Mike Burgersburg of Dirty Bubble Media reported on December 9th that there is evidence to support the concerns that “Genesis Block was a front for Alameda Research,” which reveals that Alameda was processing and receiving the customer payments that were sent to Genesis Block.
Sam Bankman-Fried and his defunct companies FTX and Alameda Research are the subjects of new revelations daily. Before unexpectedly shifting most of his activities to the Bahamas in 2021, both of his companies were headquartered in Hong Kong.
His subsidiaries and affiliated businesses, such as Genesis Block, an over-the-counter crypto exchange, allowed him to maintain close links to Hong Kong. The important thing to remember is that Genesis Block has no connection to the independent crypto company Genesis Global, which offers services for institutional cryptocurrency trading.
One of the company’s sources previously reported that Genesis Block broke relations with FTX and started shutting down services early this year. But, Burgersburg argued that “customer transfers to Genesis Block were sent directly to Alameda’s addresses.”
Genesis Block Ties To Alameda Research
Burgersburg highlighted in his Twitter thread that the Financial Times recently reported that the OTC firm and FTX/Alameda are connected in a number of ways, including through shared offices and leadership.
According to the statement from Financial Times:
The FTX executives were joined by staff from Genesis Block, a crypto retail service company part-owned by FTX offshoot Alameda Ventures, which is separate from digital asset trading group Genesis and its parent company Digital Currency Group.
Another point that points out the connection was when Bankman-Fried’s FTX filed for bankruptcy days later, the OTC firm announced that they were shutting down their trading portal and halting deposits.
Burgersburg claimed in the tweet’s comment section that there is proof that cryptocurrency purportedly given to the firm was transmitted directly to two addresses of Alameda Research.
Furthermore, blockchain transactions that passed through these addresses unambiguously prove that they were customer-facing addresses that accepted deposits and withdrawals. Over $20 billion in transactions have gone via the two addresses.
“This is not how we would expect a “hedge fund” wallet to behave.”
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