'Gold standard' crypto exchange FTX files for bankruptcy. CEO resigns | CNN Business

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FTX launches voluntary bankruptcy proceedings and its CEO resigns, marking a stunning downfall for one of the most powerful players in crypto

FTX said Sam Bankman-Fried, the 30-year-old crypto wunderkind behind the exchange, will remain to assist in an orderly transition. The bankruptcy proceedings include FTX US as well as FTX’s crypto hedge fund Alameda and about 130 other sister companies. FTX said John Ray III has been appointed the new CEO and many exchange employees are expected to stay on to operate the company in Chapter 11.

com is based, froze some of the embattled exchange’s assets on Thursday. Both the Justice Department and Securities and Exchange Commission are investigating FTX, The Wall Street Journal reported. The DOJ declined to comment, and the SEC said it does not comment on the existence or nonexistence of investigations. Bankman-Fried has been one of the faces of the crypto industry, amassing a fortune once totaling $25 billion that has since vanished.

 

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