Jump Trading, one of the largest market makers in the crypto space, reportedly lost $206 million when FTX collapsed.
According to information in Michael Lewis’s new book ‘Going Infinite,’ the firm was near the top of FTX’s list of creditors, who are collectively owed $8.7 billion.
The book refers to private documents in the possession of former FTX COO Constance Wang as the source of the information, who herself lost $25 million when things went south for the exchange.
Apart from the funds stuck on the exchange from Jump’s main account, an affiliate entity “Tai Mo Shan Limited” also lost $75 million when the exchange halted withdrawals. So far, no one from Jump Trading has put out any public statements denying or confirming the book’s claims.
Among the documents that Wang discovered were internal spreadsheets documenting FTX’s expenses and sponsorship agreements, which included a $162.5 million deal with Major League Baseball, a $105 million deal with Riot Games and a $25 million deal with the Coachella music festival.
The bankruptcy estate handling FTX said that they have recovered $7 billion worth of assets owed to customers, most of which are liquid. Former FTX CEO Sam Bankman-Fried has denied the charges against him alleging his role in the misappropriation of client funds.
However, Bankman-Fried’s criminal trial, which commenced on Tuesday, will see FTX customers, former employees and his closest friends testify against him.
