The End of the Crypto Market
2022.12.01 14:35
The End of the Crypto Market
Budrigannews.com – In 2022, the crypto industry was going through a difficult year. The price of bitcoin has decreased by 65% since the beginning of the year, the value of Luna has decreased completely, and the FTX cryptocurrency exchange has gone through the purchase of Super Bowl advertising and bankruptcy. The following are the main crypto companies that went out of business before 2022. The FTX explosion was the largest and most impressive crypto collapse in 2022.
The year began on the Bahamian Stock Exchange, valuing $ 32 billion, and hired famous actors Larry David and Tom Brady for a vivid Super Bowl advertisement, called her home arena the Miami Heat. In the midst of market turmoil at the beginning of this year, the FCS positioned itself as a “white knight” who can save other crypto firms. He claims that his users are more than a million.
After several weeks, when a potential deal with the competitive crypto exchange Binapse failed, the founder of FTX Sam Benkman-Fridge faced accusations that he sent deposits to clients to the subsidiary FTX Alemada Research shopping center, and in 72 hours the exchange issued about $ 6 billion.
Despite the fact that Bankman-fried acknowledged a “massive mistake in risk management” and expressed “deep regret” over the incident, he noted that he deliberately mixed FTX user deposits and Alemada trading activities.
The new CEO of FTX, who was hired to monitor the bankruptcy, stated that he had never seen “such a complete failure of control over corporate governance” before. Ray is the executive director responsible for paying Enron’s debts after the accounting fraud scandal that occurred in early 2000.
BlockFi – the first crypto-lender to submit his resignation after FTX – did so about two weeks after FTX died.
BlockFi was counting on a $400 million FTX credit line in order to stay afloat, after the competitive crypto lenders Voyager Digital Ltd. (Voyager Digital Ltd.) and Centius Network (Celsis Network) had previously gone bankrupt due to market turmoil in 2022. BlockFi had several connections with FTX.
Earlier, blok-fi stated that it has 450 thousand users, plans to ask some of them to allow withdrawal of funds from the platform for some users. Last year, as part of an agreement with the U.S. Securities and Exchange Commission, an interest-free paper Blockfi Wallet was created in the amount of $ 100 million. These users can withdraw funds.
Cryptocurrency funds of the Third Baltic Capitals 3AC is the first major cryptocurrency that went bankrupt in 2022, which in May led to the fall of the digital currencies Luna and EURUSD.
These explosions irritated the cryptocurrency markets on the planet, caused the loss of $42 billion in financial support and caused the arrest of South Korean digital currency engineers. “In June, the bankruptcy procedure of the Singapore 3AC was initiated in the British Virgin Islands, which reportedly had $10 billion in cryptocurrency in 2022.”
According to the experts responsible for the liquidation of LLC “3AK”, the founders of LLC left the country and refused to cooperate in order to return the assets of creditors.
After 3AC announced a default on a crypto loan of more than $650 million, Voyager (Voyager), a New York-based crypto lender, filed for bankruptcy in the United States. After Voyager agreed to sell its FTX asset for $1.4 billion in cryptocurrency, in October Voyager expected a quick bankruptcy filing in the United States.
In September, Voyager again began negotiations with other potential buyers, including the Binance cryptocurrency exchange after FTX crashed, leading to the absence of planned sales.
Another cryptocurrency turned out to be not far from the collapse and the Moon, the organization “Celsius” began its activities under Chapter 11 in the United States, on a heavier balance sheet than Explorer.
Since then, Selsius has been involved in disputes concerning the costs of new technology for bitcoin, its incompatibility with customer accounts, their privacy, as well as fraud investigations.
The bankruptcy judge appointed a specialist to find out whether the Selsius scheme was a Ponzi scheme and to study the finances of the company as a whole. Selsius has expressed her joy at the self-audit, but worries about the duplication of her investigations by creditors, bankruptcy experts and government securities regulators.
