Crypto chief braces for biggest one-day loss for a billionaire EVER: FTX CEO will see $16B fortune slashed to $1B - as Bitcoin and Ethereum plunge 10%

• CFTX EO Sam Bankman-Fried will see his fortune crash from $16 billion to $1 billion after his company gets bailed out by Changpeng Zhao, CEO of Binance
• The loss is the biggest one-day collapse ever among billionaires
• FTX's token has dropped about 75 percent in value on Tuesday to just over $5
• It comes amid a fatal liquidity crunch after it was revealed that FTX issued a token to build up 25 percent of assets for Bankman-Fried's other company

By RONNY REYES FOR DAILYMAIL.COM

PUBLISHED: 00:23, 9 November 2022 | UPDATED: 06:56, 9 November 2022

Crypto giant FTX's CEO lost $16 billion of his personal fortune as his company faces a liquidity crunch and is bailed out by its rival.

Sam Bankman-Fried, 30, who touted last year that his crypto company would be big enough to buy Goldman Sachs, will see his fortune drop to $1 billion after receiving a bailout from rival Changpeng Zhao's Binance, Bloomberg reports.

The 94 percent loss is the biggest one-day collapse ever among billionaires.

FTX's token, which was valued at nearly $20 earlier on Tuesday, has now sunk more than 75 percent to just over $5.

In comparison, Bitcoin, the most popular of the cryptocurrencies, has its token currently valued at $18,480.21

Zhao, 45, appeared to gloat about his rival's downfall on Twitter, chastising FTX's decision to use its own cryptocurrency for more than $16 billion in collateral for another company owned by Bankman-Fried.

'Two big lessons: Never use a token you created as collateral,' Zhao wrote following news of the bailout. 'Don't borrow if you run a crypto business.'


FTX CEO Sam Bankman-Fried (left) will see his fortune crash from $16 billion to $1 billion after his company gets bailed out by crypto rival Changpeng Zhao, CEO of Binance


FTX's token has dropped about 75 percent in value on Tuesday to just over $5


Zhao announced that he will be taking over FTX on Twitter, and appeared to chastised Bankman-Fried's decision to use his own cryptocurrency as collateral for his crypto trading company, Alameda

Bankman-Fried is widely considered one of the biggest names in the crypto market, with his personal wealth once peaking at $26 billion.

The young billionaire made headlines promising to shape the world by donating millions to political causes and charities.

Bankman-Fried had about a 53 percent stake in FTX worth about $6.2 billion, according to Bloomberg's Billionaire Index.

However, his most valuable assets was in his crypto trading company, Alameda Research, which contributed $7.4 billion to his personal fortune.

Last Friday, reports revealed that a token issued by FTX, FTT, made up about 25 percent of Alameda's $14.6 billion assets, and another token labeled 'FTT collateral' accounted for $2.16 billion.

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The biggest one day loss for a billionaire, EVER!...Ouch!

I am sure he will learn a lesson from this.may he bounce back higher from his loss.

Fake, invisible, intangible money.

Billionaire my foot.

He is a crypto made billionaire... meaning, he still has not lost anything much since he mints his own crypto

I'm certain that he will recover everything back.

The crypto space is made up of different Ponzi schemes and scams...everything there is all lies and smokscreens

A.F. Branco Cartoon – Dirty Laundry
A.F. BRANCO on November 19, 2022 at 5:00 am

FTX Democrat Fraud

It seems Democrats may be involved in the FTX money laundering scheme that somehow has something to do with Ukraine. Political cartoon by A.F. Branco.

Pyramid Schemes
Michael Ramirez November 21, 2022


As with any pyramid scheme, if you’re going to go in, be first money in and first money out. Everyone else takes a bath.

Editorial cartoon by Michael Ramirez. Commentary by R. Mitchell, Editor-in-chief.

What a loss. It takes the strong to survive

Abbafrye:
What a loss. It takes the strong to survive

Please return my N3500.
It's obvious that you blocked me on WhatsApp immediately I sent the money.
Please return my money or tomorrow morning I'm going to WEMA bank to lay a complaint.

A.F. Branco Cartoon – Channelling Stalin
A.F. BRANCO on December 12, 2022 at 5:00 am

Channelling Stalin

Show me the man and I'll show you the crime. Stalin-style Justice Dept. Political cartoon by A.F. Branco ©2022.

Sad

Elon Musk LOSES His Title As World's Richest Person

Will this hurt Elon?

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Fried Bankman
A.F. BRANCO on December 15, 2022 at 5:00 am

Bankman

Bankman-Fried was arrested just before having to testify before Congress. Suspicious timing? Political cartoon by A.F. Branco ©2022.

Bad Eggs and Scams
Michael Ramirez December 15, 2022


Sam Bankman-Fried and his girlfriend defrauded investors and clients in order to bankroll Democrats during the midterm election. In his defense, he's just doing what labour unions have been doing for decades – the only difference is that he just didn’t tell the people he was taking money from.