Tag Archives: FTX Exchange

The New York State Department of Financial Services (NYDFS) urged firms to set apart customers’ cryptocurrency holdings from their own assets. The watchdog argued that co-mingling funds could trigger a significant financial loss for investors. The NYDFS’ Recommendation New York’s financial watchdog issued guidance to state-regulated companies on how they should better protect clients in the event of potential insolvency. It outlined the increasing interest in cryptocurrencies...

The United States Federal prosecutors have confiscated nearly $700 million in cash and assets connected to Sam Bankman-Fried, the disgraced founder of FTX. At the heart of the seizure are the 55 million Robinhood shares owned by Bankman-Fried and Gary Wang, valued at over $455 million. The ownership of the shares has been disputed even by BlockFi and FTX creditor Yonathan Ben Shimon who laid claims over them. The Feds, for one, believe they were purchased using allegedly...

The lawyers of Sam Bankman-Fried (SBF) цлаимед that three men drove their vehicle into a metal barricade outside his parents’ house in California.  The family of FTX’s former CEO recently admitted becoming a target of “intense media scrutiny, harassment,” and even physical threats. The Security Incident The gigantic crash of FTX caused multi-billion investor losses and turned SBF into one of the most infamous figures in the cryptocurrency space. The US authorities accused the...

Genesis – a top crypto lending unit that filed for bankruptcy on Thursday – was listed as FTX’s top unsecured creditor within the exchange’s own bankruptcy documents.   The firm has an unliquidated claim against FTX worth $226 million.  Per FTX’s Thursday filing, the defunct exchange has ten customers to whom it owes over $100 million each.  While an earlier version of the filing already showed claims from FTX’s top 50 creditors, the revised version has revealed the names of...

Scammers have created a fake FTX token, dubbed FTX 2.0, to impersonate the now-bankrupt crypto exchange less than 24 hours after the company’s new CEO announced that the platform could be revived. According to blockchain security firm PeckShield, the bad actors sent the tokens to the FTX exchange, pretending to add liquidity before airdropping them to other crypto exchanges. The aim is to lure users into clicking fraudulent links that drain or burn their account balances....

The acting Chief Executive Officer of FTX, John J. Ray III, who is in charge of making sure that the creditors of the bankrupt exchange receive as much compensation as possible, said that the platform might restart. In an interview with The Wall Street Journal, John J. Ray III said that restarting the exchange is on the table. Everything is on the table. If there is a path forward on that, then we will not only explore that, we will do it. FTX filed for Bankruptcy back in...

After the excessive turmoil in the crypto market triggered by the FTX liquidity and bankruptcy scandal, several crypto service providers began publishing their reserve funds. Popular crypto exchange OKX released its third Proof-of-Reserves (PoR), in which it revealed holding “clean assets” worth $7.5 billion in BTC, ETH, and USDT. In a statement, OKX’s Chief Marketing Officer Haider Rafique said, “Security, transparency, and trust are core tenets of the OKX business process...

Kevin O’Leary – a popular Canadian investor and host of the TV show Shark Tank – believes the unregulated cryptocurrency environment will cause the collapse of other companies. However, he remains a proponent of the industry, admitting that he invested 5% of his wealth in bitcoin. Future Trouble Seems Inevitable In a recent interview for Kitco News, O’Leary forecasted that the FTX demise will certainly not be the last such event in the cryptocurrency space. He claimed some of...

FTX’s former CEO, Sam Bankman-Fried, has reiterated claims that FTX US is solvent following FTX debtors’ latest statements to the contrary.  According to Bankman-Fried, the group failed to account for customers’ bank balances, which bring the US entity’s assets well above its liabilities to customers.  Clearing the Air on FTX US In a substack post on Wednesday, Bankman-Fried said that certain statements on Tuesday from Sullivan and Cromwell (S&C; one of the law firms...

Mamoru Yanase – Deputy Director-General of Japan’s Financial Services Agency (FSA) – urged global watchdogs to impose tougher regulations on the cryptocurrency industry. He believes digital asset exchanges should be treated the same way as banks. It’s All Because of FTX According to Yanase, one way to prevent another collapse of a cryptocurrency platform is if regulators treat such entities as traditional financial institutions. The Japanese referred to the demise of FTX,...