Bloomberg excludes Sam Bankman-Fried from its billionaire list

Over the course of a day, the fortune of FTX founder Sam Bankman-Fried plummeted by 94% — from $15.6 billion to $992 million due to liquidity problems at the platform. Bloomberg removed him from its billionaire list.

According to the agency, this is the largest drop in wealth among billionaires in the index’s history.

Bankman-Fried owns 53% of FTX’s shares, which were previously valued at $6.2 billion, as well as Alameda Research valued at $7.4 billion. Analysts say that because of the latter’s troubles, investors in FTX, including Bankman-Fried, face a total loss of assets after Binance’s purchase of the exchange.

In particular, the crisis could affect SoftBank Vision Fund, Singapore’s sovereign wealth fund Temasek and Ontario Teachers’ Pension Plan, which in January invested $400 million in the exchange at a valuation of $32 billion.

Meanwhile, the troubles of the main platform are not expected to affect the U.S. unit, FTX.US. It is a fully independent legal entity, whose valuation in early 2022 reached $8 billion.

Earlier, on November 6, Binance CEO Changpeng Zhao stated his intention to divest from the FTX utility token (FTT). Assets, together with BUSD, totaling around $2.1 billion, were the result of the company’s exit from its portfolio investment in FTX.

On November 8, FTT quotes fell by almost 30%. At the same time, Bitcoin price fell below the $20,000 mark, dragging the rest of the market.

Subsequently, Bankman-Fried and Zhao announced a strategic partnership. It is designed to resolve the liquidity crisis and envisages a possible takeover of the FTX exchange by Binance.

For analysis of the Binance-FTX standoff’s impact on the crypto market, read ForkLog’s special report.

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