Utoday: Founder of now-bankrupt exchange wants to start things from scratch, here's how community reacted
Sam Bankman-Fried, who co-founded major exchange FTX which he recently declared insolvent, has taken to Twitter to tell the community that he would like to start his business all over again.
He plans to compensate losses to customers first and, after that, to take care of investors.
Two major figures in the crypto industry responded to his shoutout — Kim Dotcom and the Dogecoin co-creator — but their reaction was totally different.
List of SBF's goals as he says he wants fresh start
Former billionaire and investor Sam Bankman-Fried tweeted that his goal, above all others, is to reimburse FTX customers, who lost their funds. To do that, he tweeted, he is meeting with regulators and "working with teams to do what we can for customers."
Then, according to another tweet in the thread, SBF wants to "clean up and focus on transparency." He reminded the audience that as early as just a few weeks ago, his exchange demonstrated roughly $10 billion of trading volume per day and handled billions of transactions.
The main problem, according to him, was "too much leverage" — a lot more than he realized there was.
"Raise liquidity, make customers whole, and restart"
What Bankman-Fried wants to try and do now is restart his business after raising liquidity and reimbursing customers for their losses. Despite his recent failure, he tweeted that he feels that he "might get somewhere."
Kim Dotcom and DOGE co-founder respond
Prominent entrepreneur and hacker Kim Dotcom, along with DOGE creator Billy Markus, responded to that thread by Bankman-Fried.
Dotcom, it seems, wants SBF to try and earn his second chance from the crypto community. He suggested that SBF take part in his online event that he referred to as "our FTX space," which will take place seven hours from now and answer questions of, perhaps, him and his audience from the crypto community.
Kim Dotcom stated that if he wants a second chance, SBF should compensate customers and be honest with the crypto community. In that case, they might be willing to start trusting him again.