- FTX transferred 105,000 USDC tokens to Wintermute through the Polygon community.
- Alameda Analysis transferred 2.3 million DAI to Wintermute through Avalanche.
- Alameda Analysis despatched 47,000 DAI to Cumberland Market Producer.
Bankrupt crypto change FTX and its affiliate buying and selling agency Alameda Analysis have transferred $2.5 million in stablecoins to crypto market makers Wintermute and Cumberland. Blockchain safety platform PeckShield recognized transfers that had been made utilizing 4 totally different addresses and three blockchain networks.
In a publish on X (previously Twitter), PeckShield stated FTX and Alameda transferred 2.5 million DAI and USDC to market makers. Particularly, the Alameda pockets transferred 2.3 million DAI to Wintermute through the Avalanche community, whereas one other Alameda pockets despatched 47,000 DAI to Cumberland through the Ethereum community.
As well as, FTX transferred 94,000 USDC to Wintermute through the Polygon community and one other switch of 11,000 USDC was made utilizing the identical community. These stablecoin transfers could have been meant to supply liquidity. Giant market makers similar to Wintermute and Cumberland help buying and selling quantity by growing liquidity within the markets. Entities could enter into contracts with Wintermute to supply liquidity and share within the income these platforms obtain from market making.
Moreover, by sending stablecoins to those market making platforms, FTX and Alameda can doubtlessly take part in arbitrage methods. Wintermute makes use of these stablecoins to reap the benefits of worth variations on varied exchanges, and the ensuing income are shared with the stablecoin suppliers. Market makers actively purchase and promote to make sure worth stability and slender spreads.
Whereas the rationale for sending the stablecoins stays unclear, FTX and Alameda have been actively offloading property to repay their collectors. As beforehand reported, FTX recovered practically $7.3 billion in liquid property, together with roughly $1.2 billion in money. The bankrupt agency is ready to start repaying collectors and clients in money, not cryptocurrency, primarily based on the worth of their property in 2022, when the inventory market collapses. $7.3 billion was recouped from the sale of a stake in AI startup Robinhood, and the sale of Sam Bankman-Fried's Bahamas penthouse, amongst others. Sam Bankman-Fried (SBF) is at present incarcerated and serving a 25-year sentence.
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