Join us tomorrow at 1:00 PM PT/4:00 PM ET for a live video summit with former Treasury Secretary Larry SummersJoin Us

Sam Bankman-Fried. Photo by Bloomberg.

Who Else Will FTX Founder Rescue?

Photo: Sam Bankman-Fried. Photo by Bloomberg.

Has there ever been a more aptly named entrepreneur than Sam Bankman-Fried? Not only is his FTX turning out to be a lender of last resort for crypto lenders such as BlockFi and Voyager Digital, both of which are caught up in a chain reaction of missed margin calls triggered by the crypto slide, but it could also emerge as a savior for Robinhood. That at least is according to this Bloomberg report, which said FTX is reportedly looking to buy the stock brokerage. (Bankman-Fried later put out a statement appearing to deny the report without actually doing so.)

Bankman-Fried, of course, personally bought a 7.6% stake in Robinhood in mid-May. Buying the rest of the company will require the agreement of the two founders, Vlad Tenev and Baiju Bhatt, who own just 15% of the equity but more than half of the votes. Given the state of play with Robinhood, though, you can’t rule out the possibility that they’ll decide to take the money and run. Certainly, that might be in the best interests of Robinhood’s regular shareholders, particularly those who bought in at the IPO price of $38 last July and are still hanging on at around $8 lately. 

Get access to exclusive coverage
Read deeply reported stories from the largest newsroom in tech.
Latest Articles
 
The Briefing amazon media/telecom
Amazon Takes Its Time Delivering Second Round of Job Cuts
Andy Jassy, CEO of Amazon. Photo via Getty.
Amazon is in the lead! The e-commerce behemoth has moved ahead of Alphabet in the contest to win this year’s IBM Cup, awarded occasionally to the most bureaucratic and slow-moving big tech company around. That’s one takeaway from Amazon CEO Andy Jassy’s explanation today for cutting another 9,000 jobs, on top of the 18,000 layoffs already announced. Jassy said in November the job cuts flowed...
Latest Briefs
 
New Report to Australian Government Alleges ByteDance Poses Disinformation Threat
FTX Sues Liquidators of Bahamas Unit
Flagstar Acquires Most of Signature Bank, Excluding Crypto Business
Stay in the know
Receive a summary of the day's top tech news—distilled into one email.
Access on the go
View stories on our mobile app and tune into our weekly podcast.
Join live video Q&A’s
Deep-dive into topics like startups and autonomous vehicles with our top reporters and other executives.
Enjoy a clutter-free experience
Read without any banner ads.
Jamie Dimon, chief executive officer of JPMorgan Chase. Photo by Bloomberg.
Exclusive markets startups
How JPMorgan Maneuvered During the Fall of Silicon Valley Bank
When Silicon Valley Bank was crumbling last week, eyes turned to the biggest lender in the country—the bank that had stepped in to save failing competitors during the financial crisis in 2008, whose CEO has been called “America’s banker” and whose views and decisions influence the corporate world.
Sarah Nagy gives a demo of her startup, Seek.ai, at an AI event at the San Francisco Wine Society in January. Photography by Laura Morton
First Look startups ai
Boom Times in San Francisco’s AI Underground
Not even a banking crisis could chill the fever sweeping San Francisco. Last Wednesday, as the tech industry recoiled from the collapse of Silicon Valley Bank, a party was scheduled at the offices of Maverick Ventures in an old army hospital in the Presidio.
Cover art and portraits by Clark Miller
The Big Read
The Instant Oral History of the Silicon Valley Bank Collapse
On a cosmic level, the collapse of Silicon Valley Bank was a mere blip. The murmurs about trouble began last Wednesday, the panic spread via group texts and Twitter threads on Thursday, the bank went under on Friday, the government got its act together on Saturday, and on Sunday every current and former customer of SVB could breathe a cautious sigh of relief.
FDIC member Dedra Dorn (center left) speaks with individuals in line outside Silicon Valley Bank's headquarters in Santa Clara, Calif., on Monday, March 13, 2023. Photo by AP.
Opinion economy
Where the Venture Community Goes From Here
March 9, 2023, will be remembered as a sad day in Silicon Valley’s history. We have been through crises before—the Japan Inc.
Art by Clark Miller.
Opinion startups economy
SVB Is Dead. Long Live SVB.
We all know how it began. It started on March 9, when the run on Silicon Valley Bank made the innovation economy totter and threatened a global financial crisis.
A pedestrian passes a Silicon Valley Bank branch in San Francisco, on Monday, March 13, 2023. Photo by AP.
Exclusive startups venture capital
SVB’s $9.5 Billion Venture Unit Included Large Investments in Andreessen, Sequoia, Documents Show
As potential buyers circle the remnants of Silicon Valley Bank and its affiliates, one asset could be particularly appealing: the company’s venture capital arm.