Matthew Graham’s Sino Global Capital has filed a claim against FTX Trading for $67.3 million on behalf of Sino's Liquid Value fund.
Sino Global Has Filed a Lawsuit Against FTX
Matthew Graham’s Sino Global Capital has filed a claim against FTX Trading for $67.3 million on behalf of Sino's Liquid Value fund, which was established in 2021 in collaboration with Sam Bankman-Fried.
The fund primarily targeted high net worth individuals with a $200 million fundraising goal. In marketing materials promoting the fund, FTX was referred to as a "co-GP and anchor LP"; as of January 2022, the fund had raised $90 million with FTX serving as an anchor investor.
According to SEC documents dating back to 2022, Bankman-Fried was identified as an indirect stakeholder in the fund along with Graham, Alameda Research, and its subsidiary Alameda Ventures.
In 2023, the fund lost its SEC registration, however it is still in operation with the Cayman Islands Monetary Authority.
In a prior statement, Sino Global claimed that its "direct exposure to the FTX exchange was confined to mid-seven figures held in custody." Sino issued a statement shortly after FTX's demise in which it regretted having put its trust in the company in the wrong place.
Constance Wang, a former FTX COO, was appointed by Sino Global as its head of gaming in July.
