Sam Bankman-Fried Says Binance Leaked Alameda’s Reports

The lawsuit against Sam Bankman-Fried (SBF) alleges that the FTX founder considered Binance a significant competitor and accused its management of leaking confidential information to the media, a document dated November 2022 has revealed.

The document reportedly specifically accuses the largest cryptocurrency exchange by market capitalization of leaking Alameda Research’s balance sheet to CoinDesk.

On November 2, CoinDesk reported, citing a “private document,” that Alameda Research’s trading subsidiary FTX was in a potentially precarious position due to the majority of its collateral being in the form of the FTT token.

The document, allegedly written by SBF, states that Binance leaked the balance sheet, blogged about it, and then publicly announced that they were selling $500 million worth of FTT while also warning customers to be cautious of FTX.

This series of events likely contributed to the collapse of FTX and Alameda, as clients panicked and withdrew their funds following the FUD (fear, uncertainty, and doubt) generated by the leaks.

The document also mentions Tron founder and HTX advisor Justin Sun as a potential investor, but notes that he is “close to [Binance CEO] Changpeng Zhao.”