Model Gisele Bündchen explains why she invested in FTX

Model Gisele Bündchen explains why she invested in FTX

Brazilian supermodel Gisele Bündchen said her financial advisors urged her to invest in now-bankrupt exchange FTX, describing it as “a solid and great” opportunity.

She and her ex-husband – NFL legend Tom Brady – are among numerous people who have parted with significant funds due to their involvement with the former crypto giant.

Praying for justice

The massive decline of cryptocurrency exchange FTX in November last year left several investors empty-handed, including some well-known athletes, TV personalities and all kinds of celebrities. One of the highest paid models in the world – Gisele Bündchen – is also on the list.

In a recentinterviewShe blamed her financial advisors for letting her become a victim of the crash. The Brazilian further said that she trusted the hype surrounding the platform's former CEO - Sam Bankman-Fried (SBF) - while she was initially "blindsided" by the failure.

Shortly thereafter, Bündchen realized the true damage and extent of the FTX collapse and hoped that those responsible would be held accountable:

"It's just... terrible. I'm so sorry for all of us that this happened and I just pray that justice is served."

AsCryptoPotatolatelyreported, the model owns over 680,000 common shares of FTX. Her ex-spouse – Tom Brady – is even more exposed, holding more than 1.1 million shares.

Other prominent names burned by the disaster include Canadian entrepreneur Kevin O'Leary (better known as Mr. Wonderful) and American billionaire Robert Kraft.

Well-known companies such as Amazon, Google, Netflix, Apple, Meta, Microsoft and many more are also therealmost 10 million creditors.

The FTX Doom: Crypto's Darkest Event of 2022

While the last year has been full of scandals and corporate collapses, one fallout stands out above all else – that of FTX (a cryptocurrency exchange that was once an industry leader).

It all started in early November when outlets suggested that there could be serious cracks at the platform's sister company - Alameda Research. The latter was reportedly heavily invested in FTT – FTX’s native token.

A few days later, Binance – the world’s largest crypto exchange –praisedto liquidate all remaining FTT holdings, causing the token's price to plummet.

Despite the growing uncertainty surrounding FTX, SBFassuredthat the status of the company was stable while the assets were “in good order”. However, it seemed like nothing was as described by the CEO and the company stopped fulfilling withdrawal requests.

However, Binance intended to acquire the struggling exchangewithdrawnits plans after conducting appropriate due diligence.

SBF apologized for certain errors, including improper calculation of FTX's liquidity, which it said caused the company's downfall. Heresignedfrom his position as CEO on November 11 while his company filed for Chapter 11 bankruptcy protection.

The crash, seen by many as a classic example of fraud, triggered billions of dollars in investor losses, a market collapse and a domino effect of other negative events in the industry. SBF was arrested and spent several days in a Bahamian prison before authorities extradited him to the United States.

The American Judgesallowedhim to stay in his parents' home under a whopping $250 million bond. ACourt hearingtrial against him, scheduled for Oct. 2, will determine whether he played a role in his death and bar his final conviction.

Featured image courtesy of CW

.