Who is Nishad Singh of Indian origin surrounded by the sinking of crypto company FTX?
The world’s second largest crypto exchange company FTX reached the floor in just a week. Sam Bankman-Freud, the founder of FTX, popularly known as the ‘Crypto King’, has resigned as the company’s chief executive. FTX’s rival company Binance has expressed its willingness to buy it.
Sam, the owner of billions, is now in the eyes of the investigating agencies. FTX appealed to the court to declare itself bankrupt. But not only Sam Bankman alone in the sinking of FTX, many other people are also on the target of investigative agencies.
One of these names is Nishad Singh.
Indian-origin Nishad Singh has been a part of FTX and its other company, Almeida. According to the official website of FTX, Nishad Singh is the director of engineering of the company.
According to the official website of FTX, Nishad Singh studied at the University of California at Berkeley. He got his degree from here with good marks.
Before joining FTX, he worked as a software engineer at Facebook. Here he was working on machine learning. Nishad worked in Facebook for just five months.
Indian-origin Nishad Singh joined FTX’s second company, Alameda Research, in December 2017.
Here he worked as an engineer for about a year and a half and later in 2019 he joined FTX as an engineering director. allegations against the company
Nishad Singh shared a few things about himself in FTX Podcast in 2020. In this, he told that he was doing his ‘dream job’ in Facebook. But he met Sam Bamckman-Freud in an apartment and decided to join Almada Research.
He further said, “Then it was the apartment itself. These were very early days. I think I first came to Alameda when it was probably a month since this company was built. There must have been some five people in the apartment but it was very noisy. Till then I didn’t know anything about trading.
According to a news agency Reuters news, Sam Bankman-Freud, the founder and former CEO of FTX, secretly transferred $10 billion of FTX customers to Alameda.
A report in The Wall Street Journal claimed that the CEO of Alameda Research and senior officials of FTX were aware that money from FTX customers was transferred to help Alameda.
Alameda Research was in a state of financial crunch since this June. The company had taken a lot of loan for investment.
The report quoted some company employees as claiming that lenders to Alameda began to face difficulties after cryptocurrency hedge fund Three Arrows Capital sank in June.
Lenders started asking for their money, which hurt crypto brokers like Voyager Digital Ltd.
According to the report, Alameda’s CIO Caroline Ellison mentioned in a meeting with employees on Wednesday that Sam Bankman and other FTX executives Nishad Singh and Gary Wang were aware of the transfer of FTX customers’ money to Alameda. .
Gary Wang first used to work at Google, then later he along with Sam took forward FTX. He is the Chief Technology Officer at FTX.
Sam Bankman-Fyd, the founder of FTX, has been very popular on social media.
How did such a big company sink?
Whether it was reaching the office early in the morning or sleeping on a bean bag in the office itself, Sam used to share a lot on social media.
In an interview to BBC Radio, he also claimed that so far he has donated “millions of dollars”.
In the last six months, after ‘Crypto King’, he also started getting the title ‘White Knight of Crypto’.
In the year 2022, the crypto market was badly affected and most of the companies went into losses. But when many companies were going into losses, Sam was using crores of bailout cash indiscriminately.
Asked by CNBC why he was doing this, Sam said, “If it’s a big loss and a real pain, it’s not good in the long run and not good for the customers either.” .”
In the same interview, he claimed that he would spend two billion dollars to salvage the loss-making crypto companies.
But last week, he himself was seen asking for help in the crypto market so that he could save his company and customers.
FTX’s financial situation began to deteriorate when crypto news website CoinDesk cited the fusion of Sam’s trading company, Alameda Research, and FTX, stating that the two were not independent companies but part of a foundation.
This was followed by another allegation that Almeida used the money of FTX customers as loans.
The company’s bad phase had just begun, and just days after these allegations, FTX’s main rival Binance sold all its crypto tokens linked to FTX.
Binance CEO Changpeng Shao told his 7.5 million followers that the company is selling its shares in view of recent allegations.
After this there was an earthquake on FTX. One by one customers started withdrawing their money from FTX.
Eventually withdrawals from FTX came to a halt and Sam Bankman tried to raise bailout funds and there came a time when Binance showed interest in buying the company but then backed down.
Binance said that the company has changed its decision in view of the misappropriation of customers’ money and investigations by alleged US agencies.
A day later, the process of declaring FTX bankrupt began.
Sam Bankman apologized to his customers by tweeting at once. He said, “I again apologize to all of you that we have reached this situation.”
The condition of the crypto market is very bad at the moment. Bitcoin is at its lowest level in two years.
The bankruptcy of FTX has become a matter of concern for many companies and their customers.
