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Duo Nine | discord.gg/ycc Profile picture
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Nov 9 • 18 tweets • 13 min read
1/ Sam's empire has collapsed. #FTX #FTT #Alameda

From the next Warren Buffett to an outcast in less than two months.

He's now joining a very exclusive group with folks such as Do Kwon (#Terra), Su Zhu (#3AC), and Alex Mashinsky (#Celsius).

How did he end up here? A thread. 👇 Image
2/ Let's start with the obvious, but NOT so obvious.

His health suddenly deteriorated & he was so anxious all the time. Why?

He knew what many did not, but some did. 👇

3/ In August, Sam Trabucco (#Alameda co-CEO) resigned.

In September, Brett Harrison (#FTX US President) resigned.

Now we know why. They were on a Titanic and they jumped ship early.

But what about Sam? 👇 Image
4/ He lost the plot. This became obvious during this interview.

His anxiety is visible and he can't stand still without shaking.

What was on his mind?

A Coindesk article revealed it a few days later. 👇

5/ Someone leaked the balance sheet of #Alameda Research, the sister company of #FTX.

It showed that most of Alameda's "assets" were #FTT tokens issued by FTX.

Suddenly, people realized that all those FTX & Alameda billions were fake money.

How? 👇

6/ The value of the #FTT token was artificially inflated!

Using #FTT tokens (issued from nothing) as collateral proved a fatal mistake.

Here's how the scheme worked. Next 👇

7/ #FTX printed #FTT tokens from nothing and Alameda was used to market them to investors as collateral.

Sam was trading his worthless #FTT tokens for stables without selling them (to protect their price & collateral value). Terra style!

The result? 👇

8/ #Binance, an early investor in #FTX, decided to liquidate their #FTT.

Anyone that was around when Terra collapsed, knew what was up.

People rushed for the exit and chaos ensued. 👇

9/ Massive withdrawals followed from #FTX to the tune of billions.

To make matters worst, the CEO of #Binance compared #FTT to #Luna to justify why they were liquidating their position.

WHAT? Indeed. 👇

10/ So what happened next? The obvious.

That inflated #FTT price came back to earth. FAST.

See next 👇

11/ #FTT lost 90% of its value in two days. From $22 to $2.

This could even go to 0. Hard to say.

But what about all those withdrawals from FTX? 👇

12/ They STOPPED!

With that, Sam's empire collapsed.

This "next Warren Buffet" was a house of cards and all his money... fake.

My key takeaways. 👇 Image
13/ 🔹 Do not use your own token as collateral.

🔹 Stop sending your money to kids playing with billions.

Next👇

14/ 🔹 Never use anything crypto unless it survived one or two bear markets.

And lastly 👇

15/ 🔹 Please don't block me when I ask difficult questions.

It usually ends badly. 😅

This brings me to #Bitcoin 👇

16/ #Bitcoin is always the liquidity of last resort.

Hence, when people are in need of cash due to liquidations, #BTC price will suffer.

So here we are, with support broken and lower lows expected.

A word about Satoshi next👇

17/ Crypto should go back to its roots.

#Terra, #Celsius, #3AC, and #FTX have crashed this market due to greed.

We can do better and #Bitcoin can serve as guidance.

Lastly 👇

18/ If you liked this thread, #retweet the first post to get more of this content in the future!

Stay in touch + follow @DU09BTC:

✅ Twitter (best of)
✅ Discord
✅ YouTube
✅ TradingView
✅ Patrons

My best content is one click away. 👇

linktr.ee/duonine

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More from @DU09BTC

Duo Nine | discord.gg/ycc Profile picture
Nov 9
Anything on the #Alameda balance sheet may end up like this. 👇 #Solana

They *had* $1 billion worth of #SOL on their balance sheet, now it's worth $500 mil. Tomorrow it may be worth even less.

Stay away from anything touched by #FTX / #Alameda.

🤯
Previous post. #SOL #SOLANA

Source and update:

solanacompass.com/validators/cha…
Read 4 tweets
Duo Nine | discord.gg/ycc Profile picture
Nov 6
For those confused about #FTX & #FTT, here's the TLDR:

1️⃣ FTX prints FTT out of thin air
2️⃣ FTX lends FTT to Alameda Research
3️⃣ Alameda Research borrows USD stables against FTT
4️⃣ Alameda Research sends USD stables to FTX
5️⃣ Repeat = infinite money

🚨 No need to sell FTT!
Seems people are getting it, slowly. #FTT #FTX
How it started.

Read 7 tweets
Duo Nine | discord.gg/ycc Profile picture
Nov 6
#FTX is insolvent and we got proof.

FTX Exchange and Alameda Research hold 8 bil in #FTT value which is illiquid against a real mcap of 3 bil.

That is 5 bil of magic money they report on their balance sheet.

Sam feeling the heat.

Any sell pressure will crash that mcap fast!
Binance just moved 500 mil worth of FTT. Dump time?

In case you missed it. This article from Coindesk is key.

"Adds that Alameda's CEO declined to comment." aka Sam, #FTX CEO

Read 6 tweets
Duo Nine | discord.gg/ycc Profile picture
Oct 29
Wait till the end. 👇

#FTX CEO has lost the plot IMO. This guy does not deserve what crypto has to offer.

I'd be very careful about anything this guy touches.

He should not do interviews either. 😅
Great interview from Erik.

Here is Sam's reply. 😆

Read 4 tweets
Duo Nine | discord.gg/ycc Profile picture
Oct 22
Here's my guide if you want to make it in crypto. 👇

Below are my top 10 tools & resources you must use to stay ahead of the curve.

You asked and I deliver. A thread. 🧵

Let's go!
1⃣ Crypto Twitter

Use Twitter as your gateway to find alpha and stay on top of the market.

This means you only follow crypto accounts - nothing else.

Stay focused. Remove the noise.

Start with my curated list of handles below:

2️⃣ Crypto Exchanges

Only use the best, and never compromise.

Right now, that is @binance - avoid the rest.

Binance has the best fees & market liquidity.

Don't have an account? What is wrong with you...

Here's my referral for a $100 voucher: binance.com/en/activity/re…
Read 13 tweets
Duo Nine | discord.gg/ycc Profile picture
Oct 11
1/ Here are some pearls of wisdom from @PeterLBrandt after 30 years of trading.

I read his book so you don't have to.

If you plan to trade or invest in crypto, this is a must-read. A thread. 🧵

Let's go! 👇 Image
2/ ✅ On Novice Traders:

🔹 Many novice commodity traders assume each trade will be a winner

🔹 Professional traders manage their trading to assume that each trade may be a loser
3/ ✅ On Risk Management:

🔹 Good traders view themselves first & foremost as risk managers

🔹 There is an old adage that 'it is easy to make money in the commodity markets, but just try to keep it'

🔹 Successful trading operations are dictated primarily by how risk is managed
Read 30 tweets

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