Alameda Research Wallets are on the Move – Millions of FTT Tokens Were Transferred!

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The SEC has targeted those who advise on crypto; Alameda Research wallets are on the move! Millions of FTT tokens were transferred; Robinhood’s crypto revenues fell 24% in the fourth quarter of 2022.

The SEC has targeted those who advise on crypto

Crypto brokers and investment advisors who offer or advise on cryptocurrency activity will fall within the scope of US securities watchdogs this year.

The Securities and Exchange Commission (SEC) Regulatory Service has listed its priorities for 2023. The SEC underlined that brokers and advisors offering crypto activity should be extra cautious when offering advice and selling digital assets.

He also noted that SEC-registered brokerage firms and advisors will follow closely to see if they adhere to “standards of care” when making any recommendations.

In addition, the SEC stated that they will periodically audit whether these organizations meet compliance, disclosure and risk management practices.

The newly published SEC announcement is similar to the priorities they published in 2022. However, the SEC seems to be paying more attention to the standards of care and implementation of brokers, rather than taking into account the many risks posed by emerging financial technologies, highlighted in 2022 this year.

Alameda Research wallets are on the move! Millions of FTT tokens were transferred

The wallets of Alameda Research, a subsidiary of the FTX exchange, are back in action. Millions of FTX Tokens (FTT) were recently transferred from the wallets of the bankrupt company. Wallets that reactivated in Alameda after FTX’s bankruptcy caused concern in the community. Many worried investors questioned law enforcement about the merits of the situation and how they had access to the wallets.

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An Alameda wallet named brokenfish.eth transferred approximately $2 million worth of FTT tokens from the BentoBox smart contract on SushiSwap. The smart contract in question acts as the central vault for the entire Sushi ecosystem. Sam Bankman-Fried, former CEO of FTX, also has a history dating back to 2020 with former developer Chef Nomi of the SushiSwap protocol.

Movement of FTT tokens from Alameda wallets. Source: Etherscan

A wallet called Alameda Research 4 bought more than 1 million FTTs worth $2.3 million. The same wallet also opened a 73,000 FTT and $31,000 mortgage loan position on Abracadabra.

On the other hand, many people associated this activity in Alameda Research wallets with the bankruptcy of FTX. Others believe that FTX’s court-appointed CEO, John Ray III, sanctioned the funds movements. As is known, Ray III did not hide his desire to take control of the assets and subsidiaries of the exchange in order to pay off his debts. FTX announced on January 17 that it had discovered over $5.5 billion in liquid assets during its investigations and owed more than $3 billion to its 50 largest borrowers.

Robinhood’s crypto revenues fell 24% in the fourth quarter of the year

Similarly, the company’s other transaction revenues also declined. Robinhood also said that they want to buy back the shares owned by Sam Bankman-Fried.

Crypto transaction revenues came in at $39 million versus estimates of $51 million. Likewise, a loss of $166 million was reported against a loss estimate of $131 million.

Robinhood stated that it will seek to repurchase all 55 million shares acquired by Sam Bankman-Fried’s company, Emergent Fidelity Technologies, in May 2022. A potential deal will be subject to final approval by the Board of Directors.

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Robinhood’s monthly active users also decreased. The number of active users, which was 12.5 million in the previous period, decreased by 800,000 to 11.4 million. Net income also fell from $396 million to $380 million.

Overall, Robinhood’s transaction revenues fell 11% to $186 million, compared to $208 million in the third quarter.

The CEO of the company, Vlad Tenev, stated that they profited from the collapse of FTX. According to him, all these negative developments lead to the cleaning of weak and unreliable companies.

The SEC has targeted those who advise on crypto; Millions of FTT tokens were transferred; Robinhood's crypto revenues fell 24% in the fourth quarter of 2022.