Fall of FTX: The company comes out of silence and alerts other exchanges

We now know the date of the first hearing relating to the bankruptcy of the crypto exchange FTX. The chairman of the parliament’s financial services committee made a statement in which she said that an FTX hearing will take place on December 13. It is part of the investigations to understand the events that led to this historic debacle of the exchange. This is the second time such an announcement has been made. The first hearing announced on November 16 ultimately did not take place.

Parliament organizes hearings in FTX case

The parliament will hear all the parties involved in the bankruptcy of FTX

Prior to the recent announcement by the President of the financial services committee of the u.s. parliament, this same body had expressed its desire to audition certain people in the FTX affair. It is a question of confronting the major actors of the bankruptcy of FTX occurred last month. Since exchange bankruptcy filing on the basis of chapter 11, several people and institutions are in the crosshairs of parliament. The most anticipated at this hearing which will begin on December 13 are: Sam Bankman-Fried, Alameda Research and Binance.

SBF would currently be in the Bahamas, however, our colleagues from New York Times argue that the ex-CEO of FTX will soon travel to New York to hold a conference.

Parliament’s Financial Services Committee is not the only body keen to understand what really happened. Indeed, even the agriculture committee of the Senate has expressed its willingness to do a similar audition on December 1.

This hearing will focus on: “lessons learned from the FTX collapse”. As a prelude to this event, the head of the Commodity Futures Trading Commission, Rostin Behnam, will endorse the costume of witness. There is a lot of speculation surrounding SBF’s whereabouts. For the moment, it is difficult to say if the ex-strongman of FTX will settle permanently in the United States or if he will return to the Bahamas islands after his audition.

Conclusion

In short, the American parliament is worried about the consequences that this bankruptcy of FTX could have. It should also be remembered that the exchange has had to endure harsh criticism from legislators and international regulatory bodies. For example, the insolvency of FTX prompted the Australian government to review its regulations and increase the security of investor data.

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