Sam Bankman-Fried explained that FTX’s venture capital arm has been investing more in startups recently, but there has been no talk of merging the companies

FTX CEO denies report about the merger of the exchange’s venture capital operations with Alameda Research

26.08.2022 - 09:45

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3 min

What’s new? FTX crypto exchange CEO Sam Bankman-Fried has denied a Bloomberg report about the merger of the venture capital operations with Alameda Research, which is also owned by the billionaire. After the article was published, Bankman-Fried wrote on his Twitter account that the outlet distorts the facts. He explained that the exchange’s venture capital arm, FTX Ventures, has been investing more in startups recently, but there has been no talk of merging the companies.

More details about the situation. In an interview for CoinDesk, FTX Ventures head Amy Wu also said that Alameda and FTX Ventures had not merged. She clarified that Bankman-Fried launched the exchange’s venture capital arm back in early 2022 because he saw an opportunity to “support entrepreneurs in the space our own way.”

In addition, Sam Trabucco, one of Alameda’s executives, announced his stepping down to become an advisor. Caroline Ellison will remain the company’s sole CEO. Also, former Alameda Research Ventures partner Brian Lee moved to FTX Ventures.

Bankman-Fried earlier denied a Bloomberg article claiming FTX was in talks to buy online broker Robinhood. He bought a 7б6% stake in Robinhood for $648б29 million in May, but the head of FTX said that he did not intend to influence the broker, and the companies are focused on cooperation.

In June it was reported that FTX began negotiations to buy the South Korean platform Bithumb. Also, there was insider information that the crypto exchange would participate in the auction to buy back the assets of the bankrupt crypto broker Voyager Digital.

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