Sam Bankman-Fried and Binance’s Changpeng Zhao spoke out on dedicating their life’s work to crypto in an interview. Here are their best quotes.

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Sam Bankman-Fried, founder and CEO of crypto exchange FTX.

  • The CEOs of two of the world’s top were both recently interviewed by the New York Times on everything from their personal histories to risk and regulation.
  • FTX’s Sam Bankman-Fried spoke on excessive leverage, his company moving out of Hong Kong, and why FTX has a US-only branch.
  • Binance’s Changpeng Zhao discussed overactive crypto markets, risk, and his “abundance mindset.”
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Sam Bankman-Fried and Changpeng Zhao have had a whirlwind few years. The two crypto exchange founders – running FTX and Binance, respectively – have come up during a once-in-a-generation investment surge into crypto. And their exchanges have been right in the center of it all.

Bankman-Fried and Zhao were both recently interviewed by the New York Times on everything from their personal histories to risk and regulation.

Here are the eight best quotes from the interviews, lightly edited and condensed for clarity:

Sam Bankman-Fried on…

    1. How crypto exchanges differ from traditional ones: “In crypto, exchanges handle basically the entire infrastructure. It’s every single part of a trade put together except for the buyer and seller, whereas in traditional finance, it’s all handled by like 12 different firms.”
    2. How to deal with excessive leverage: “It’s a bit of a double-edged sword. So there are some exceptions to this, but with most of the exchanges, a general consensus is maybe we should just get rid of 100 and 50 and anything above 10X. We would get consumer outcry if we got rid of it, and we’d get very bad press. But it might be the right thing to do.”
    3. Whether FTX is considering moving out of Hong Kong: “We’ve looked into it. The Monetary Authority of Singapore has been one of the most on-the-ball regulators in terms of trying to actually build out a regulatory and licensing framework. That being said, like almost every jurisdiction, Singapore has not ruled out a comprehensive regulatory framework for crypto yet.”
    4. Why FTX has a separate branch just for Americans: “As we started expanding into more and more demographics, one of those is retail traders, and there are huge amounts of retail influence occurring in the United States. And the other piece is the institution. A lot of US institutions, historically, they’ve not traded any crypto, but that’s starting to change. They all now have mandates for trading crypto somehow sometime.”

Changpeng Zhao on…

    1. How he took the dive into crypto: “In December 2013, I went to a conference in Las Vegas and bumped into Vitalik Buterin, one of the founders of Ethereum. … There was one other guy that was quite influential. I was learning Ripple. He came over with a laptop to show me how it works, and in the process, he transferred [$500 of Ripple’s token] XRP to me and said, ‘You can use that to teach the next guy.’

      “So I was like: ‘Well, this is a pretty generous group of people. They’re really not after the money. They’re really just wanting to teach.’ Shortly after that, I quit my job, sold my house.”

    2. Whether he worries about overactive crypto markets: “We have an open democratic market, and the market will self-correct. Too many people are rushing in. The prices will go too high. And then some guys will want to cash out, to take profit. But nobody really knows. So maybe the price is still too low now. So the market takes care of that.”
    3. How he thinks about risk: “The word risk means different things to different people. Some people say risk. Some people say opportunity.”
    4. How he views his competitors: “I never view anyone as competition. If I’ve got that mindset, everyone’s the enemy to me, even very different businesses. But I have an abundance mentality. I think most things in this world are not limited resources. Money is not. Business opportunities are not. And the crypto industry is not.”
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The crypto exchange run by 29-year-old billionaire Sam Bankman-Fried was just valued at $18 billion

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Sam Bankman-Fried, founder and CEO of crypto exchange FTX.

  • FTX, the crypto exchange founded by 29-year-old Sam Bankman-Fried, announced it raised $900 million for a valuation of $18 billion.
  • Though a touch lower than the $20 billion Bankman-Fried had previously sought, the valuation has come on the back of startling growth.
  • FTX is still a good deal smaller than Binance and Coinbase, its main competitors.
  • Sign up here for our daily newsletter, 10 Things Before the Opening Bell.

FTX, the crypto exchange founded by 29-year-old Sam Bankman-Fried, announced on Tuesday that it had raised $900 million in series B financing, implying a valuation of $18 billion.

“I’m incredibly humbled by the support we’ve gotten,” Bankman-Fried said in a statement. “It’s our first large fundraise, but through it we’ve formed a hugely valuable set of partners.”

The fundraising round drew in high-profile participants including Masayoshi Son’s SoftBank, Paul Tudor Jones, and Sequoia Capital.

Alfred Lin, a partner at Sequoia, said in a statement that Bankman-Fried was the “perfect founder” for FTX, which could soon “become the leading financial exchange for all types of assets.”

Though a touch lower than the $20 billion Bankman-Fried had previously sought, the valuation has come on the back of startling growth. FTX, founded in 2019, saw its average daily trading volume shoot up 11-fold between October and April of this year. The exchange now handles more than $10 billion in volume on an average day.

FTX is still a good deal smaller than Binance and Coinbase, its main competitors. For comparison, Binance boasts north of $75 billion in average daily volume and Coinbase a public-market valuation of $47 billion.

One Twitter user offered their lukewarm take on the fundraise, writing, “World’s least shi–y billionaire gets more billions.”

“Eh, I’ll take it,” replied Bankman-Fried, who is worth an estimated $8.7 billion.

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29-year-old crypto billionaire Sam Bankman-Fried said in a recent interview that buying Goldman Sachs is ‘not out of the question’

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Sam Bankman-Fried, founder and CEO of crypto exchange FTX.

  • Sam Bankman-Fried, CEO of crypto exchange FTX, told the FT that acquiring Goldman Sachs was “not out of the question” should FTX grow big enough.
  • FTX is in the midst of a new funding round, but doesn’t have current plans to IPO.
  • Average daily trading volume on FTX has shot up 11-fold between October and April of this year.
  • Sign up here for our daily newsletter, 10 Things Before the Opening Bell.

Sam Bankman-Fried, the CEO of crypto exchange FTX, said in an interview with the Financial Times that acquiring Goldman Sachs or CME Group was “not out of the question” should FTX grow big enough.

FTX – which Bankman-Fried has previously said is seeking a $20 billion valuation – still has yet to overtake its crypto competitors Binance and Coinbase. But the exchange still has considerable room to grow, the 29-year-old billionaire said, hinting at future acquisitions.

Coinbase’s IPO in April, seen by some as crypto’s “coming out” moment, put the exchange at $76 billion, though markets now value the company at a lower, still-impressive $51 billion.

FTX is in the midst of a new funding round, but doesn’t have current plans to IPO, Bankman-Fried told the FT.

“We don’t need the capital … We are not actively looking to list, but we want to be in a position to go ahead if we want to,” he said.

Bankman-Fried, who is worth some $8.7 billion himself, has taken a warmer tone toward regulation, noting that it is both inevitable and potentially beneficial to crypto brands.

An acquisition of Goldman Sachs, with a market cap of $128 billion, may be a ways off. But if anything, FTX’s explosive growth lends some credence to Bankman-Fried’s ambitions. Average daily trading volume on the exchange has shot up 11-fold between October and April of this year.

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US stocks trade mixed with Nasdaq at a record high as investors weigh recovery signals

Stock Market

US stocks closed mixed on Wednesday, with the S&P 500 making turning lower late in the day while the Nasdaq ended at a record high.

“US stocks are stabilizing as investors are clearly in wait-and-see mode over the current wave of inflationary pressures,” Edward Moya, senior market analyst at Oanda, said in a statement. “Equities have quickly bounced back from last week’s Fed-induced selloff as investors quickly realize interest rates will not move anytime soon.”

Equities were up and down throughout the day, dipping lower after Atlanta Fed President Raphael Bostic said the central bank could raise rates in 2022, as well as start tapering asset purchases in the near term. He also said higher inflation in the US could last up to nine month.

The US 10-year Treasury note was last at 1.492%. On Tuesday, yields fell 2 basis points, responding to the Fed’s more tempered policy outlook.

Here’s where US indexes stood at the 4:00 p.m. ET close on Wednesday:

Microsoft still has 23% upside potential even after it surpassed a $2 trillion valuation on Tuesday, according to Wedbush analyst Dan Ives. He also increased his price target to $325 from $310 and reiterated his “outperform” rating on the stock.

Mortgage giants Fannie Mae and Freddie Mac plunged as much as 45% following a ruling from the Supreme Court. In a 7-2 decision, the court gave the US President authority to remove the head of the Federal Housing Finance Agency, complicating the prospects for their release from government control.

Meanwhile, the cryptocurrency space has been recovering from its most recent sell-off.

Bitcoin staged a rebound after wiping out all its gains for 2021 at one point the day prior. The world’s largest cryptocurrency climbed as much as 6% to $34,821.53.

Cathie Wood’s ARK ETFs took advantage of last week’s crypto carnage to load up on shares of Coinbase and Grayscale Bitcoin Trust, fund filings show.

Crypto exchange FTX announced it is partnering with Major League Baseball to become the first cryptocurrency exchange sponsor in professional sports.

Oil rose ahead of a meeting of the OPEC+ group next week.

West Texas Intermediate crude climbed 0.48% to $73.20 per barrel. Brent crude, oil’s international benchmark, jumped by $0.57% to $75.24 – edging to its highest since late 2018.

Gold slightly rose 0.03% to $1,778.03 per ounce.

Lumber fell as much as 3% to $859.8 per thousand board feet, extending the fall beneath $900 as the commodity’s rally continues to cool off.

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FTX partners with MLB to become the first crypto exchange sponsor in professional sports

: Bryce Harper #3 of the Philadelphia Phillies watches as he hits a home run against the Washington Nationals during the second inning of a game at Citizens Bank Park on June 22, 2021 in Philadelphia, Pennsylvania.
Bryce Harper of the Philadelphia Phillies during a game on June 22, 2021.

FTX is partnering with Major League Baseball to become the first cryptocurrency exchange sponsor in professional sports.

The partnership establishes FTX as the official cryptocurrency exchange brand of the baseball organization.

The latest initiative aims to increase brand awareness for FTX and to continue brand innovation for MLB. As part of the contract, FTX will be able to exercise worldwide marketing rights associated with MLB logos.

“It’s an honor for FTX to be the first cryptocurrency exchange to be associated with the history and tradition of America’s national pastime,” Sam Bankman-Fried, FTX founder and CEO, said in a statement Wednesday.

The financial terms of the partnership were not disclosed.

In addition, FTX.US, a US-regulated cryptocurrency exchange, will become MLB’s first-ever umpire uniform patch partner starting on July 13.

This isn’t the first time 29-year-old Bankman-Fried dipped his toe into sports.

Under his leadership, Blockfolio, the cryptocurrency app that FTX acquired in 2020, won naming rights to the NBA’s Miami Heat arena until 2040.

The $135-million deal, inked earlier this year, overtook American Airlines as the leading sponsor for the Florida sports team.

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Crypto billionaire Sam Bankman-Fried says bitcoin could switch to green energy with little fuss – and reveals SPACs are lining up to take his FTX exchange public

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Sam Bankman-Fried co-founded and runs crypto exchange FTX.

Sam Bankman-Fried, the 29-year-old crypto billionaire, has said that bitcoin could dramatically cut down on its energy use without killing off the cryptocurrency or setting back the industry.

He also revealed that special purpose acquisition companies, or SPACs, have been queuing up to take his FTX crypto exchange public, speaking in an interview with Bloomberg.

The computing process that secures and “mines” bitcoin has been criticized for using vast amounts of energy. Bitcoin enthusiasts have pushed back hard, saying detractors are blowing the problem out of proportion.

But Bankman-Fried told Bloomberg that bitcoiners need to take the issue seriously. “It’s not at all reasonable for bitcoin forces to decry it as sort of a witch hunt to bring up this question, because there is substantial energy usage happening because of bitcoin mining right now,” he said.

Read more: A 29-year-old self-made billionaire breaks down how he achieved daily returns of 10% on million-dollar crypto trades, and shares how to find the best opportunities

Yet he said there are a number of solutions that wouldn’t be too burdensome, such as switching to green energy or using carbon offsets to lower the industry’s impact on the environment.

“The answer is that it’s not free to mitigate, but it’s not that expensive,” he told Bloomberg. “It’s something the industry could pay without really setting itself back that much.”

Many bitcoiners argue that the industry will soon use predominantly renewable energy, given that it’s becoming cheaper and cheaper in advanced economies.

Bankman-Fried, who founded and is now chief executive of FTX, said he’s been approached by a number of SPACs about taking the crypto derivatives exchange public. SPACs are blank-check companies that raise money on the stock market and then find a target company to merge with.

He said FTX was one of the few “plausible exciting targets” for SPACs in the crypto world.

Bankman-Fried said the exchange does not have concrete plans, but said: “If we did want to go public via [a] SPAC, I don’t think finding the SPAC would be the limiting factor.”

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Expected top NFL draft pick Trevor Lawrence reportedly signed an endorsement deal with crypto-investment app Blockfolio – and took his first payment in crypto tokens

Trevor Lawrence, the expected top pick in the upcoming 2021 NFL Draft, has signed a multiyear deal with investment app Blockfolio and was paid exclusively in cryptocurrency, DealBook first reported Monday.

The first payment to football star was immediately transferred to his Blockfolio account. Future payments, however, are subject to whatever combination of dollars and cryptocurrency the former Clemson quarterback desires, according to DealBook.

Other terms of the agreement were not disclosed but a company spokesman revealed that the crypto signing bonus was already worth more on Sunday compared to when it was deposited on Friday.

The football player also made the announcement on Twitter, saying he is “pumped” to join the startup.

“We’re really trying to get our name out a lot,” Sam Bankman-Fried, CEO of FTX, a crypto exchange that acquired Blockfolio, told Dealbook. “Trevor was excited about crypto. That’s what drew us to him.”

Bankman-Fried founded Blockfolio in 2019. Prior to that, the 29-year-old, a former trader at quant-trading firm Jane Street, started a crypto-trading firm called Alameda Research, which launched him to billionaire status.

Given that the cryptocurrency firm, which considers Coinbase as its rival, is relatively new, the company has been trying to partner with bigger brands to garner name recognition.

Under a recent $135-million deal, Blockfolio won naming rights to the NBA’s Miami Heat arena for 19 years, overtaking American Airlines as the leading sponsor for the Florida sports team.

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