FTX CEO Quits Crypto Policy Debate, Allows Crypto Twitter to Carryon

The CEO of FTX, Sam Bankman-Fried has hinted that he is no longer interested in any debate that concerns crypto policies. He made his intention known in a Twitter thread shared over the weekend. 


“Take the wheel, Crypto Twitter,” says Bankman-Fried after a heated argument in the comment section of the Twitter thread.


While cryptocurrency users wait for federal regulatory frameworks, Bankman-Fried published a set of guidelines in the digital industry for implementation in a press bulletin that should be followed to protect and clarify their rights but his publication was received with a lot of backlash by some key industry players.


Bankman-Fried has pushed Congress to approve a market regulation bill introduced by Senators Debbie Stabenow of Michigan and John Boozman of Arkansas. The Commodity Futures Trading Commission (CFTC) would have expanded regulatory authority over crypto exchanges under the Digital Commodities Consumer Protection Act.


The bill seems to be an action that is allegedly harmful to DeFi, primarily a sector of blockchain-based solutions that seek to enhance finance by swapping out central middlemen for computer code.


In the Twitter thread, Bankman-Fried urged the ShapeShift CEO Erik Voorhees to fight for what is right and make his voice heard. He also encouraged everyone to fight for their right to be free, the functioning of the economy, and the enormously scalable power of  Decentralized Finance (DeFi).


Oppositions in the Blockchain Industry


Bankman-Fried is not the first individual or body to be receiving backlash after proposing a crypto policy. 


For example, the Financial authorities in South Korea have stated their opposition to Busan City’s proposal to offer special regulatory support to overseas crypto businesses establishing digital asset exchanges.

The Federal Deposit Insurance Corporation (FDIC), a US government organization tasked with preserving the financial system in the event of bank failures, sent five crypto-related businesses including FTX US cease-and-desist letters requesting that they stop making false and deceptive claims regarding the availability of deposit insurance for their customers, another model through which opposition to policies can be showcased.

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FTX Derivatives Exchange Revenue Tops $1B in 2021, Report said

The financial record of FTX Derivatives Exchange for the 2021 financial year has shown that the company’s revenue topped the $1 billion mark, according to leaked earnings documents seen by CNBC.


The trading platform, founded in 2019 by Sam Bankman-Fried, has grown amongst the ranks and now stands as one of the most positive cash flow exchanges.

According to the leaked documents, FTX’s revenue grew from $89 million to $1.02 billion in 2021, which stands at 1,000% growth. As revealed, the firm’s operating income was $272 million, up from $14 million in the year-ago period. The trading platform also saw a net income of $388 million last year, up from just $17 million a year earlier.

The growth recorded across the board reflected the boom the digital currency ecosystem recorded in 2021, with Bitcoin (BTC) attaining its all-time high (ATH) price above $69,000. 

FTX was well positioned for the impressive figures it recorded and has continued with the same momentum as last year. The company recorded $270 million in revenue in the first quarter of this year, and by projections, it is on track to earn as much as $1.1 billion this year. The emergence of the crypto winter in the second quarter did not really affect FTX but has rather positioned the trading platform as the lender of last resort.

With many established crypto firms going bankrupt following the collapse of Terra (LUNA), many have leaned on FTX for a bailout. The exchange has extended financial support to crypto lender BlockFi. While it also made a move in conjunction with Bankman-Fried’s Alameda Research, Voyager Digital rejected its offer noting it was not in the best interest of all parties involved.

Besides its role as a lender of last resort, the performance of FTX was also bolstered by its many acquisitions spanning every aspect of the industry. With investors’ backing, FTX seeks to continually bolster its global footprint across the board.

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