Inside Alameda Research: A Multi-Token Network Analysis

TL;DR

This paper uses multi-token network analysis on Ethereum to investigate Alameda Research's account activities, revealing key accounts and activity shifts leading up to its 2022 bankruptcy, offering insights into DeFi ecosystem dynamics.

Contribution

It introduces a multi-token network analysis approach to study Alameda Research's Ethereum account activities and their evolution over time.

Findings

Identifies critical accounts and tokens involved with Alameda Research.

Reveals shifts in token accumulation and distribution patterns before bankruptcy.

Provides insights into the activity dynamics within the DeFi ecosystem.

Abstract

We analyze the token transfer network on Ethereum, focusing on accounts associated with Alameda Research, a cryptocurrency trading firm implicated in the misuse of FTX customer funds. Using a multi-token network representation, we examine node centralities and the network backbone to identify critical accounts, tokens, and activity groups. The temporal evolution of Alameda accounts reveals shifts in token accumulation and distribution patterns leading up to its bankruptcy in November 2022. Through network analysis, our work offers insights into the activities and dynamics that shape the DeFi ecosystem.