<![CDATA[<figure class="image"><img src="https://cimg.co/news/126231/333323/011-8.jpg" srcset="" width="" class="content-img" alt=""><figcaption>Image Source: YouTube</figcaption></figure>Former&nbsp;<a href="https://cryptonews.com/tags/ftx/">FTX</a>&nbsp;boss&nbsp;<a href="https://cryptonews.com/tags/sam-bankman-fried/">Sam Bankman-Fried</a>&nbsp;had written a draft Twitter thread to announce the possible closure of his hedge fund&nbsp;Alameda Research.&nbsp;The thread, which was drafted in September 2022, reveals that Bankman-Fried considered announcing the closure of Alameda Research, the trading firm he co-founded, just two months before the collapse of FTX.During the trial, FTX co-founder&nbsp;Gary Wang&nbsp;testified that Bankman-Fried was anxious about an upcoming article that would expose the close ties between FTX and Alameda Research.&nbsp;<h2 id="bankman-fried-praises-alameda-in-draft-thread">Bankman-Fried Praises Alameda in Draft Thread</h2>In the thread, Bankman-Fried praised Alameda Research as a crucial player in the ecosystem, acting as "a buyer when no one else is ready to buy&ndash;when markets are wild and volatile and prices are crashing and capital is scarce."&nbsp;He also commended Alameda's achievements after his departure, emphasizing its role as a significant global source of liquidity and guidance for the industry.However, Bankman-Fried acknowledged Alameda's biggest failure in the draft thread, which was losing track of millions of dollars' worth of Ripple tokens due to accounting negligence in February 2018.&nbsp;"In February 2018, we got lazy&ndash;and our accounting was lazy&ndash;and we lost most of what we'd made," Bankman-Fried wrote.<blockquote>"Employees were sad and angry and frustrated, and I had&nbsp;no&nbsp;idea what to do about that."</blockquote>Bankman-Fried used the thread as an opportunity to address the narrative propagated by competitors that Alameda and FTX had excessively close ties.&nbsp;He dismissed the claims as distractions from their competitors' own problems, emphasizing that they were not true.&nbsp;Interestingly, Bankman-Fried's plan to wind down Alameda Research was halted due to the firm's significant debt of $14 billion owed to FTX.&nbsp;Wang testified that when he informed Bankman-Fried about the inability to shut down Alameda, Bankman-Fried simply acknowledged the situation.The draft thread concludes with the hypothetical statement, "Alameda Research is dead. Long live FTX."&nbsp;However, Bankman-Fried never executed the closure of Alameda as planned.<h2 id="wang-concludes-testimony-on-day-six-of-trial">Wang Concludes Testimony on Day Six of Trial</h2>On day six of the trial, Wang concluded his testimony and once again admitted to committing crimes with Bankman-Fried.Last week, Wang confessed that he and former FTX boss Sam Bankman-Fried committed wire fraud.&nbsp;He&nbsp;<a href="https://fortune.com/2023/10/05/crypto-ftx-cofounder-gary-wang-testifies-against-sam-bankman-fried/">revealed</a>&nbsp;to the jury that he and Bankman-Fried engaged in financial crimes and deceitful practices that ultimately led to the collapse of the cryptocurrency trading platform.As the chief technical officer at FTX and a co-owner of Alameda Research, a cryptocurrency hedge fund founded by Wang and Bankman-Fried in 2017, Wang admitted to committing wire, securities, and commodities fraud.&nbsp;He disclosed that the duo illegally withdrew a staggering $8 billion from FTX funds through Alameda Research. Wang further claimed that Bankman-Fried directed these illicit actions.
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Sam Bankman-Fried Wrote a Draft Twitter Thread For Alameda Closure Two Months Before FTX Collapse

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