Image source: Wallpapers
Elon Musk recently denied a story that Sam Bankman-Fried gave around $100 million to his recent acquisition of Twitter.
The revelation came amid a headline from Business Insider claiming that SBF owns a $100 million stake in the popular social media platform.
However, Musk denied the story’s allegations, tweeting, “False.”
The Business Insider story was based on an article written by the recently launched news site Semafor.
The story alleges that Elon Musk urged SBF to “roll” his Twitter shares in the platform, which would go private under his ownership.
SBF reportedly bought Twitter stock in anticipation of Musk buying the company.
Earlier this month, a leaked balance sheet listed $43 million in Twitter stock as one of FTX’s illiquid assets.
SBF initially expressed willingness to contribute more than $10 billion but did not invest any new money in the deal.
Instead, his pre-existing Twitter shares were initially injected into the company under Musk, according to unpublished text messages shared with Semafor.
After Musk’s denials, Semafor updated the report to say that Sam Bankman-Fried did not invest in Twitter.
Twitter’s new owner also slammed the outlet, noting that SBF supports Semafor, a fact the publication shared in its coverage of the FTX collapse.
Musk and SBF
Twitter’s lawsuit against Elon Musk uncovered private messages that urged him to finalize his takeover bid.
Oxford philosophy professor Will MacAskill reportedly introduced SBF and Musk earlier this year.
MacAskill reportedly advised the FTX creator on his “effective altruism” principles.
At the time, SBF said he was happy to talk to Musk on Twitter or other topics.
He brought his offer up again in April when Musk announced his outright offer to buy Twitter.
SBF then sent the Tesla CEO a Twitter thread outlining his vision for Twitter to become decentralized.
SpaceX and Boring Company backer Michael Kives also sent the thread from SBF to Musk, saying it would be “cool to do this with Sam Bankman-Fried.”
Musk tells all
Elon Musk recently revealed that early interactions with the FTX founder rang some alarm bells.
According to the Twitter owner, SBF activated his ‘bs detector.’
Musk explained in a Twitter space, saying:
“I talked to him for about half an hour, and my b******* meter was red-lining. This dude is full of ****, that was my impression.”
Musk said he was looking for investors who could contribute to the deal then.
“He does not have capital,” he added. “He will not come through, that was my prediction.”
Instead, Binance, FTX’s rival and savior, invested $500 million in the Musk acquisition.