DuRty Crypto, a crypto enthusiast and news writer, reported a massive dump on all Alameda Research assets on November 8, 2022, backing his claim with a market chart.
Here is some of @AlamedaResearch assets:
I'm predicting they are all getting dumped.
— DuRtY Crypto (@DuRtY_Crypto) November 8, 2022
These assets are also feeling the heat from the recent events surrounding Alameda. As the market shows, about 41 of Alameda’s assets, except BNB, are being dumped massively. They include SOL, UNI, SUSHI, AAVE, ETH, and many more.
Alameda Research has been in a tight spot for a while now due to an impending lawsuit that may result in bankruptcy and shutting down if found guilty.
The platform is one part of the Sam Bankman Fried empire; the second part, the FTX exchange, was also greatly affected by this development.
Several investors withdrew from the platform, among them Binance CEO Changpeng Zhao, who decided to liquidate all his FTT assets.
To save FTX from crashing, CZ said in a tweet posted in November that the FTX CEO reached out to him to help him save the platform. In the tweet, he went on to say that Binance would take over FTX.
Alameda, on the other hand, who is desperately in need of FTT as collateral, placed a bid for CZs tokens, but he refused to sell the tokens to them.
All these chain events have made investors and coin holders withdraw from Alameda Research, dumping their assets.
Some crypto enthusiasts have commented in a series of tweets on how events are playing out; among them is a user named Degentrading.
In a thread, he discussed how Changpeng Zhao’s decision will affect Alameda Research, which has resorted to borrowing to maintain balance and save the platform.
FTX tokens serve as collateral for the funds they borrowed from lending protocols like Genesis and Blockfi, the two biggest platforms that render such service in the industry.
FTX tokens have experienced a massive dump in the last 24 hours, losing over 70% of their value, and they continue to dwindle.
There is potential for it to drop to zero; if that happens, Alameda alone won’t bear the brunt, because the lending protocols would be left with illiquid collateral tokens.