“What”: a easy reply by crypto influencer Gainzy just about summed up the sentiment when the infamous convicted fraudster Sam Bankman-Fried, or SBF, seemingly posted on social media after a protracted hiatus (and regardless of being in jail).
To make issues worse, the token linked to defunct crypto trade FTX surged almost 24% within the final 24 hours, after his X account posted a easy “gm” on Tuesday.
This straightforward publish appears to have been taken as a chance by speculative crypto merchants to pump the FTT token, which now has no worth related to it, almost 50%-60% inside minutes, reaching a peak of round $1.20-$1.23. Regardless of his incarceration and clarification that the publish was made by a “buddy” on his behalf, the token remains to be up 25%, buying and selling round $1.014, based on CoinDesk information.
The FTT token has additionally seen a pointy enhance in exercise and buying and selling volumes following the publish, based on information compiled by The Tie.
The variety of lively addresses reached 201, considerably outpacing the month-to-month common of 56, The Tie stated. Moreover, centralized trade deposits doubled, reaching 13, whereas withdrawals quadrupled to 38 in comparison with the month-to-month common, it added.
‘Wen memecoin’
The crypto neighborhood on X reacted swiftly with anger, skepticism and humor to SBF’s publish.
One of the vital scathing replies got here from on-chain investigator ZachXBT. In a now-deleted publish, he condemned SBF, stating that he “deserves zero human rights” because of the hurt attributable to FTX’s collapse. His view displays a phase of the neighborhood’s lingering resentment in direction of FTX’s collapse, which harm traders who’re nonetheless ready for a few of their funds from its chapter property and the broader crypto neighborhood.
Learn extra: Who Gained and Misplaced Most in Sam Bankman-Fried’s Felony Scheme?
Different neighborhood members, together with Laura Shin, mocked SBF’s sudden social media exercise, saying, “That is so 2021.”
In the meantime, Arthur Hayes, the BitMEX co-founder who now runs crypto enterprise fund Maelstrom, took a humorous jab, replying “Wen memecoin?” — a possible playful reference to the speculative, meme-driven nature of the surge in FTT token after SBF’s surprising publish. This doubtlessly underscores a view that the worth motion was extra about market psychology than substance.
Not the primary time
The surge in FTT token — as soon as a key utility token for buying and selling charge reductions and staking advantages on the FTX trade — has been largely dormant because the platform’s spectacular implosion that ushered in a brutal crypto winter that devastated many traders.
Nonetheless, surprisingly sufficient, this isn’t the primary time this has occurred. The identical factor unfolded in February of final 12 months, when the SBF’s account posted on X for the primary time in two years. On the time, he was detained within the Metropolitan Detention Heart in Brooklyn, and his attorneys have been working via an enchantment of his conviction (the enchantment is ongoing, with arguments presently scheduled for November 2025).
The brand new social media publish additionally got here because the FTX property continues to work to repay collectors.
The FTX Restoration Belief is ready to launch $1.6 billion to collectors on the finish of this month, marking the third main payout because the crypto trade’s implosion almost three years in the past.
This current exercise, although doubtlessly short-lived, reveals the token nonetheless reacts sharply to headlines and sentiments — particularly these tied to its controversial founder.
Learn extra: Personal Jets, Political Money Amongst $1B in Sam Bankman-Fried’s Forfeited Property: Court docket