Tag: ftx
Brett Harrison ‘never lost faith in the business’ while at now-shuttered FTX
At Consensus 2023, Anthony Scaramucci and Brett Harrison shared their experiences during FTX’s downfall and what life has been like since.
Brett Harrison ‘never lost faith in the business’ while at now-shuttered FTX by Jacquelyn Melinek originally published on TechCrunch
FTX collapse has done lethal damage to an up-and-coming card game
Crypto: Shaq has finally been served in FTX shareholders’ lawsuit
FTX Has Recovered $7.3 Billion In Assets, Will Consider Rebooting Exchange
FTX has benefited from a recent rise in crypto prices, Dietderich said. Its total recovery would be valued at $6.2 billion based on crypto prices from November 2022, when it filed for bankruptcy after traders pulled $6 billion from the platform in three days and rival exchange Binance abandoned a rescue deal. As it looks to the future, FTX is negotiating with stakeholders about options for restarting its crypto exchange, and it may make a decision on that in the current quarter, Dietderich said.
Read more of this story at Slashdot.
Crypto: FTX founder Sam Bankman-Fried charged with bribing Chinese government officials
Finance YouTubers sued over promotion of FTX
A new class action lawsuit alleges that several well-known finance YouTubers, including Graham Stephan, Andrei Jikh, Jaspreet Singh and others, should be held responsible for promoting now-disgraced cryptocurrency exchange FTX. The lawsuit’s plaintiff is Edwin Garrison, a private investor who also filed a lawsuit against former FTX CEO Sam Bankman-Fried, plus celebrity promoters like Tom […]
Finance YouTubers sued over promotion of FTX by Amanda Silberling originally published on TechCrunch
Police take down ChipMixer service tied to stolen crypto from FTX, Axie Infinity hacks
ChipMixer, a cryptocurrency mixing service with ties to the hacks targeting FTX and Axie Infinity, has been pulled offline by the FBI, Europol, and other international authorities. In a press release published Wednesday, the Justice Department says authorities seized $46 million worth of cryptocurrency along with the service’s domains and GitHub account.
Crypto mixing services like ChipMixer make it more difficult for third parties, such as law enforcement, to trace crypto transactions, as they funnel different payments into a single pool of crypto before splitting up each amount and sending them to designated recipients. According to law enforcement, unlike crypto services registered to operate in the US, it naturally didn’t collect…
FTX determines around $9 billion in customer funds are missing
It’s official: FTX is missing a lot of its customers’ funds.
How much is a lot? Try around $9 billion.
In a preliminary analysis released by the bankrupt crypto exchange on March 2, FTX laid out its current findings for stakeholders. And it confirmed the worst: a “massive shortfall,” as only around $2.2 billion in customers’ assets have been located. Furthermore, even less of that amount – $694 million – is in liquid assets such as cash, stablecoins, Bitcoin or Ether.
One of the reasons FTX ended up in this predicament involved the borrowing of customers’ funds by its trading firm, Alameda Research. The presentation claims that Alameda had been provided with $9.3 billion from FTX customers. A further $191 million was borrowed by Alameda from customers of the US-based exchange, FTX US.
While the disgraced FTX co-founder and ex-CEO Sam Bankman-Fried once claimed FTX US was completely isolated from FTX’s problems, the company’s latest analysis found that FTX US has a shortfall in the hundreds of millions as well.
“It has taken a huge effort to get this far,” said John J. Ray III, FTX’s current CEO who took over amidst the bankruptcy, in a statement. “The exchanges’ assets were highly commingled, and their books and records are incomplete and, in many cases, totally absent. For these reasons, it is important to emphasize that this information is still preliminary and subject to change. We believe it is more important to provide transparency to stakeholders by making this information public now than to wait until we can achieve certainty.”
FTX was once one of the largest crypto exchanges in the world. However, in November of last year, reports emerged saying that its sister company, Alameda Research, was insolvent. Soon after, competitor Binance sold off its holdings of FTX’s cryptocurrency, FTT token. Over the next few days, billions of dollars were withdrawn from the exchange by its customers. Within a week, FTX filed for bankruptcy. Evidence was soon unveiled that Bankman-Fried had been improperly using customer funds, which led to his arrest and indictment for securities fraud.
Caroline Ellison, the CEO of Alameda Research, pled guilty to a number of fraud charges in December. She faces up to 120 years in prison. Ellison also agreed to cooperate with prosecutors as they build their case against Bankman-Fried.
FTX Ex-Engineering Chief Nishad Singh Pleads Guilty To Criminal Charges
“Today’s guilty plea underscores once again that the crimes at FTX were vast in scope and consequence,” Manhattan U.S. Attorney Damian Williams said in a statement. “They rocked our financial markets with a multibillion dollar fraud. And they corrupted our politics with tens of millions of dollars in illegal straw campaign contributions. These crimes demand swift and certain justice and that is exactly what we are seeking in the Southern District of New York.”
The Securities and Exchange Commission, as well as the Commodity Futures Trading Commission both filed related civil complaints against Singh on Tuesday. The SEC said in a release that Singh is cooperating with the agency’s ongoing investigation, and he has separately agreed to settle with the CFTC. Two of the criminal charges against Singh are related to wire fraud and another is conspiracy to commit commodities fraud.
Read more of this story at Slashdot.