Who is Sam Bankman-Fried? A look at the 30-year-old crypto prince who lost billions

Published Nov 15, 2022

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If you are a cryptocurrency investor, this may have been the most harrowing week for you and your investment portfolio.

On everybody’s mind is the boy genius and once crypto savant that is now a disgraced former billionaire, Sam Bankman-Fried. Bankman-Fried is only 30-years-old and was the founder and former CEO of FTX, a cryptocurrency exchange.

The cryptocurrency world was plunged into chaos last week with the fall of FTX. The exchange was once valued at nearly $32 billion.

It was reported that the company would file for bankruptcy, and Bankman-Fried would resign.

So who is Bankman-Fried?

Sam Bankman-Fried. Via FTX Instagram

THINGS YOU SHOULD KNOW

THE FAMILY IS SMART

Bankman-Fried comes from a family of academics, as his mom and dad are both professors of law at the prestigious Stanford University.

A BRAIN FOR MATHS

Bankman-Fried is a gifted mathematical scholar, having attended the Massachusetts Institute of Technology and graduated with a degree in physics and a minor in mathematics.

EARLY CAREER

Bankman-Fried began his trading career at Jane Street Capital. In November 2017, he founded a quantitative trading firm called Alameda Research. Bankman-Fried founded FTX in April 2019 while living in Hong Kong.

A FRIEND OF ELON

International reports looking at Bankman-Fried’s text messages showed that the former CEO had offered to assist Elon Musk to buy Twitter in September 2022.

A PHILANTHROPIST

It should be noted that Bankman-Fried is a huge supporter of effective altruism. This is a research field that tries to find the most effective ways to help others.

He is a member of Giving What We Can and noted that he would be donating a majority of his vast wealth to charities over his lifespan.

HOW RICH IS HE?

At the height of FTX’s successes, he was estimated to be worth $26 billion, though, like most things in crypto news, this amount has varied, according to Bloomberg.

In early October, the New York Times reported that he had a net worth of $10.5 billion. But by November 8, due to the FTX's solvency crisis, he had lost most of his fortune. It was estimated that dropped 94% in a day to $991.5 million, according to Bloomberg Billionaires Index.

Bankman-Fried is now considered to have “no material wealth”, according to the index.

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