"BlockFI Story Meeting"

The overwhelming pumpfun news yesterday made me overlook another report that BlockFI's $35M was almost transferred to the Department of Justice, but it was rejected, stirring up ancient memories of BlockFI for me.

Back in the day, CZ and SBF's heated exchanges led CZ to directly sell $FTT, triggering the collapse of FTX, which indirectly caused BlockFi’s bankruptcy. Later, due to the 3AC issue, BlockFI lost $80M, and SBF provided $200M to become the second-largest creditor.

BlockFI was Alameda's biggest associate and was the most direct source of liquidity during that Solana summer—where did the money come from? It definitely came from the capital of CEX, to put it simply, SBF misappropriated user funds and then borrowed with $FTT, subsequently pumping $SOL and various small caps on Solana.

It was during that time that $BONK, a meme, appeared—just a manipulation of liquidity.

Besides BlockFI providing CeFI, there was also Voyager Digital, which is another story that is very entertaining.

Back then, due to the 3AC issue, Voyager Digital went bankrupt, and SBF provided $500M in credit, preparing to lowball and acquire quality assets. CZ criticized this behavior, leading to a fallout between the two.

Then came the FTX explosion, which triggered Voyager's complete collapse, as it was revealed that 88% of Alameda's assets were FTT. The previous $500M in credit was actually composed of FTT as the core asset. In the end, during Voyager's bankruptcy asset auction, http://Binance.US won the bid for $1.3 billion.

In this round, CZ won; lowballing was not wrong. SBF's leverage maneuvering was just too crude. However, if we ask ourselves, which exchange has not engaged in asset misappropriation?