Crypto: Sam Bankman-Fried comes out of his gongs and responds to criticism!

The price of the native token of the FTX cryptocurrency exchange completely collapsed on Monday. CEO Sam Bankman-Fried tried to fix things to no avail. Now, it looks like the crypto company has come to the end of its existence.

The exchange announces its end of life

It seems to be the end of the FTX crisis. Indeed, the exchange shared a press release on Twitter today to announce that he has filed for chapter 11 bankruptcy. The crypto business has now begun an orderly process for the review and monetization of its assets for the benefit of all relevant stakeholders.

The press release

It appears that several companies affiliated with the exchange will file for bankruptcy. 130 entities as well as the trading company Alameda Research and the American subsidiary FTX.US are affected by this bankruptcy filing. On the other hand, Ledger X LLC, FTX Digital Markets Ltd., FTX Australia Pty Ltd. and FTX Express Pay Ltd. are not going to file for bankruptcy.

Furthermore, the press release stated that Sam Bankman-Fried resigned as CEO of the crypto exchange. He is replaced by John J. Ray III who will collaborate with various independent professionals during the bankruptcy proceedings.

Ray said: FTX Group has valuable assets that can only be effectively administered through an organized and joint process “. He specified that his team will deal with diligence procedures for all parties affected by the decline of FTX.

A look back at the events that led to the decline of FTX

The crypto exchange has gradually collapsed following CoinDesk’s revelations in a recent report. These latter have leads Binance to sell its FTT token holdings which happens to be the native token of FTX.

Investors followed suit by withdrawing their funds from the exchange. Very soon, FTX suspended withdrawals, which only made the situation worse. Later, Binance signed an agreement with the exchange to consider the possibility of helping it.

But, Binance eventually pulled out of the deal, saying the situation was beyond its purview. This is how FTX, which lost all support, finally had to file for bankruptcy.

The financial difficulties of the crypto exchange FTX got the better of him. The crypto platform collapsed and filed for bankruptcy. Now, the crypto community is worried: they fear that other platforms will suffer the same fate.

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