The stunning developments at FTX over the previous week continued with the most recent installment being the news regarding crypto. The fallout that followed the revelations of FTX's insolvency continues to unfold, and CNBC has reported that Alameda intentionally and surreptitiously exploited the assets of FTX customers in dangerous trading endeavors. This comes as the fallout that followed the revelations of FTX's collapse continues to unravel. The company experienced a significant loss.

The tens of billions of dollars in FTX consumer monies were used by Alameda.
The week prior, FTX submitted its petition for bankruptcy, upon which Bankman-Fried resigned from his position as CEO. The filing disclosed that 130 entities connected to the defunct cryptocurrency exchange had also voluntarily submitted themselves for protection under the bankruptcy laws. There appears to be a significant deficit in the financial statements of the defunct Crypto Empire at the core of all of this.

There have been rumors that Bankman-Fried transferred $10 billion to Alameda.

According to the source that was referenced by CNBC, investors, staff, and even auditors had no idea what was going on as Alameda wasted billions of dollars through leverage and margin trading while sitting in the comfort of a penthouse in the Bahamas.

And Alameda used the native FTX token as collateral for loans from FTX, which, in essence, collected money from clients and invested it in the faltering trading company.

The events of the past week served merely to hasten what has been on the horizon for quite some time. Customers withdrawn approximately $5 billion from the cryptocurrency exchange before it was forced to temporarily cease withdrawals and then file for bankruptcy due to a run on the market.