Sam Bankman-Fried’s Sudden ‘gm’ Lifts FTT Token Drawing Crypto Community Ire

“What”: a easy reply by crypto influencer Gainzy just about summed up the sentiment when the infamous convicted fraudster Sam Bankman-Fried, or SBF, seemingly posted on social media after a protracted hiatus (and regardless of being in jail).

To make issues worse, the token linked to defunct crypto alternate FTX surged practically 24% within the final 24 hours, after his X account posted a easy “gm” on Tuesday.

This easy publish appears to have been taken as a chance by speculative crypto merchants to pump the FTT token, which now has no worth related to it, practically 50%-60% inside minutes, reaching a peak of round $1.20-$1.23. Despite his incarceration and clarification that the publish was made by a “good friend” on his behalf, the token remains to be up 25%, buying and selling round $1.014, in accordance with CoinDesk information.

The FTT token has additionally seen a pointy enhance in exercise and buying and selling volumes following the publish, in accordance with information compiled by The Tie.

The variety of lively addresses reached 201, considerably outpacing the month-to-month common of 56, The Tie mentioned. Additionally, centralized alternate deposits doubled, reaching 13, whereas withdrawals quadrupled to 38 in comparison with the month-to-month common, it added.

‘Wen memecoin’

The crypto group on X reacted swiftly with anger, skepticism and humor to SBF’s publish.

One of essentially the most scathing replies got here from on-chain investigator ZachXBT. In a now-deleted publish, he condemned SBF, stating that he “deserves zero human rights” as a result of hurt brought on by FTX’s collapse. His view displays a phase of the group’s lingering resentment in the direction of FTX’s collapse, which harm buyers who’re nonetheless ready for a few of their funds from its chapter property and the broader crypto group.

Read extra: Who Won and Lost Most in Sam Bankman-Fried’s Criminal Scheme?

Other group members, together with Laura Shin, mocked SBF’s sudden social media exercise, saying, “That’s so 2021.”

Meanwhile, Arthur Hayes, the BitMEX co-founder who now runs crypto enterprise fund Maelstrom, took a humorous jab, replying “Wen memecoin?” — a probable playful reference to the speculative, meme-driven nature of the surge in FTT token after SBF’s sudden publish. This probably underscores a view that the worth motion was extra about market psychology than substance.

Not the primary time

The surge in FTT token — as soon as a key utility token for buying and selling charge reductions and staking advantages on the FTX alternate — has been largely dormant for the reason that platform’s spectacular implosion that ushered in a brutal crypto winter that devastated many buyers.

However, surprisingly sufficient, this isn’t the primary time this has occurred. The identical factor unfolded in February of final 12 months, when the SBF’s account posted on X for the primary time in two years. At the time, he was detained within the Metropolitan Detention Center in Brooklyn, and his attorneys had been working by an enchantment of his conviction (the enchantment is ongoing, with arguments presently scheduled for November 2025).

The new social media publish additionally got here because the FTX property continues to work to repay collectors.

The FTX Recovery Trust is set to launch $1.6 billion to collectors on the finish of this month, marking the third main payout for the reason that crypto alternate’s implosion practically three years in the past.

This latest exercise, although probably short-lived, exhibits the token nonetheless reacts sharply to headlines and sentiments — particularly these tied to its controversial founder.

Read extra: Private Jets, Political Cash Among $1B in Sam Bankman-Fried’s Forfeited Assets: Court