![](https://i.imgur.com/CLvY2jA.png")
07-12-2022, 12:34 PM
by Jamie Redman
1 day ago
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This week a document was sent to Bitcoin.com News that allegedly shows Caroline Ellison’s balance on FTX seven months ago in May 2022. According to the source familiar with the matter, Ellison shared this data among a number of FTX staff members when she was experiencing a technical glitch with her personal trading account.
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Ellison mentioned that FTX extended quite a bit of credit to Alameda Research. “[Ellison] said that you knew, that Gary knew,” Chaparro pressed during his question, and he said people within both firms knew about these lines of credit. “I think she’s likely correct, that Alameda Research was effectively extended a substantial amount of credit by FTX and in the end, that margin position became under severe stress and it blew out.”
A negative $1.31 billion margin position, like the one disclosed to our newsdesk this week, is a very large hole. Margin positions refer to trades that are made using borrowed funds and usually, if the trader is unable to maintain the minimum required margin, the position is liquidated in order to repay the borrowed funds. The large margin position shared in May 2022, is around the same time frame the Terra LUNA fiasco happened.
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“how can a buddy of SBF generate a debt” of that size “with no collateral?”
https://news.bitcoin.com/document-claims...-may-2022/
1 day ago
......
This week a document was sent to Bitcoin.com News that allegedly shows Caroline Ellison’s balance on FTX seven months ago in May 2022. According to the source familiar with the matter, Ellison shared this data among a number of FTX staff members when she was experiencing a technical glitch with her personal trading account.
......
Ellison mentioned that FTX extended quite a bit of credit to Alameda Research. “[Ellison] said that you knew, that Gary knew,” Chaparro pressed during his question, and he said people within both firms knew about these lines of credit. “I think she’s likely correct, that Alameda Research was effectively extended a substantial amount of credit by FTX and in the end, that margin position became under severe stress and it blew out.”
A negative $1.31 billion margin position, like the one disclosed to our newsdesk this week, is a very large hole. Margin positions refer to trades that are made using borrowed funds and usually, if the trader is unable to maintain the minimum required margin, the position is liquidated in order to repay the borrowed funds. The large margin position shared in May 2022, is around the same time frame the Terra LUNA fiasco happened.
......
“how can a buddy of SBF generate a debt” of that size “with no collateral?”
https://news.bitcoin.com/document-claims...-may-2022/
