oh god everyone is circling back
Liz Hoffman
4,420 posts
Liz Hoffman
@lizrhoffman
Joined February 2009
- Elon Musk's team is seeking new investors for Twitter, offering the same $54.20-a-share deal and trying to close by the end of the year. Scoop w/ @ReedAlbergotti
- “America is a brand” and “we are eroding that brand.” Ken Griffin not mincing words at @semafor World Economy Summit
- Tough meeting for Mamdani with the Partnership for NY (CEOs) today I'm told. Stood his ground on "intifada" language and wouldn't commit to keeping NYPD Comm. Tisch, whom this crowd likes, in the job. (Also did not recognize her father, Jim Tisch, when he rose for a question)
- This a.m. before securing an emergency lifeline from rival Binance, FTX was canvassing deep pockets in Silicon Valley and Wall St — think billionaires, not institutions — ppl familiar told me & @lmatsakis @SaacksAttack. Two of the ppl he he was seeking more than $1bn.
- Replying to @lizrhoffmanThis mostly makes sense to me. FTX had a lot of collateral ($60bn) against not that many liabilities ($2bn). The problem is that collateral was monopoly money and the liabilities were ... real money. Just real basic banking stuff.
- One thing: This isn't 2008. The assets that are the problem here aren't toxic real-estate garbage, they're, like, Treasurys. Everyone can figure out what they're worth, sell them, lend against them, etc. The FDIC should be able to advance money to uninsured depositors pretty fast
- Replying to @lizrhoffmanSee here (SBF's words not mine, a bankruptcy trustee will sort it out, etc): Collateral - mostly crypto - went from being "worth" $60bn to $9bn *fast* Even a "conservative" balance sheet goes upside-down very fast when the assets are garbage and the debts are real. See: Lehman
- A new lawsuit says Coinbase insiders CEO Brian Armstrong, Marc Andreessen and Fred Wilson & others made $1 billion selling stock ahead of bad news, including that the company needed cash
- Replying to @lizrhoffman*96%* of SVB's deposits exceeded the $250,00-per-customer FDIC limit and so are uninsured. That's wild (Bank of America's is 32%, PNC is 46%) and magnifies the risk of a run on the bank like the one we just saw
- Replying to @lizrhoffmanOne person briefed on the fundraising blitz said what started as a $1bn ask was looking more like $5bn-$6bn by midday. More here @semafor semafor.com/article/11/08/…
