In a Twitter Space, Musk reportedly told over 60,000 listeners that he had initially never heard of Bankman-Fried, but when he got a chance to speak with him, something did not seem right, CoinDesk reported on November 12. Musk’s interaction with Bankman-Fried centered around the Twitter (NYSE: TWTR) acquisition deal in which the FTX founder had expressed interest.
Musk’s impression of Bankman-Fried
In the November 11 Twitter Space, Musk added that despite major industry players praising Bankman-Fried, he remained skeptical regarding his potential to come through in the deal. Notably, the collapse of FTX has sent shockwaves into the cryptocurrency market, with most digital assets correcting significantly.
The future of crypto
With the threat of further correction, Musk has stressed that the crypto space is here to stay but called on investors to store their assets in cold storage instead of exchanges. The market correction was triggered after the FTX exchange’s native token FTT, at some point, plunged by over 80%, wiping out about $2.5 billion in market capitalization. The situation began unraveling after it emerged that Bankman-Fried’s business empire comprised two large entities –FTX crypto exchange and his trading firm Alameda Research. Alameda’s financial data confirmed the link between the two entities, which mainly entails the FTT token. In the meantime, regulators have already launched an inquiry into the FTX collapse.
