Castles Made from Sand {Dollars}: SBF, FTX, and different Three Letter Brokers – Bitcoin Journal

The story of Bitcoin has definitely had its fair proportion of nefarious characters, legal exercise, unhealthy haircuts and worse wardrobes, and but our anti-hero du jour has appeared to outdo all of them. Sam Bankman-Fried, higher identified by the three letter acronym SBF, burst onto the scene on the peak of the 2017 bubble, founding Alameda Analysis that September, simply 4 years after graduating from an internship right into a full-time place at one of many world’s largest market makers, Jane Road Capital.

SBF is the son of Stanford Legislation professor and founding father of left-wing tremendous PAC Thoughts The Hole, Barbara Fried, and Stanford professor Joseph Bankman, an professional on tax shelter legal guidelines and authorities regulation. In the beginning of 2018, SBF had struck digital gold whereas profiting from the arbitrage alternative presenting itself between a better demand for bitcoin within the Asian market, colloquially often called the “kimchi premium”. By the tip of the 12 months, and after amassing a substantial fortune from this high-volume bitcoin/greenback unfold, he formally moved to Hong Kong, formally founding the derivatives trade FTX within the following spring.

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