Old FTX CEO Sam Bankman-Fried reportedly acquired a mountainous chunk of Raydium’s native token’s circulating provide sooner than it change into once listed on the commerce lend a hand in 2021.

In step with facts shared by Coinbase Director Conor Grogan on Monday, Bankman-Fried’s wallet address acquired 2 million RAY tokens which amounted to fifteen% of its circulating provide.

Raydium is a decentralized commerce built on Solana that change into once launched in February 2021. It change into once built to be a liquidity provider for Serum – a Solana-basically based utterly DEX backed by FTX and Alameda.

On the time of its birth, Raydium’s team mentioned that its provide of tokens could perchance perchance be locked for over a year and had been scheduled to be unlocked linearly over the following couple of years.

Grogan claims that on-chain facts displays that Bankman-Fried ragged his tokens to provide liquidity on diverse DEXes, promote 80,000 RAY tokens and ship 1 million RAY tokens on FTX on the same day.

After this, Bankman-Fried allegedly withdrew the RAY equipped on liquidity pools at peak costs and cashed out a “few million in ETH.”

A identical predicament took plight with one other DeFi protocol Reef Finance rapidly after. In a weblog post on March 16, 2021, the Reef team reported being laborious accomplished by FTX and Alameda.

The Reef team mentioned that Alameda had reached out to them with the intent of making an $80 million strategic investment and secured the first tranche of $20 million in tokens at a 20% carve label. Alameda then at once offloaded their tokens to Binance, mentioned the Reef team, sharing Etherscan screenshots of the transfers.

“We did no longer switch forward with the extra $60M tranche due to doubts round Alameda’s lengthy-term curiosity in being a strategic investor,” mentioned Reef in a verbalize.

Sam Trabucco, frail Alameda CEO, denied any affiliation with Reef in a tweet rapidly after. Trabucco claimed that Reef reneged on the final tokens, which he described as an “OTC deal” versus a strategic investment. He furthermore refuted claims that Alameda had at once sold nearly all these tokens.

FTX then issued a poll asking users if the commerce can also silent delist the REEF token, calling it a “rug pull.”

“The indisputable truth that Alameda threatened to delist REEF from centralized exchanges in whine to cause injure to the project highlights that CeFi gamers silent enjoy a stable affect on the crypto markets,” mentioned the Reef team.