Crypto hedge fund minted nearly $40 billion in Tether, says former CEO

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Crypto hedge fund minted nearly $40 billion in Tether, says former CEO

With former CEO Caroline Ellison set to testify against his former lover and colleague, Sam Bankman-Fried, more revelations surrounding the now-defunct cryptocurrency hedge fund are emerging. One notable allegation is that the hedge fund has minted nearly $40 billion in the Tether stablecoin.

Conor Grogan, the founder of Coinbase, shared his supposed discoveries related to the operations of FTX and its sister company Alameda Research regarding the minting ofUSDT on social media sites X and FTX.

A screenshot of the on-chain data shared by Grogan revealed that Alameda Research created billions of USDT, or about $39.55 billion, which comprised 47% of the current circulating supply of Tether, the blockchain-enabled platform behind the fiat-backed stablecoin.

Grogan's claim appeared similar to the previous report made by Protos, which, aside from claiming that Alameda Research is the second-biggest investor of Tether, had estimated that the cryptocurrency hedge fund minted $36.7 billion.

He said that he had updated the figures previously provided by the publication with the additional wallets he uncovered.

s circulating supply today. A previous report by Protoss estimated the number at around $36.7B, said Grocor in an X thread, along with a screenshot of on-chain transactions.

Grogan used data Bankman-Fried provided to Forbes during the annual World's Billionaires issue and discovered that the amount of minted USDT was higher than Alameda Research's asset under management at its peak.

Grogan vowed to make no secret of what he said.

The crypto community anticipates that more revelations will be revealed about Bankman-Fried and his crypto companies this week in his ongoing fraud trial as Ellison takes the stand.

Bankman-Fried's thoughts and ramblings were shared with the general public last month when he leaked a 15,000-word document to the New York Times.

In the document, which allegedly came with links to music and videos, high school photos, and a screenshot from the Hollywood film Bankman-Fried, it was sounded anguished but also appeared to lack personal accountability and blame other people for what had happened.

SBF said in another draft titled 'Feelt to Hedge', where he cast aspersions on his former lover and EX-CEO Caroline Ellison.

'' m sure that being exes didn't help,'' he said.