This 2022 has not been the best year for investors and prominent business people who have achieved fortunes thanks to cryptocurrencies, where their means have been affected, and the companies they lead. Bitcoin Future App is a trustworthy digital currency exchange.
Possibly cryptographic investments have always been characterized by high levels of volatility, but this does not make them utterly unreasonable since many young people, such as Sam Bankman-Fried, one of the young billionaires due to their trust in cryptocurrencies.
Who is the lucky Sam Bankman-Fried?
Sam Bankman-Fried is considered one of the youngest billionaires in the world; at only 30 years of age and studies in mathematics and physics managed to achieve success after the creation of his company FTX Trading Limited.
In the year 2021, this young American was considered by Forbes as one of the ten billionaires of the date. It is because he consistently demonstrated his altruistic characteristics based on the fact that the best actions are all those that produce happiness in many people.
He began to build his fortune in 2017 when he saw in the growth of Bitcoin the perfect opportunity to enter the cryptocurrency market; that is, the money earned would be good enough to start his own quantitative trading business.
Over the months, he was forming his work team, obtaining profits of more than 20 million dollars a day, an amount that undoubtedly kept the group that had been developed since the end of 2017 together under the figure of Alameda Research.
Limited in 2019, joined by major investors such as SoftBank and Pantera Capital, despite having achieved his fortune through Sam, declares that if he found another investment option, he would not hesitate to invest in generating more money.
His fortune increased drastically after the upward trend generated during the year 2021, which exceeded an increase of 16 million dollars compared to previous years, positioning him with a fortune of more than 25,000 million dollars.
To date, he has made it known that he does not intend to indulge in expensive tastes or live in luxury. He currently shares his apartment with ten other colleagues and drives a classic Toyota, but he has nothing extravagant amenities.
A fall I never expected
Sam Bankman-Fried, known as SBF, CEO and Co-founder of the FTX exchange platform, considered one of the most solid in the active crypto market, in mid-October was involved in rumors of insolvency of the companies he had run to date.
This type of situation arose after the abrupt fall of the cryptocurrency market and the excessive investments in cryptographic funds, leading SBF to a loss of more than 90% of its fortune over several years.
The forecasts that had to be made by the financial and administrative team responsible for the company’s financial management did not consider an extreme scenario since it had just generated large profits after the last historical maximum of Bitcoin.
The fortune of more than 25,000 million dollars fell to just 1,000 million, representing the biggest collapse of billionaires in just one day.
SBF’s intentions to donate his fortune to those most in need is an episode that went down in history; after the collapse of FTX, his altruistic plan could not be carried out.
A collapse that drags the global market
The crisis that the exchange platform is going through affects corporate members and influences the development of the global digital financial market, leading to the fall of digital currencies such as Bitcoin.
It has not been an easy year since traders’ fear intensified after the FTT token’s fall by more than 905 of its value, which has undoubtedly destabilized the cryptocurrency ecosystem.
Added to this situation is the possibility that the CEO of Binance would assume the debt and could get FTX out of bankruptcy and its liquidity crisis, which he later refused due to the complicated situation of the FTX Exchange.
Conclusion
Possibly the forecasts are not the most positive for the young visionary of digital investments and his company; everything will depend on the global scenario of the cryptocurrency market and its change in trend; it is not easy to handle such a drastic economic loss in such a short time