By Larry Wright
Alameda is a principal trading and cryptocurrency research firm that has been operating since 2017. The main goal of the firm is to provide liquidity for cryptocurrencies and other digital asset markets. The latest reports from the company have revealed that the majority of the capital has been stuck in the illiquid tokens since June.
Some of the noteworthy illiquid tokens, such as FFT and SOL, make up the majority of the balance sheet of Alameda Research. The financial reports are considered bad news since companies view them as a question mark on the credit score.
The business acquaintances of Alameda Research are attributing this financial revelation to the fact that the crypto organization can face difficulties in repaying their outstanding accounts and debts.
The depleting financial status of Alameda Research is connected to the bear market striking the cryptocurrency markets. To this end, Coindesk’s article has reported that the company held around $7.4 billion in liabilities in June this year.
On the other hand, the assets for Alameda Research were valued at $14.6 billion for the same duration.
Sam Bankman-Fried co-founded the enterprise in 2017 before working on his more well-known project, FTX exchange. In the cryptocurrency business community, Alameda Research has a reputation as a whale or a big player.
However, the latest financial readings suggest that the company has been struggling to keep its head out of water for a while now.
SBF Strives to Bring Stability in the Crypto Sector
SBF has been seen loaning to companies like Voyager and BlockFi during the difficult months of June and May this year. He has maintained that the company wishes to bring stability to the crypto sector to retain the confidence of cryptocurrency investors.
On the other hand, the company books indicated that its capital valued at $3.37 billion had been stuck in Solana-based cryptocurrencies such as SRM, MAPS, FIDA, and OXY, among others.
Alameda and FTX have maintained a close relationship, and the FTT token is issued by the FTX exchange. Alameda currently holds around $6.11 billion worth of FTT tokens in its books. SBF has claimed that he holds $2 billion to contain the ongoing financial wreckage.
However, financial experts have claimed that he has been on a mission to maintain the image of Alameda to pacify the creditors.