Money was seen leaving the cryptocurrency wallets connected to the now-defunct trading firm Alameda Research, a sister company of FTX, just a few days after the former CEO Sam Bankman-Fried was released on a $250 million bond.
In addition to that, the manner in which this cash was transferred caught the community’s attention. The transfer of money from Alameda wallets generated interest in the community.
It was discovered that the Alameda wallet was trading ERC-20 component parts for Ether (ETH) at $1,196 and Tether (USDT) at $1.00, with the ETH and USDT, then passing through immediate exchanges and mixers.
For instance, a wallet address with the prefix 0x64e9 received more than 600 ETH from Alameda wallets, with part of the transaction being converted to USDT and the other part being transmitted to ChangeNow.
The Alameda wallet eventually exchanged the cash for Bitcoin BTC $16,675 utilizing decentralized exchanges like FixedFloat and ChangeNow, according to on-chain expert ZachXBT. Hackers and exploiters frequently utilize these platforms to conceal their transaction paths.
The community is worried about the most current transfer of money to remove whatever remained in those cryptocurrency wallets because every day adds a fresh angle to the never-ending FTX problem.
Several people proposed that the transfer of this cash appears to be exploitative, but many others also proposed that it might be an undercover job to retrieve whatever money remained in those wallets given that Bankman-Fried is now known to have a criminal record.
Many questioned the bail needs and the reason he was given access to the internet. The former CEO was alleged “desperately trying to move money out,” and one user questioned why his bail terms included a ban on using a computer or the internet.
Since the exchange wallets were compromised for millions of dollars immediately after FTX filed for bankruptcy on November 11, the continued fund transfers from Alameda wallets corresponded with Bankman Fried’s release on bail.
Right after FTX filed for bankruptcy, the $352 million FTX exploit is also being looked into by the US Department of Justice.
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