SBF Says FTX Never Went Bankrupt and Attributes the Downfall to a Liquidity Crisis

SBF says FTX never went bankrupt in a recent interview

He chalks the downfall to a liquidity crisis and not an insolvency problem

Response to the interview for the crypto community spells furious rage

The resolution to FTX’s epic downfall finally seems to be in play as FTX has begun doling out its repayments to its users. This move is expected to reflect positively on the crypto market and hopefully lead to a new BTC ATH and the start of the peak of this bull cycle’s altseason. Meanwhile, an exclusive interview with SBF says FTX never went bankrupt.

SBF Says FTX Never Went Bankrupt

In detail, Sam Bankman-Fried (SBF) makes a statement in a recent interview that sparks rage in the crypto community. As we can see from the post and video above, SBF says that FTX had never gone bankrupt. He then goes on to chalk up the downfall of the FTX platform to what he believes to have been a liquidity crisis at the time

Specifically, SBF says the fall came from a liquidity crisis and not an insolvency problem. He notes that FTX had enough assets to repay all customers at the time. However, the problem is that the liquidity crisis caused market panic and made it impossible to quickly cash out funds. In response to the post, most were furious rage at SBF’s incompetency.

Crypto Market Sees Big Inflow of USDT

On the other hand, the FTX repayments could have a bullish effect on the crypto market. As we can see from the post above, the crypto market just saw the biggest inflow of USDT into exchanges since the deleveraging event earlier this month. The analyst and crypto enthusiast goes on to wonder if this move together is drawing the attention of big players in time for the long-awaited bull market surge.