Billionaire crypto boss Sam Bankman-Fried's companies has signed deals to bail out two firms in as many weeks: BlockFi, a quasi-bank, and Voyager

Bitcoin billionaire Sam Bankman-Fried bails out embattled crypto firms BlockFi and Voyager

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2022-06-23 22:30:07

Billionaire crypto boss Sam Bankman-Fried's companies has signed deals to bail out two firms in as many weeks: BlockFi, a quasi-bank, and Voyager Digital, a digital asset brokerage.

FTX, Bankman-Fried's crypto exchange, agreed Tuesday to provide BlockFi with a $250 million revolving credit facility. Bankman-Fried said the financing would help BlockFi "navigate the market from a position of strength."

It comes after BlockFi said earlier this month that it would lay off 20% of its staff. Meanwhile, a report from The Block said earlier this month that BlockFi was in talks to raise funds in a deal valuing the firm at $1 billion, down from $3 billion last year.

Zac Prince, BlockFi co-founder and CEO, said the deal with FTX was more than just a round of debt, adding it "also unlocks future collaboration and innovation" between the two firms.

Last week, Voyager Digital said Alameda Research, Bankman-Fried's quantitative research firm, would provide it with $500 million in financing.

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