The CEO of the cryptocurrency exchange FTX – Sam Bankman-Fried – said the venture capital arm of his company (FTX Ventures) will not merge with the principal trading firm Alameda Research.
This comes as the latter’s Co-CEO resigned earlier this week.
- Bloomberg reported recently that FTX Ventures will absorb the operations of Alameda Research, both of which entities were founded by SBF.
- However, in a recent tweet, the 30-year-old billionaire denied those rumors, classifying them as a “big misrepresentation.”
- He then explained that the line was “misinterpreted” since FTX Ventures’ and Alameda Research’s operations are not entirely the same.
- It is worth noting that both companies have provided financial help to troubled cryptocurrency participants during the ongoing bear market.
- In June, BlockFi secured revolving credit worth $250 million from FTX, while Alameda Research provided Voyager Digital with $200 million in cash and $300 million worth of digital currencies.
- Yesterday (August 25), Alameda’s Co-CEO – Sam Trabucco – announced he will resign from his post after staying in that position for over three years. Despite his departure, he vowed to stay connected to the cryptocurrency sector:
“I can’t 100% remove myself from crypto without going into withdrawal, so I’ll probably still be around here to some extent. I don’t currently have other “projects” lined up or anything, but I wouldn’t rule anything out in the future once I feel more “recovered.”