The cryptocurrency industry's brightest star went from a naming stadium to a complete collapse. In the cryptocurrency industry, FTX has developed into a reputable brand over the past two years. They were successful, and whatever they touched turned to gold. The popularity of the exchange site was growing, and the FTT token was performing well. Additionally, Solana, which performed much better than the FTT token, has strong backing from them. In Solana, $10,000 invested after 2020 would be worth $500,000 in just one year. Sam Bankman-Fried became one of the world's richest people thanks to all this momentum. Sam's net worth was $22.5 billion when he was 29 years old, but that did not last for very long.
Sam was the prodigal son of the cryptocurrency sector. He was not only the wealthiest 29-year-old in history, but he was also well-known for his own brand of cheerleading. For a very long period, Sam's life was wonderful. He was the one who rescued some crypto enterprises even as they were in trouble. With roughly 750 million dollars, he rescues BlockFi and Voyager. Sam's net worth was still above $15 billion at that time. The beginning of their problems was when Binance made Bitcoin trading fees completely free, which caused their trading volume to soar and led to the loss of customers from other exchanges.
Sam Bankman-Fried was acting politically when he gave $50 million to political campaigns and stated he could give $1 billion to elections in 2024, but he later described the latter statement as a stupid comment. Many people questioned what kind of legislation he would seek to pass that required that amount of funding. Most likely, he wants the crypto industry's legal framework to be open and free, allowing it to thrive for a very long time. Sam published a proposal last month titled "Possible Digital Industry Standards" that was significant regarding how the cryptocurrency industry might be regulated.
The crypto community disapproved of his idea since it created an address blacklist, which limited DeFi's decentralized character. After engaging in heated debate with Sam, CZ announced on Twitter that they will be liquidating their FTT investment. The FTT token went from $24.5 to $15.5 in less than two days. Sam told one of his possessions that they had withdrew about $6 billion in FTX in just 72 hours. They made investments and expanded the company by using their debt, but this strategy only works when things are going well. It's very intriguing that they went from arguing to wanting to purchase FTX, and that they have since changed their minds.
