SBF Comes to the Rescue

This week was an interesting one in funding from both venture capital and debt financing. After the insolvency of the high-profile hedge fund, 3 Arrows Capital, several crypto lending giants, including BlockFi and Voyager who lent money to 3AC, were left with potential losses totaling hundreds of millions of dollars. This caused the widespread panic of contagion risks until FTX and Alameda Research (each of which are companies founded by Sam Bankman-Fried or “SBF”) stepped in to provide capital. FTX signed a term sheet this week with BlockFi for a $250M revolving line of credit, and Alame...