Sam Bankman-Fried reportedly received 2m raydium

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Blockchain
Sam Bankman-Fried reportedly received 2m raydium

According to reports, former CEO and founder of fallen crypto exchange FTX, Sam Bankman-Fried, acquired 2 million worth of raydium. However, the whitepaper stated that the investor tokens should be locked for 1-3 years.

SBF ties to raydium liquidity problems

A Tweet from Conor, director at Coinbase, stated that Sam Bankman-Fried’s wallet had accumulated 2 million raydium before announcing listing and perpetual futures on the befallen exchange, FTX. 

He added that there was an intriguing venture with the deal, as the whitepaper had indicated that the team tokens were to be locked for more than a year. Moreover, SBF went ahead and sold 80k and sent 1 million $RAY to FTX on the same day.

“SBF wallet received 2 million (15% + of circl. supply) of Raydium shortly before announcing listing+ perps of FTX. The whitepaper stated that investor/ team tokens were supposed to be locked for 1+ years. SBF proceeded to LP, sell 80k, and send 1 million $ Ray to FTX that day.”

Conor, Coinbase Director.

As per the evidence, Ray had a distribution of 555,000,000 million supply, 34% mining reserve, and 30% partnership and ecosystem. 20% locked for 1-3 years, advisors (locked for 1-3 years), community pool: 6% (locked for 1 year), and liquidity of 1%.

SBF was also allegedly accused of withdrawing the remainder of raydium from the liquidity pools at the absolute top, netting a few million in ETH. He also worked hard with regulators to protect consumers as all of the occasions occurred.

In December, raydium reported being a victim of a liquidity pool exploit. $2 million in financing emerged to have been undermined due to the attack. The Solana-based protocol believed someone might have taken over the exchange’s account.

When a raydium admin account cleared a sizable amount of liquidity from the protocol, questionable activity started in the Solana network; there had been roughly 1,000 transactions that didn’t replace it with the required LP token.

FTX association with solana in project Serum

Twitter user @Ruhi29 commented that perhaps Alameda built Raydium since 80% of solana DeFi was built by Alameda or Macaliano brothers.  

The connection can be traced from FTX association with solana in project Serum. A group led by the Solana Foundation, Bankman-FTX, Fried’s, and trading desk Alameda Research founded Serum in August 2020. Serum served as the primary decentralized exchange platform and source of liquidity for the developing solana DeFi ecosystem. 

Its order book, which was integrated into nearly all of the most significant DeFi projects on the network, including Jupiter and Raydium, was essential for DeFi on Solana. However, FTX was where its private keys were kept, which is just as bad as it sounds.

Regarding a perceptible security breach on FTX on Nov.11, the same day the corporation declared bankruptcy, DeFi initiatives on solana raced to part ways with Serum, fearing that the private critical utilized update of the software had also been adversely affected. Solana DeFi was effectively turned off as a result.

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Wayne Jones

Wayne is an all-rounded cryptocurrency writer who has written for several publications in the fintech industry. Having graduated from the University of Essex Colchester, he developed a passion for blockchain technology and has been curious about how the blockchain can modify the traditional financial industry.