SBF’s latest quibble: Summarizing the real reasons for FTX’s collapse
a) During 2021, Alameda's balance sheet grew to approximately $100 billion in net assets, $8 billion in net borrowings (leverage), and $7 billion in cash.
b) Alameda failed to adequately hedge its market risks. Over the course of 2022, a series of widespread market crashes occurred in the stock and cryptocurrency space, resulting in assets losing approximately 80% of their market value.
c) In November 2022, severe FUD contributed to this extreme, rapid, targeted collapse that left Alameda insolvent