Bankman-Fried Says She Will Speak at Event as Planned

(Bloomberg) — Sam Bankman-Fried will speak with The New York Times’ Andrew Ross Sorkin next week at the publication’s annual DealBook Summit, Sam Bankman-Fried said in a tweet. A spokeswoman for the New York Times said it was currently waiting for Bankman-Fried to attend an interview from the Bahamas.

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Coinbase Global Inc.’s junk bonds may be early warning sign of FTX contagion. The largest digital asset trading platform in the US has seen its bond prices fall this year. The drop is largely due to the cryptocurrency winter, but some industry participants said it was a sign.

Binance Holdings Ltd CEO and founder Changpeng “CZ” Zhao has vowed to raise at least $1 billion to buy distressed assets as he further revealed plans to turn around the stricken industry. A key part of his plan is to gather partners for a fund aimed at backing promising but cash-strapped cryptocurrency projects, Bloomberg Television’s Haslinda Amin said in an interview Thursday.

Cryptocurrency markets stabilized as Bitcoin crossed $16,000. The world’s largest cryptocurrency by market cap is down 70% since the same time last year, when the token was trading just below its all-time high of $69,000. So this Thanksgiving, it might be wise to avoid talking about crypto at the dinner table.

Key stories and developments:

  • FTX Investors Go After Brady, Shaq: Here’s Their Legit Chance

  • FTX turned Jane Street’s obsession with risk to disastrous effect

  • Cathie Wood stuck to her $1 million bitcoin challenge because others failed

  • What the FTX Crash Suggests About Crypto and Risk

  • Sequoia Capital apologizes for FTX but defends vetting process

(Time references are to New York unless otherwise noted.)

Binance CEO Announces Crypto Rescue Plan (05:02)

Cryptocurrency billionaire Changpeng “CZ” Zhao said in an interview Thursday with Bloomberg Television’s Haslinda Amin that he plans to raise at least $1 billion for a fund to buy distressed assets. He said he will try to gather partners for the fund, which aims to support promising crypto projects that are short of cash.

Bankman-Fried Says She’ll Speak at NYT Event (20:12)

Sam Bankman-Fried tweeted that she will be speaking with New York Times reporter Andrew Ross Sorkin at the DealBook Summit in New York next week. A spokeswoman for the New York Times said it was currently waiting for Bankman-Fried to attend an interview from the Bahamas. FTX was located in an island country.

Accounting Firm Melts in Metaverse (14:42)

An accounting firm that bills itself as the first accounting firm headquartered in the metaverse has been accused of turning a blind eye to a pattern of racketeering at the collapsed cryptocurrency exchange FTX, which caused billions of dollars in losses. FTX’s auditor, Prager Metis CPAs LLC, has been sued by an investor who claims he lost nearly $20,000.

Coinbase Debt Seen as an Early Warning Sign (14:22)

After the spectacular collapse of Sam Bankman-Fried’s crypto empire, many investors are looking for early warning signs that might have foretold the contagion about to spread. A possibility? Coinbase Global Inc.’s junk bonds.

The largest digital asset trading platform in the US has seen its bond prices fall this year. In early January, one of its most active notes was priced at about 92 cents. It fell to around 77 cents in April before falling to 63 cents amid the Terra Luna market collapse in May. Bonds traded around 53 cents on the dollar in early morning trading in New York on Tuesday, a level typically associated with distress, according to Trace bond trading data.

Activity in the cryptocurrency market is sharply decreasing (1:17)

Cryptocurrency investors are still sifting through the wreckage of the FTX collapse, but one thing is already clear: market activity has dropped significantly.

Senators Want Executives Accountable (10:49)

Democratic senators Elizabeth Warren and Sheldon Whitehouse have asked the Justice Department to pull no punches as it investigates and tries to prosecute FTX executives who contributed to the crypto company’s demise.

Custodians like Fidelity will attract users: Novogratz (9:45)

Crypto billionaire Mike Novogratz said a “crisis of confidence” in the digital asset world will drive more crypto users to seek out institutional players like Fidelity Investments.

More people will put their money in “safe and reliable custodians,” the founder of crypto financial services firm Galaxy Digital Holdings Ltd. told CNBC.

Novogratz says ‘Bitcoin is not going away’ (8:48)

In an interview with CNBC, Galaxy Digital CEO and founder Mike Novogratz said that while there is a “bubble” in crypto assets, it’s a long-term buying opportunity because “Bitcoin isn’t going away.”

He says what happened at FTX is an indictment of the company and other similar poorly managed firms, but not an indictment of cryptocurrency itself.

This Thanksgiving, we’re serving up the Humble Pie (8:00 a.m.).

Polite company never talks about politics or religion. It might also be wise to avoid cryptocurrency this Thanksgiving.

Last year’s digital asset investors built on their Bitcoin fortunes. Then, the token traded just below its all-time high of $69,000 weeks ago. By sweet time, cryptocurrency hopefuls may have even sold Baby Boomers on a token or two.

Bitcoin bulls have one less thing to be thankful for this holiday season. The biggest digital asset is down nearly 70% since last Turkey Day. That drop could irritate buyers, including Baby Boomers, whose younger relatives are pleased.

Jane Street Alums Opt Out of Wall Street Firm’s Risk Focus on FTX (7:49)

Jane Street Group is recognized among its peers for prioritizing risk and confidentiality. A workforce of more than 2,000 based in Lower Manhattan examines the health of trading partners, models potential disasters, autopsies casualties and limits staff commenting to the public because it’s even a threat.

The easiest way to describe the culture that alumni Sam Bankman-Fried and Jane Street have created at FTX: The opposite.

Crypto crash offers a way to repair damaged relationships (6:58)

Devoting days and nights to the gamified digital economy has left a mark on some people’s relationships, turning partners into cryptocurrency widows and widowers.

Now they’ve got some emotional work to do: after the digital asset meltdown, believers are trying to heal what Bitcoin and Bored Monkey obsessions have done to intimacy.

Wild Disagreement in Bitcoin Predictions Highlights Uncertainty (4:32)

Over the past few days, long-term targets for the world’s largest token by market capitalization have ranged from $5,000 at strategists BCA Research Inc. to $1 million by 2030 for Cathie Wood of Ark Investment Management.

The cavernous spread reflects the ominous question of what contagion may or may not lie ahead following the eviction of once-crypto-lovers Sam Bankman-Fried’s FTX exchange and trading house Alameda Research.

El Salvador Nears Bitcoin Bond Issuance (12:05 HK)

The country’s presidency has sent a digital securities bill to lawmakers, bringing the nation one step closer to raising $1 billion through the world’s first sovereign blockchain bond.

The legislation requires the digital assets commission and the Bitcoin Fund Management Agency to oversee cryptocurrency-related debt sales. The proposed blockchain bonds, with a minimum investment of just $100, are intended to help finance the construction of the Bitcoin City project.

New York governor signs moratorium to curb cryptocurrency production (HK 11:10)

Kathy Hochul signed one of the most restrictive laws regulating cryptocurrency mining in the United States, a bill that placed a two-year moratorium on new permits for crypto-mining companies.

“I will ensure that New York remains a center for financial innovation, while taking important steps to prioritize environmental protection,” Hochul said.

Bankman-Fried says bailouts fall to $51bn as FTX falls (8:30 HK)

Bankman-Fried, the disgraced founder of now-defunct cryptocurrency exchange FTX and trading house Alameda Research, apologized to employees in a letter noting that the “collateral” had collapsed from $60 billion to $9 billion.

“I didn’t want any of this to happen and I would give anything to go back and do it all over again,” he said in a message sent to employees Tuesday and obtained by Bloomberg News.

Sequoia Capital apologizes for FTX but defends vetting process (7:20 HK)

The venture capital firm’s top partners apologized to investors for backing FTX in a conference call Tuesday, according to people familiar with the meeting.

Roelof Botha, the firm’s global leader, opened the call, and he and his colleagues regretted backing the company by investing a total of $214 million in two funds, and Alfred Lin, the partner who led the FTX deal, provided an update on the situation. Another cryptocurrency-focused partner, Shaun Maguire, provided an overview of the sector.

Cathie Wood sets $1 million goal for Bitcoin (7:10 HK)

“Bitcoin is coming off the scent like a rose,” said ARK Investment Management Director defending his prediction.

Wood also said that the crypto infrastructure is “working beautifully.” He added that digital asset manager Grayscale Investments is now the crown jewel of Barry Silbert’s once-$10 billion Digital Currency Group conglomerate.

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