Whale Alert has reported a massive transfer of funds from cryptocurrency trading firm Alameda Research to an unknown wallet. The transfer, which occurred on January 18th, involved a staggering 5,002,584 FTT, equivalent to approximately $9 million.
The news of the transfer has sent waves throughout the crypto community, as Alameda Research has been at the center of controversy in recent months. The company was implicated in the SBF historical fraud scandal, which has shaken the industry to its core.
Many are now questioning the legitimacy of the transfer and speculating about the identity of the unknown Wallet. Some have suggested that the funds may be tied to the ongoing investigation into the SBF fraud, while others have speculated that they may be connected to a larger financial scandal.
This incident has raised many eyebrows in the crypto community, and it will be interesting to see how this unfolds and what the outcome will be. However, more information is expected to be released in the coming days and weeks as the investigation into the transfer may be unveiled.
Caroline Ellison, a former top executive at a trading firm closely tied to FTX, has pleaded guilty to criminal charges stemming from the collapse of the cryptocurrency exchange and apologized for defrauding customers, investors, and lenders.
She agreed to help federal prosecutors build their case against Sam Bankman-Fried, the disgraced founder of FTX and a co-founder of Alameda Research.
Ellison admitted to going along with the decision of Bankman-Fried and others not to disclose the close relationship between FTX and Alameda and the decision to divert billions in customer deposits at FTX to pay off loans of Alameda.
Analytic Firm Arkham’s Steady Eyes On Alameda Research
Previously, Crypto analytics firm Arkham has revealed that liquidators lost $72,000 worth of digital assets while consolidating funds on the decentralized finance (DeFi) lending platform Aave.
Despite returning $1.4 million of tokens to a central multi-sig wallet, significant sums of capital are still stranded in over 50 Alameda wallets, with the largest being worth over $14 million.
However, according to the latest update from the analytic firm, liquidators have lost at least $11.5 million since taking control of Alameda Research’s trading accounts. The total preventable loss has been $4 million. The liquidators reportedly made a string of significant losses due to liquidations, some of which could have been avoided.
The firm also stated that if liquidators had used a function to immediately close the position by selling off collateral instead of withdrawing collateral from the wallet, at least $15 million could have been saved instead of the $11 million recovered.
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