FTX co-founders borrowed $546M from Alameda to buy Robinhood stake

FTX co-founders Sam Bankman-Fried and Gary Wang together borrowed more than $546M from Alameda Research, their hedge fund, to buy a 7.6% stake in Robinhood Markets ( NASDAQ: HOOD ), CoinDesk reported , citing court documents. The affidavit that was submitted to a Caribbean court before Bankman-Fried's arrest stated that he and Wang used the money to fund Emergent Fidelity Technologies, a shell company that bought the HOOD stake in May 2022. The disclosure complicates the dispute over the shares' ownership, an asset that could be valued at more than $440M. Crypto lender BlockFi, which filed for Chapter 11 on Nov. 24, sued Bankman-Fried for the Robinhood ( HOOD ) shares, because it said the shares were pledged to BlockFi as collateral. Meanwhile, FTX also lays claim to the shares. Last week, FTX's new management said they identified more than $1B in assets, but they're struggling to track down the firm's assets due to poor records and bookkeeping .