The Leadership Letter

Real correspondence from the people running real companies — and what it reveals about leadership.

In a Crisis, Pick One Audience And Protect Them First

When you can't save everyone, be honest about who you're choosing to save first — and expect the rest to notice.

Hi all, I'm really sorry about the delayed responses here -- it's been a hectic week but that's on me. Myself, and Joe (cc'ed), will be responsive going forward. And I'm also deeply sorry for ending up in this position in the first place.

1) Right now we are focused on one thing: making customers whole. We are focusing exclusively on doing that this week. We are ceasing all nonessential operations beyond that.

2) I have not briefed the securities commission. I would be more than happy to have a phone call with you, the PM, and the SCB in the next few days to give a thorough overview of the situation.

3) I am cautiously optimistic that we will be able to survive the turmoil and have enough liquidity for all customer withdrawals, and that is my sole focus this week.

4) We are investigating a more thorough answer to this question; we did not intend to, but are concerned that poor risk management lead to a liquidity issue.

5) Binance did not end up following through on their transaction. However, we are in the middle of a separate process to make users whole; we will know within a week if that comes through.

6) We have segregated funds for all Bahamian customers on FTX. And we would be more than happy to open up withdrawals for all Bahamian customers on FTX, so that they can, tomorrow, fully withdraw all of their assets, making them fully whole. It's your call whether you want us to do this — but we are more than happy to and would consider it the very least of our duty to the country.

— Sam Bankman-Fried

This edition is for members — but the daily letter is free.

One real corporate email, and the lesson it teaches, in your inbox every weekday morning. Free. Unsubscribe in one click.

Want this edition and the full searchable archive?

Start your free week →What members get →
Court Exhibit
In re FTX Trading Ltd., et al.
22-11068 (DEB), Doc. 205-1, filed 2022-12-12
November 10, 2022
Public domain
View the primary source →