The collapse of FTX has shown that where there’s smoke, there’s fire.
In a year filled with jaw-dropping unveilings, none compare to the bewildering fall of Sam Bankman-Fried’s FTX exchange. While many were stunned, there were a few tell-tale signs that may have indicated not everything was peachy-perfect over at FTX headquarters.
- The FTX NFT marketplace gained minimal traction but must have been quite an expensive endeavor.
- They had recently agreed to a $212 million deal for naming rights to the Miami Heat arena.
- FTX Ventures, the company's venture capital arm, had consistently made large, late-stage investments. Massive check sizes into highly illiquid positions.
Ishan Bhaidani is a content manager at Serotonin, a Web3 marketing agency. He graduated from the University of Texas at Austin’s McCombs School of Business with a BBA in finance and statistics.