The Verge
FTX’s sudden and catastrophic collapse sent reverberations throughout the entire cryptocurrency industry. What was once the third-largest cryptocurrency exchange is now in a death spiral that has billions of dollars left in limbo.
If you’re wondering how FTX managed to get to this point, you’re in the right place. Here’s a play-by-play of everything that went wrong.
First of all, what exactly is FTX?
FTX is a cryptocurrency exchange based in the Bahamas. It was founded by Sam Bankman-Fried in 2019 and lets users buy, sell, hold, and trade cryptocurrency (although those functions aren’t available right now due to the firm’s collapse).
In its prime, FTX spent its money on a number of sponsorship deals. While the Miami Heat’s stadium…
