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☆ The rise and fall of FTX's Sam Bankman-Fried, who became a crypto billionaire in just 4 years before losing most of his wealth in a day and resigning from his beleaguered company
▼ + stars: | 2022-12-01 | by ( Lakshmi Varanasi | Sarah Jackson | Britney Nguyen | ) www.businessinsider.com time to read: +2 min

Sam Bankman-Fried catapulted into a crypto billionaire, but it took just one day for most of his fortune to be wiped out. The co-founder of cryptocurrency exchange FTX and Alameda Research saw his net worth plummet from nearly $16 billion to $1 billion. He had a cryptocurrency exchange called FTX, a trading firm called Alameda Research, and $15.6 billion to his name, according to estimates from Bloomberg. On November 11, FTX announced Bankman-Fried was resigning as CEO and would be replaced by John J. Ray III. In addition, FTX, Alameda Research, and roughly 130 affiliated companies have begun Chapter 11 bankruptcy proceedings.

☆ Sam Bankman-Fried says he doesn't know who took $515 million from FTX's accounts after its bankruptcy filing
▼ + stars: | 2022-12-01 | by ( Pete Syme | ) www.businessinsider.com time to read: +3 min

Sam Bankman-Fried says he doesn't know who accessed FTX's systems without permission during its collapse. He admitted there was "unauthorized access," but said he had no idea who was behind it. John J. Ray III, the CEO appointed to oversee the company's bankruptcy, then confirmed that "unauthorized access to certain assets has occurred." But now, two weeks after the "suspicious" transfer of $515 million was first reported, Bankman-Fried says he doesn't know who was behind it. At the DealBook Summit, Bankman-Fried also said he doesn't think he's criminally liable for FTX's implosion, and his lawyers didn't want him to talk publicly.

☆ Sam Bankman-Fried disputed reports that FTX and Alameda employees were fueled by drugs: 'This has been totally on-label use of medication'
▼ + stars: | 2022-12-01 | by ( Samantha Delouya | ) www.businessinsider.com time to read: +3 min

Sam Bankman-Fried denied reports that employees of his now-bankrupt crypto empire were fueled by drugs and alcohol. When we had parties, we would play board games," he told reporter Andrew Ross Sorkin at the New York Times Dealbook conference on Wednesday. "I have been prescribed various things at various times to help with focus and concentration.... these have all been totally on-label use of medications," he said. FTX's in-house coach and psychiatrist, Dr. George K Lerner, told the New York Times earlier this month that some employees at FTX took A.D.H.D prescription medication but that the "rate of A.D.H.D. I was the CEO of FTX... That means that I was responsible ultimately for asking great things and I didn't.

☆ Sam Bankman-Fried didn't mention Alameda ex-CEO Caroline Ellison in his first video interview since FTX collapse
▼ + stars: | 2022-12-01 | by ( Aaron Mok | ) www.businessinsider.com time to read: +4 min

Sam Bankman-Fried didn't mention Caroline Ellison by name during an interview with The New York Times. Ellison was formerly CEO of Bankman-Fried's hedge fund, Alameda Research. The former FTX CEO denied allegations that he knowingly committed fraud with Alameda Research. "I didn't knowingly conmingle funds," Bankman-Fried said during the interview. During an interview with New York Magazine, Bankman-Fried said he didn't know what was happening at Alameda over the last year.

☆ Treasury Secretary Janet Yellen says FTX crash marked the Lehman moment for crypto as substantial harm hit investors
▼ + stars: | 2022-12-01 | by ( Phil Rosen | ) www.businessinsider.com time to read: +2 min

Treasury Secretary Janet Yellen likened the collapse of FTX to that of Lehman Brothers in 2008. Substantial harm fell upon investors, especially those who weren't well informed about the risks, she said at the DealBook Summit. Still, Yellen maintained that while FTX's crash has been dramatic, it hasn't spilled over into the traditional banking sector. Two weeks ago, Yellen said that the collapse of FTX strengthened her view that the cryptocurrency market requires "very careful regulation." "I have been skeptical, and I remain quite skeptical," she said Wednesday.

☆ Sam Bankman-Fried took plenty of blame for FTX's downfall, but denied fraudulent behavior
▼ + stars: | 2022-12-01 | by ( Dan Defrancesco | ) www.businessinsider.com time to read: +6 min

And while I've got you here, it's time to start thinking about gifts with the holidays season in full swing. Do you know what's an informative, funny gift that has a long shelf life and, most important of all, is free? FTX Cryptocurrency exchange CEO Sam Bankman-Fried at a hearing on Capitol Hill on May 12, 2022. But the main attraction at The New York Times DealBook Summit on Wednesday was Sam Bankman-Fried. And frankly conflict of interest risk," SBF said.

☆ Sam Bankman-Fried just explained what happened at FTX: Everything to know
▼ + stars: | 2022-12-01 | by ( Phil Rosen | ) www.businessinsider.com time to read: +6 min

While the world's most powerful finance official took the lunchtime billing, it was Sam Bankman-Fried who held the primetime slot. Sam Bankman-Fried, FTX CEO, at a digital assets hearing in 2021. Within minutes of starting, Sorkin asked Bankman-Fried directly if there was a commingling of funds between the two now-bankrupt companies he founded, FTX and Alameda Research. When Sorkin asked whether Bankman-Fried feels he has any criminal liability, Bankman-Fried said that's not what he's focused on right now. Earnings on deck: Toronto-Dominion Bank, Bank of Montreal, and Dollar General Corporation, all reporting.

☆ Sam Bankman-Fried apologized to an FTX customer who said he lost his life savings of $2 million, and accused the former CEO of stealing it
▼ + stars: | 2022-12-01 | by ( Pete Syme | ) www.businessinsider.com time to read: +3 min

An FTX user wrote to the host interviewing Sam Bankman-Fried at a New York Times summit. He said he lost $2 million and accused SBF of stealing it. Andrew Ross Sorkin – the journalist hosting the summit – shared the email "from a gentleman who said he lost his life savings." It had the subject line: "Sam Bankman-Fried stole $2 million from me." The user wrote: "Andrew, can you please ask SBF why he decided to steal my life savings and the $10 billion more from customers to give to his hedge fund, Alameda?"

☆ Former FTX CEO Sam Bankman-Fried says he didn't 'try to commit fraud'
▼ + stars: | 2022-11-30 | by ( Elizabeth Napolitano | ) www.nbcnews.com time to read: +5 min

A growing number of regulators are investigating Bankman-Fried and his former company, and the fallout from the collapse of FTX is only expanding. The broader industry consequences also continue to play out, with the crypto firm BlockFi filing for bankruptcy last week. Days after the CoinDesk report, FTX rival Binance announced it would sell its FTX holdings, setting off a bank-run-style rush of withdrawals. What matters here are the stakeholders in FTX," Bankman-Fried said. Bankman-Fried and his associates greenlighted lavish expenditures, including $300 million for real estate purchases in the Bahamas for FTX and Alameda employees, according to filings from current FTX attorneys.

☆ BlackRock's Fink says crypto technology still relevant despite FTX
▼ + stars: | 2022-11-30 | by ( Carolina Mandl | ) www.reuters.com time to read: +2 min

NEW YORK, Nov 30 (Reuters) - BlackRock Inc (BLK.N) Chief Executive Larry Fink said on Wednesday that there appear to have been "misbehaviors" by the now-bankrupt FTX crypto exchange, but that the technology behind crypto is relevant for the future. "We're going to have to wait to see how this all plays out (with FTX)," Fink said. "I mean, right now we can make all the judgment calls and it looks like there were misbehaviors of major consequences." BlackRock invested $24 million in FTX through a billionaire fund it manages, he said. Despite all the problems around FTX, Fink said he considers the technology behind crypto "will be very important."

☆ Yellen says U.S. firms should be mindful of China-Taiwan geopolitical risks
▼ + stars: | 2022-11-30 | by ( David Lawder | ) www.reuters.com time to read: +3 min

But we are seeing a range of geopolitical risks rise to prominence, and it's appropriate for American businesses to be thinking about what those risks are." U.S. companies are beginning to think about such supply chain risks more seriously, including over Taiwan and Chinese practices that have raised national security concerns, Yellen said. But she said continued strong business ties between the United States and China were important for the global economy. It would not be beneficial "either to the United States or to China or to the global economy to see that erode." Yellen also said China's persistent COVID-19 lockdowns were disrupting production and hampering efforts to end disruptions to global supply chains and rebuild goods inventories.

☆ BlackRock's Fink says there may have been misbehaviors at FTX
▼ + stars: | 2022-11-30 | by ( Carolina Mandl | ) www.reuters.com time to read: 1 min

NEW YORK, Nov 30 (Reuters) - BlackRock's Chief Executive Larry Fink said on Wednesday that it seems there were some misbehaviors at crypto firm FTX, but that the technology behind crypto is relevant for the future. "We're going to have to wait to see how this all plays out (with FTX). I mean, right now we can make all the judgment calls and it looks like there were misbehaviors of major consequences," Fink said, at an event hosted by the New York Times Dealbook, adding BlackRock invested $24 million in FTX through a fund of funds it manages. Reporting by Carolina Mandl, in New YorkOur Standards: The Thomson Reuters Trust Principles.

☆ U.S. Treasury's Yellen says cryptocurrencies need regulation
▼ + stars: | 2022-11-30 | by ( David Lawder | ) www.reuters.com time to read: +2 min

[1/2] U.S. Treasury Secretary Janet Yellen holds a news conference in the Cash Room at the U.S. Treasury Department in Washington, U.S. July 28, 2022. Yellen told an event hosted by the New York Times DealBook that it was important to ensure that crypto assets had adequate customer protections. Yellen told DealBook that the United States was involved in discussions with allies about regulating cryptocurrencies and the Treasury Department had also done a number of reports mapping out "significant" concerns. "The good piece of an explosion like we saw is that it hasn't spilled over to the banking sector. "It's a Lehman moment within crypto, and crypto is big enough that we've had substantial harm with investors."

☆ Yellen says she 'certainly' plans to remain as Treasury secretary
▼ + stars: | 2022-11-30 | by ( ) www.reuters.com time to read: +1 min

NEW YORK, Nov 30 (Reuters) - U.S. Treasury Secretary Janet Yellen on Wednesday said she "certainly" planned to stay on in her job for the duration of President Joe Biden's term, dismissing speculation she was considering leaving after this month's midterm elections. Yellen told an event hosted by the New York Times Dealbook she had no plans to leave Treasury. I'm excited about what President Biden has accomplished so far, and I think there's more to come." Asked if she would stay for the duration of Biden's term, Yellen said, "I have no plan to leave." She said implementing key laws enacted under Biden, including those dealing with climate investments, semiconductor manufacturing and infrastructure, would play a big role in the coming years.

☆ Mark Zuckerberg says Apple's App Store policies are not 'sustainable or good place to be'
▼ + stars: | 2022-11-30 | by ( Jonathan Vanian | ) www.cnbc.com time to read: +3 min

Meta CEO Mark Zuckerberg is perfectly willing to return the favor. "Apple has sort of singled themselves out as the only company that is trying to control unilaterally what apps get on a device," Zuckerberg said. "They've always made it so you can sideload and have other app stores and work directly with phone manufacturers," Zuckerberg said. "I would guess that not everything is going to work, but I think some things might work," Zuckerberg said. "I tend to think that I don't want one person or one company making those decisions, which is why we pioneered this oversight board for our content decisions," Zuckerberg said.

☆ We were spending too much of our energy getting licensed, in retrospect: Sam Bankman-Fried
▼ + stars: | 2022-11-30 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWe were spending too much of our energy getting licensed, in retrospect: Sam Bankman-FriedFormer FTX CEO Sam Bankman-Fried joins Andrew Ross Sorkin at The New York Times DealBook Summit to discuss what was going on at the company ahead of the bankruptcy.

☆ Amazon CEO Andy Jassy says cost-cutting review revealed the economy is 'more uncertain' than previously thought
▼ + stars: | 2022-11-30 | by ( Annie Palmer | ) www.cnbc.com time to read: +3 min

Andrew Ross Sorkin speaks with Amazon CEO Andy Jassy during the New York Times DealBook Summit in the Appel Room at the Jazz At Lincoln Center on November 30, 2022 in New York City. Amazon CEO Andy Jassy has been entrenched in a sweeping review of the company's expenses, marked with the largest job cuts in its history, shuttered programs and a pause on warehouse expansion. Speaking at The New York Times DealBook Summit on Wednesday, Jassy said a monthslong cost-cutting review revealed the economy was "more uncertain" than previously thought, which prompted the company to escalate its efforts to rein in expenses. Business Insider also reported on the future of Amazon's Alexa unit being in jeopardy. WATCH: Amazon CEO Andy Jassy on shifting consumer spending habits

☆ Netflix CEO calls resisting ads a mistake
▼ + stars: | 2022-11-30 | by ( ) www.reuters.com time to read: 1 min

Nov 30 (Reuters) - Netflix Inc (NFLX.O) co-founder Reed Hastings said on Wednesday he was "wrong" to resist ads for his streaming service. Hastings said Hulu proved streaming services could support advertising, and offer consumers lower prices. "I wish we had flipped a few years earlier on it," Hastings said during the New York Times DealBook summit. Reporting by Dawn ChmielewskiOur Standards: The Thomson Reuters Trust Principles.

☆ My lawyers tell me don't say anything, but I have a duty to explain what happened: Sam Bankman-Fried
▼ + stars: | 2022-11-30 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailMy lawyers tell me don't say anything, but I have a duty to explain what happened: Sam Bankman-FriedFormer FTX CEO Sam Bankman-Fried talks to Andrew Ross Sorkin at The New York Times DealBook Summit about what his lawyers are telling him and why he's operating in the Bahamas.

☆ Meta CEO Mark Zuckerberg says the metaverse is 'not the majority of what we're doing'
▼ + stars: | 2022-11-30 | by ( Samantha Delouya | Britney Nguyen | ) www.businessinsider.com time to read: +3 min

Amid backlash to his metaverse pivot, Mark Zuckerberg clarified that it's "not the majority of what we're doing." Zuckerberg said 80% of investments still go toward Meta's core social media business. Then a little less than 20% of our investment goes towards Reality Labs," Zuckerberg said Wednesday at the New York Times Dealbook conference. "You can debate whether 20% is too much for this bet, but it's not the majority of what we're doing," Zuckerberg said. Despite the resistance to his company's pivot, Zuckerberg sounded upbeat about his company's multi-billion-dollar investment in the metaverse.

☆ Meta's Zuckerberg says some of Elon Musk's Twitter content approach 'might work'
▼ + stars: | 2022-11-30 | by ( ) www.reuters.com time to read: 1 min

Nov 30 (Reuters) - Meta CEO Mark Zuckerberg said on Wednesday he was keen to see how Elon Musk's management of content moderation on Twitter would fare, arguing it was good for platforms to take different approaches. "You can agree or disagree with what Elon is doing, or how he's doing it, but I do think it's going to be very interesting to see how this plays out," said Zuckerberg, speaking at the New York Times Dealbook conference. "I would guess that not everything is going to work, but I think some things might work," he said. Reporting by Carolina Mandl and Lananh Nguyen in New York and Katie Paul in Palo Alto; Editing by Chris ReeseOur Standards: The Thomson Reuters Trust Principles.

☆ Yellen says unemployment rate in 4% range is 'healthy'
▼ + stars: | 2022-11-30 | by ( ) www.reuters.com time to read: 1 min

NEW YORK, Nov 30 (Reuters) - U.S. Treasury Secretary Janet Yellen said on Wednesday that she was not sure what an acceptable unemployment rate is for the current economic outlook, but said that the Treasury has considered jobless rates in the 4% range as indicative of a healthy labor market. Asked at the New York Times Dealbook summit to describe a politically palatable unemployment rate, Yellen said, "I'm not sure what the right number is, but certainly, historically, we would have considered numbers with unemployment in the force to be a very healthy labor market. The October unemployment rate was 3.7%, close to a 50-year low, and the Labor Department is due to report jobs data for November on Friday. Reporting by David LawderOur Standards: The Thomson Reuters Trust Principles.

☆ The Fed doesn't know when inflation will stop being a problem, and it means interest rates could stay high for 'some time,' Powell says
▼ + stars: | 2022-11-30 | by ( Ayelet Sheffey | ) www.businessinsider.com time to read: +4 min

Fed Chair Powell said on Wednesday that the "path ahead for inflation remains highly uncertain." As a result, Powell said it's likely interest rates could remain high, but the pace of increases might slow in December. He also noted there is still a path for the US to avoid a recession and achieve a soft landing. On Wednesday, Federal Reserve Chair Jerome Powell spoke at a Brookings Institution event on the economic outlook, inflation, and the labor market. "It is likely that restoring price stability will require holding policy at a restrictive level for some time," Powell said.

☆ Silicon Valley leaders welcome Elon Musk's management of Twitter
▼ + stars: | 2022-11-30 | by ( ) www.reuters.com time to read: +1 min

Nov 30 (Reuters) - Silicon Valley leaders welcomed Elon Musk's management of Twitter, with Netflix (NFLX.O) co-founder Reed Hastings going so far as to call the billionaire "the bravest, most creative person on the planet." Meta Platforms (META.O) CEO Mark Zuckerberg on Wednesday said he was keen to see how Elon Musk's management of content moderation on Twitter would fare, arguing it was good for platforms to take different approaches. "I would guess that not everything is going to work, but I think some things might work," he said. Hastings said Musk has a different management style than his own but added: "I'm 100% convinced he's trying to help the world with all of his endeavors." "It's not how I would do it, but I'm deeply respectful," said Hastings.

☆ Amazon CEO explains thinking behind layoffs as unionized warehouse workers protest outside
▼ + stars: | 2022-11-30 | by ( Catherine Thorbecke | ) edition.cnn.com time to read: +5 min

Amazon, more than most tech companies, experienced a staggering pandemic boom as more customers shifted their spending online during the health crisis. Despite the landmark union victory in April, Amazon has so far refused to formally recognize the grassroots worker group known as the Amazon Labor Union, or come to the bargaining table. The company has aggressively pushed back against the workers’ victory through the National Labor Relations Board (NLRB). Jassy also emphasized that the last two Amazon union elections held resulted in workers voting not to unionize, and that Amazon prefers to have a direct relationship with fulfillment center workers rather than going through unions. Labor activist Chris Smalls joins members of the Amazon labor union and others for a protest outside of the New York Times DealBook Summit as Amazon's CEO, Andy Jassy, will be appearing on November 30, 2022 in New York City.

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