BitDAO (BIT)suspected FTX founder Sam Bankman Fried’s enterprise capital agency Alameda Analysis of breaching an settlement made in 2021 and promoting its 100 million BIT tokens, inflicting BIT to plummet.
The DAO group requested Alameda to show that it nonetheless owns its BIT tokens, and Alameda responded by transferring over 100 million BIT tokens from an FTX sizzling pockets to an Alameda deal with.
Background
Alameda revealed a proposal titled BIP-4 and supplied BitDAO to swap 100 million BIT tokens with Alameda for 3,362.315 FTT tokens and make a public dedication to not promote every others’ tokens for 3 years. The proposal was open for voting between Oct. 20 and Oct. 30 2021 and handed with 100% votes of the contributors in favor.
The token swaps happened on Nov. 2, 2021, in three transactions, and each events agreed to not promote them earlier than Nov. 2, 2024.
Cash plummet
On Nov. 8, each BIT and FTT skilled a pointy 20% decline at across the identical time. BIT fell from $0.40 to $0.33, whereas FTT plummeted from $22.12 to $15.36. Each tokens rapidly recovered from a portion of their losses. On the time of writing, BIT is being traded for $0.39, whereas FTT is priced at $18.184.
In mild of latest hypothesis about FTX’s monetary stability, the BitDAO group suspected that Alameda could have bought its BIT holdings and triggered the sudden dump of each FTT and BIT.
BitDAO’s founder and CEO Ben Zhou Tweeted to elucidate their suspicions and introduced that they’re asking for proof of funds from Alameda.
Bitdao group is questioning the sudden dump of $bit token attributable to Alameda dumping and breaching the three yr mutual no sale public dedication. Nothing is confirmed however bitdao group want to verify a proof of fund from Alameda. https://t.co/YassKhcdPt
— Ben Zhou (@benbybit) November 8, 2022
The BitDAO group ensured that the three,362.315 FTT tokens have been protected and sound within the BitDAO treasury, and requested Alameda to make sure BitDAO by transferring the 100 million BIT tokens into an on-chain deal with in order that the BitDAO group can confirm.
BitDAO group warned that if Alameda fails to supply adequate proof of funds inside 24 hours:
“It will likely be as much as the BitDAO group to determine (vote, or some other emergency motion) methods to cope with the $FTT within the BitDAO Treasury.”
FTX responds
Responding to BitDAO’s request, over 100 million BIT tokens have been transferred from an FTX sizzling pockets to Alameda’s deal with.
This deal with is the unique deal with that Alameda agreed to obtain its BIT tokens in when the deal was inked in 2021.
