A former employee of the crypto investment company Alameda Research, which went bankrupt along with the FTX exchange, made a shocking confession. Engineer Aditya Baradwaj, who had previously made bad comments about the founder Sam Bankman-Fried, announced that the bankrupt company caused the Bitcoin price to crash on a stock exchange.
Baradwaj admitted that an employee responsible for trading at the company “pressed the wrong button”, causing the BTC price on the Binance.US exchange to instantly drop by 87%. According to the statement given by the former employee, the incident took place on October 21, 2021.
When we examined historical data, we determined that the incident in question was real. As the former Alameda Research engineer explained, Bitcoin price was trading close to 65 thousand dollars on October 21, 2021. However, it suddenly dropped to $8,250 on the Binance.US exchange in the morning local time.
“The trader working in our company was trying to sell some Bitcoin. However, when I put the comma in the wrong place after the numbers, the price suddenly crashed.”
No one knows how much loss the bankrupt cryptocurrency company suffered as a result of this wrong transaction. Binance.US officials stated in their statement that day that the collapse in question was caused by an “institutional investor”.
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