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Where is Caroline Ellison now? Almeda Research CEO bragged about 'getting lucky' months before FTX collapse

Caroline Ellison had reportedly remarked that she only needed 'elementary grade arithemetics' to manage Alameda Research
PUBLISHED NOV 17, 2022
Caroline Ellison had only 18 months of trading experience and had been with the company for less than a year (carolinecapital/Twitter)
Caroline Ellison had only 18 months of trading experience and had been with the company for less than a year (carolinecapital/Twitter)

Sam Bankman-Fried's ex-girlfriend Caroline Ellison reportedly boasted about "getting lucky" and that she only needed "elementary grade arithmetics" to manage Alameda Research, FTX's associated trading company. Ellison, a mathematics graduate, was appointed CEO of Alameda, which was financed by the bankrupt cryptocurrency exchange FTX. Prior to her appointment, she had only 18 months of trading experience and had been with the company for less than a year.

In a conversation with El Momento, Ellison revealed that she began her trading career in 2018 with the New York business Jane Street. She also described herself as "obsessed" with Harry Potter. After meeting Bankman-Fried in 2020, she relocated to Alameda Research. Ellison remarked that having the option to work for the business was too cool to pass up and that it was "crazy" that she had been there from the start.

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The 28-year-old claimed that Alameda, which was renowned for its aggressive techniques in the cryptocurrency market and suffered significant losses earlier this year, "sort of threw" her into making judgments. When asked about how she managed to make trading judgments with risks in uncertain situations, she responded, "To be honest, I was lucky. She reportedly said that in crypto, anyone must be willing to take risks, and should be able to quickly react and make sound judgments. Ellison also disapproved of standard trading safety measures including stop-loss orders, which serve to limit losses and lower risk. “We tend not to have things like stop losses. I think those aren’t necessarily great risk management tools,” Ellison remarked. 



 


Ellison bragged that she didn't even need a degree in mathematics to run the start-up for Bankman-Fried. “I use a lot of elementary school math arithmetic probability but not really any of the advanced stuff I learned in college. What do math majors do? I guess I’ll apply to some internships with some trading firms, and see how that is.” Meanwhile, according to Daily Mail, Bankman-Fried secretly transferred $10B of FTX customer funds to Alameda. The US attorney's office in Manhattan was currently investigating the matter. 



 

The new claims come just after an anonymous source from within FTX claims to be in possession of a sex tape that involved both Bankman-Fried and Ellison. The shocking information was shared on various social media pages, which also appear to claim that the clip will be released to the public on November 18, unedited and uncut. Ellison was reportedly one of the nine companions who shared the former tycoon's lavish Bahamas mansion, according to CoinDesk. The report also claimed that the pair occasionally dated while running the now-bankrupt cryptocurrency empire, whose value nosedived from an estimated $32B at its peak to effectively zero following a rapid decline.

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