Home Featured The Bahamas regulator transfers FTX assets to government wallets for “safe keeping”

The Bahamas regulator transfers FTX assets to government wallets for “safe keeping”

0
The Bahamas regulator transfers FTX assets to government wallets for “safe keeping”



Bahamian regulators responded:

The Commission would like to inform you that it hasn’t authorized, directed or suggested to FTXDigital Markets Ltd. prioritization for withdrawals for Bahamian customers. Additionally, such transactions can be deemed voidable preferences in the insolvency regime. This could result in Bahamian clients being unable to access funds. The Commission will not tolerate any preferential treatment of investors or clients of FTXDigital Markets Ltd. in any way.

Sam Bankman-Fried, FTX’s former CEO and founder, said that FTX did no invest customer funds. However, Alameda Research, FTX’s sister company, had borrowed more money from the exchange’s balance sheet than he realized, leaving FTX vulnerable. Bankman-Fried said that the issue was not caught on time, because of “messy accounting.”

John Ray III, the new CEO at FTX, has criticized Bankman-Fried’s management and governance. Ray III, who hasmore than 40 years of experience in legal and restructuring called the collapse of the exchange “a…



Continue reading…