Letter from the CEO regarding the collapse of FTX

Letter from the CEO regarding the collapse of FTX

Dear Investors,

Over the last three days one of the largest global crypto exchanges, FTX, has collapsed, halting client withdrawals and rumoured to have a material shortfall in client funds in the magnitude of $5-$10bn+. 

An indicative rescue deal was agreed with the leading crypto exchange, Binance, on Tuesday but later Binance announced it would not proceed with it, given the magnitude of the problems discovered in the initial phases of due diligence.
It now looks likely that FTX clients will have material and potentially total losses on balances that were remaining in the exchange. 

Or fund had a minimal exposure to FTX the exchange and FTT the token. Combined, our exposure is limited to a small amount of approximately 5,000 USD (five thousand), thanks to our broad diversification and high-risk management on concentration. With over 150 positions and a custody-focused approach, we have ben able to protected our funds throughout the last few months from those turmoil which are unfortunately a process of the tech evolution.

While this contagion impacts our long exposure negatively in the short term, we think that the issues of FTX and the issues experienced last June by Celsius, Voyager, BlockFi, etc. - all CeFi (centralized finance) companies - greatly support one of our core theses, which is being long select DeFi protocols. DeFi technology continues to demonstrate its superiority compared with centralized finance, which continues to incur risks typical of the old financial world.

We remain laser focused on protecting the funds' assets and managing exposures in a highly volatile market. We continue to look for opportunities, with a very cautious lens.
We will provide further updates if any material new market events occur and as always remain available to answer any further queries you may have - please reach-out to This email address is being protected from spambots. You need JavaScript enabled to view it.

We thank you for your ongoing support. 

Federico Corbari CEO & Co-Founder Algo Capital