":"sam-bankman-fried-updates-investors-we-got-overconfident-and-careless-claims-13b-leverage","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/sam-bankman-fried-updates-investors-we-got-overconfident-and-careless-claims-13b-leverage\/","title":{"rendered":"# Sam Bankman-Fried updates investors: &#8216;We got overconfident and careless,&#8217; claims $13B leverage"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a414f82ae5b3\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a414f82ae5b3\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/sam-bankman-fried-updates-investors-we-got-overconfident-and-careless-claims-13b-leverage\/#%E2%80%9D_Sam_Bankman-Fried_updates_investors_%E2%80%98We_got_overconfident_and_careless_claims_13B_leverage_%E2%80%9C\" >&#8221; Sam Bankman-Fried updates investors: &#8216;We got overconfident and careless,&#8217; claims $13B leverage &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Sam_Bankman-Fried_updates_investors_%E2%80%98We_got_overconfident_and_careless_claims_13B_leverage_%E2%80%9C\"><\/span>&#8221; Sam Bankman-Fried updates investors: &#8216;We got overconfident and careless,&#8217; claims $13B leverage &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTEvNTZkM2JkNDctODNhMy00NzFkLTkxZjEtZTA3ZTQ5M2NmZGJkLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-887bb764>Former FTX chief executive officer Sam Bankman-Fried said he was \u201cwrong\u201d in his estimates of the crypto exchange\u2019s leverage prior to its collapse, claiming it wasn\u2019t $5 billion, but closer to $13 billion.<\/p>\n<p>In a Nov. 16 <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> thread, Bankman-Fried <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/SBF_FTX\/status\/1592958061341474817\">said<\/a> leverage at FTX built up to roughly $5 billion, backed by $20 billion in assets, which held value but also the potential for risk. According to the former CEO, the crypto market crash \u201cwith no bid side liquidity\u201d alongside a bank run resulted in roughly $4 billion being withdrawn daily \u2014 25% of consumer assets.<\/p>\n<p>\u201cI was wrong,\u201d said Bankman-Fried. \u201cLeverage wasn&#8217;t ~$5b, it was ~$13b. $13b leverage, total run on the bank, total collapse in asset value, all at once. Which is why you don&#8217;t want that leverage.\u201d<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">23) Roughly 25% of customer assets were withdrawn each day&#8211;$4b.<\/p>\n<p>As it turned out, I was wrong: leverage wasn&#8217;t ~$5b, it was ~$13b.<\/p>\n<p>$13b leverage, total run on the bank, total collapse in asset value, all at once.<\/p>\n<p>Which is why you don&#8217;t want that leverage.<\/p>\n<p>&#8212;<\/p>\n<p>\u2014 SBF (@SBF_FTX) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/SBF_FTX\/status\/1592958068907806722?ref_src=twsrc%5Etfw\">November 16, 2022<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>Authorities in the Bahamas, United States, and Turkey have begun investigations into the collapse of the major exchange. Officials reportedly discussed extraditing Bankman-Fried from the Bahamas to the U.S. for questioning. It\u2019s unclear whether this reported extradition was related to lawmakers in the House Financial Services Committee saying they \u201c[expect] to hear\u201d from SBF at a December hearing on the matter.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>FTX collapse: The crypto industry\u2019s Lehman Brothers moment<\/em><\/strong><\/p>\n<p>FTX Group started bankruptcy proceedings by filing for Chapter 11 on Nov. 11 in the District of Delaware. The filing included more than 130 companies, including FTX Trading, FTX US, and Alameda Research. According to subsequent filings in bankruptcy court, the exchange could be accountable to more than 1 million creditors.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. 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In a Nov. 16 Twitter thread, Bankman-Fried said&#8230;<\/p>\n","protected":false},"author":1,"featured_media":511002,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTEvNTZkM2JkNDctODNhMy00NzFkLTkxZjEtZTA3ZTQ5M2NmZGJkLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74860,135234,89897,4978,117],"class_list":["post-511001","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-cryptocurrency-exchange","tag-ftx","tag-sam-bankman-fried","tag-bankruptcy","tag-business"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/511001","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=511001"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/511001\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/511002"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=511001"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=511001"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=511001"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}