Updates on FTX Crash - 2022/11/13
Nov 13, 2022
We’d like to thank all our users for your patience. Part of the funds of Steaker Digital Asset Management Platform has been impacted following FTX Crash, which results in widespread ramifications. Again, our team deeply apologizes for the inconvenience caused. But please note that the rights and interests of all users still remain in place, and the current impact is temporary. Steaker is actively taking action to recover users’ rights from FTX.
This weekend, our team discussed necessary follow-up actions against FTX with our lawyers and has begun to draw up emergency plans to protect those affected by this incident. Meanwhile, to truly safeguard users’ rights, our team stayed up to handle a large number of requests for early redemption and withdrawal of funds. But given that Steaker is technically not an exchange, redemption work plus withdrawal of funds will require us to close positions and settle the amount, which takes some time to process. For the time being, we have successfully handled most of the requests for withdrawal. We would like to thank you again for your great patience.
Exposure to FTX
As of the last settlement, Steaker’s exposure to the FTX platform has totaled USD 10,669,129 worth of tokens. Attached below is the screencast of Steaker’s institutional account prior to the closure of FTX API/APP as proof.
According to the previous announcement, the portfolios affected by FTX Crash are the exposure mentioned above. For the sake of the effective operation of portfolio strategies, funds must be placed on FTX to take positions, resulting in failure to withdraw funds before the withdrawal function was disabled.
Steaker’s Portfolios Affected by FTX Crash
- Variable-Rate - 3 Months (FTX)
- Variable-Rate - 6 Months (FTX)
- Variable-Rate - 1 Year (FTX)
- Variable-Rate - 3 Years (FTX)
- Limited Fixed-Rate - 3 Months (FTX)
- 9.5% USDⓢ - 1 Year (FTX)
- 9% USDⓢ - 1 Year (FTX)
- 8% USDⓢ - 3 Months (FTX)
Steaker’s Portfolios Unaffected by FTX Crash
Please note that the interest rate of portfolios unaffected and of Steaker Wallet will be calculated as usual, and functions of deposit, withdrawal, and redemption will all remain fully operational. The list below gives an overview of what platform is involved in strategically operating each portfolio.
- Fixed-Rate - 7 Days (Binance)
- Fixed-Rate - 1 Month (Binance)
- Fixed-Rate - 3 Months (Binance)
- High-Rate - 6 Months (Binance)
- Quantitative Arbitrage (Binance)
- AI Smart (Binance)
- Yield Farming (DeFi projects such as YFI, AAVE, mStable, CURVE, etc.)
- 88% USDⓢ - 7 Days (Subsidized by Steaker’s marketing budget)
- 66% USDⓢ - 7 Days (Subsidized by Steaker’s marketing budget)
- 4% BTC - 3 Months (Binance)
- 4% ETH - 3 Months (Binance)
- GT Radar Mainstream (Binance)
- GT Radar Innovation (Binance)
Funds in the above-mentioned portfolios and Steaker Wallet are currently distributed and kept on Binance, in a cold wallet and a multi-sig wallet.
Updates on Steaker Handling the FTX Crash
- Steaker will take the initiative to take legal action against FTX: we’re currently reaching out to legal experts and law firms from all over the world to discuss what the appropriate jurisdiction will be for us to take effective follow-up actions against FTX.
- Steaker will work with any related entities possible and seek the most feasible solutions to redeem the funds:
1. Though Huobi and TRON will support the exchange of the TRON tokens deposited on the FTX platform, the estimated slippage is way higher than expected.
2. We are researching the possibility of having other suitable entities do the withdrawal work on our behalf. Yet due to the high risk involved, this measure is pending further discussion and evaluation.
- Steaker is now developing emergency plans for users troubled by the ongoing FTX saga: We are currently negotiating with lawyers for the follow-up actions and procedures. Users affected will be contacted individually from 2022/11/14 to 2022/11/18 by our member of staff, and the emergency plans will be explained in great detail then. Please pay close attention to your inbox.
Steaker would like to offer our humble apologies for the inconvenience caused and impacts in the wake of this incident. Since the crash, we have always focused on handling the situation actively, communicating with any related units possible, and getting ourselves prepared to take legal action against FTX and impose sanctions on it if needs be.
Finanlly, thank you again for your understanding and trust. Steaker will continue to stand hand in hand with you throughout this difficult time.