PANews reported on October 6 that according to Decrypt, FTX co-founder Gary Wang testified in court on Thursday that SBF allowed Alameda to withdraw funds unlimitedly. He explained that Alameda had a large credit line, could execute orders faster on the FTX platform, and could withdraw funds unlimitedly. He said it was allowed to maintain a negative balance. When FTX collapsed, Alameda had withdrawn $8 billion from the platform and $65 billion from its credit line. He added that Alameda's debt situation distinguishes it from other market makers trading on FTX. Other market makers typically have credit lines of millions or tens of millions of dollars, not billions of dollars.
Gary Wang also revealed that he earns $200,000 a year and holds a 17% stake in FTX. SBF owns "about 65%" of the company's shares. At the same time, SBF holds 90% of Alameda Research, while he only holds 10%. During his tenure at FTX, he was allowed to withdraw $200,000 from the company to build a house and received up to $300 million in funds to invest in other startups. Gary Wang also said that SBF was responsible for public-facing duties such as lobbying and talking to the media, while his duties were limited to coding.
