BitDAO threatens to sell 3.36 million FTT if Alameda does not show proof of holding BIT

Controversy broke out between BitDAO and Alameda Foundation over their promise not to sell tokens for 3 years.

Update on the evening of 11/8:

On the evening of November 8, BitDAO's Twitter page said that Alameda Research had transferred 100 million BIT to the specified wallet, indicating that the investment fund had never sold tokens.

BitDAO thanked Alameda for the quick response, but asked that they continue to keep the coins in the above wallet so that the community can continue to monitor.

Original post:

As FoxCryptoNews reports, the "war" between CZ Binance and Sam FTX is getting more and more intense with the participation of BitDAO (BIT). The number is when the price of FTT plummeted to 15 USD in the morning of November 8, 2022, the community realized that BIT also dumped equally.

People quickly recall in 2021, Alameda Research proposed that BitDAO invest $180 million in FTT. Simply put, the Alameda Research fund holds 1% of the total supply of BIT and BitDAO holds 1% of the total supply of FTT. Both parties pledged not to sell tokens for at least 3 years.

However, with the current situation, there are many rumors that Alameda Research fund "betrayed", sold BIT and had more money to subsidize FTT, so BIT sometimes dumped up to 35% in the morning of November 8 like that.

Even Bybit CEO Ben Zhou posted on a forum to "ask" Alameda whether to release BIT tokens, because in fact, the "3-year no-sale" agreement was just a "blank promise", not locking with a smart contract at all.

“The BitDAO community is questioning why the price of BIT dumped so much. Was Alameda unfaithful?

There is no confirmation yet but we require proof Alameda is still holding BIT tokens.”

And this time no longer "talking", but BitDAO has submitted a proposal asking Alameda to provide on-chain proof of the wallet address that is still holding BIT tokens.

This proposal needs a response within 24 hours or the BitDAO community will decide to “do something” with the 3.36 million FTT tokens they are holding.

Right below Bybit CEO's tweet, Alameda Research CEO Caroline Ellison replied that:

"We're busy, but it's definitely not us. I'll send you the proof when things settle down."

According to data from Nansen, Alameda Research still holds the other 100 million BIT on the FTX exchange.

In response to the answer from CEO Alameda Research, Mr. Ben Zhou stated that at the moment nothing can be confirmed, but thanked Ms. Ellison for providing reassurance to the BitDAO community. Mr. Zhou also wished the fund to overcome the current difficult period.

FoxCryptoNews summary

Nov 09, 2022