Sam Bankman-Fried Says FTX Has 'A Few Billion' To Support Failing Crypto Companies

Sam Bankman-Fried, the founder and CEO of FTX, has said the company has “a few billion” to bail out other cryptocurrency companies.

What Happened: In a recent interview with Reuters, Bankman-Fried said that FTX still has enough cash to do a $2 billion deal if needed.

Over the past few weeks, FTX has been actively involved in providing distressed cryptocurrency companies with much-needed financial relief.

FTX entered a $680 million agreement with cryptocurrency lender BlockFi, which included a $400 million revolving credit facility and an option to acquire the firm at $240 million, conditional on approval by shareholders.

Bankman-Fried-owned Alameda Research also loaned broker Voyager Digital Ltd VYGVF $200 million after Three Arrows Capital (3AC) defaulted on a $665 million loan. On Wednesday, Voyager filed for Chapter 11 bankruptcy.

Despite the market-wide carnage and distress among crypto firms, Bankman-Fried told Reuters that he believes the worst is over for the crypto industry.

Several cryptocurrency companies have reportedly reached out to him for help, and the FTX chief said he feels more comfortable giving out his own money for the cause.

"FTX has shareholders and we have a duty to do reasonable things by them and I certainly feel more comfortable incinerating my own money," he reportedly said.

Last month, SkyBridge Capital’s Anthony Scaramucci compared Bankman-Fried’s efforts to what JPMorgan Chase & Co's JPM founder did to stem 'The Panic of 1907' financial crisis.

Price Action: At press time, Bitcoin was trading at $20,517, gaining 3.11% over the last 24 hours as per data from Benzinga Pro

Photo via Cointelegraph on Shutterstock

Posted In: BlockFiFTXSam Bankman-FriedThree Arrows CapitalCryptocurrencyNewsMarketsMedia

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.